Oxford, United Kingdom – 5 March 2024 – Quantum Dice, a spinout from the University of Oxford’s world-renowned quantum optics laboratory, proudly announces its collaboration with HSBC to explore the advantages of its Quantum Random Number Generator (QRNG) for financial Monte Carlo simulations in a planned commercial proof of concept (PoC).
The commercial PoC follows the successful completion of an Innovate UK-funded project that saw Quantum Dice, HSBC, and the Hartree Centre work together to demonstrate the use of Quantum Dice’s self-certifying QRNG on test cases relevant to Monte Carlo simulations in the financial services sector.
The project, which highlights HSBC’s commitment to embracing disruptive technologies to enhance its services, will involve the bank testing Quantum Dice’s solution for Monte Carlo simulations run by its business units to assess the advantages.
Philip Intallura, Global Head of Quantum Technologies at HSBC, said: “HSBC has been exploring how quantum technologies could impact real business applications today. We are working with Quantum Dice to address whether quantum random number generators can enhance Monte Carlo simulations. These are important tasks in financial services with applications such as computing risk analytics and pricing complex derivatives. Our joint work with Quantum Dice started under an Innovate UK grant, and we are now pleased to move forward with a planned commercial PoC.”
Monte Carlo simulations are useful in various fields, particularly in the financial services sector, where they are used in pricing models, risk estimation, and portfolio management. Simulations are valuable tools for analysing and estimating potential outcomes in uncertain events. Current industry standards are based on random numbers generated with pseudo-random number generators (PRNGs), which are deterministic algorithms that produce only seemingly random sequences. Often overlooked, the quality of random number generators might significantly affect the accuracy and time-to-solution of simulations.
Unlike PRNGs, Quantum Dice’s QRNG leverages its unique patented quantum architecture to sample the probability space more optimally in a way that better reproduces the underlying distributions that enable Monte Carlo simulations.
Zhanet Zaharieva, Project Manager and COO & Co-founder at Quantum Dice, said: “I am delighted to see the successful outcomes of our pioneering Innovate UK collaboration with our partners at HSBC. Working with global quantum innovators such as HSBC, who have unprecedentedly demonstrated the importance of exploring the capabilities of quantum technologies based on their potential business impact, has been tremendously inspiring. I look forward to continuing our joint work with the HSBC team to further build on what we have achieved, broadening the applicability of QRNGs for financial Monte Carlo simulations.”
Ramy Shelbaya, CEO & Co-founder at Quantum Dice, said: “The potential for quantum technologies to revolutionise the financial services sector is immense. We are proud to be working with a bank that has already led the way in adopting new technologies. This project with HSBC will be an important milestone in showcasing the impact that quantum entropy can have on the simulations that underpin our modern economy.”
The potential performance advantages of using Quantum Dice’s DISCTM QRNG, such as a reduction in simulation time and improvements in accuracy, would pave the way for substantial commercial benefits.
This collaboration is an important milestone in realising the potential of Quantum Dice’s patented QRNG technology for enhancing Monte Carlo simulations in the financial services sector.
About Quantum Dice:
Quantum Dice aims to protect a connected future by harnessing the fundamental quantum properties of light to enable secure encryption.
Our product lines are unique thanks to our patented QRNG hardware technology with bespoke firmware optimised for simulations and stochastic modelling. Our device architecture continuously certifies the quantum randomness coming out from the device by verifying the source of randomness. In addition, generating random numbers at a market-leading output rate can meet the demand for high-quality randomness in MC simulation workloads. Furthermore, our QRNG devices come with all necessary drivers and libraries, making it easy for analysts and developers to integrate high-quality entropy into their existing systems.
Founded in April 2020, Quantum Dice is an award-winning venture-backed spinout from the University of Oxford’s world-renowned quantum optics laboratory. It’s there where the architecture for its innovative quantum source of entropy was originally invented. Its mission is to provide trusted and secure randomness, leveraging the unique properties of quantum systems along with its patented DISC™ protocol.
For more information, visit: https://www.quantum-dice.com
About HSBC:
HSBC Holdings plc, the parent company of HSBC, is headquartered in London. HSBC serves customers worldwide from offices in 62 countries and territories. With assets of US$3,039bn on 31 December 2023, HSBC is one of the world’s largest banking and financial services organisations.
For media enquiries and additional information, please contact:
Quantum Dice
simulations@quantum-dice.com
