Vancouver, British Columbia--(Newsfile Corp. - May 22, 2026) - Quantum Secure Encryption Corp. (CSE: QSE) (OTCQB: QSEGF) (FSE: VN80) ("QSE" or the "Company"), a post-quantum cybersecurity company focused on quantum-resilient data protection, identity security, secure storage and cryptographic migration readiness, today commented on recent media reports that the U.S. Department of Commerce has entered into 9 letters of intent to provide approximately US$2 billion to support the U.S. quantum computing sector.¹

The reported investment underscores the growing strategic importance of quantum computing to national security, technological leadership and critical infrastructure. For QSE, it also reinforces the urgency for governments, enterprises and regulated industries to begin preparing for the cybersecurity implications of a post-quantum environment.

"Government investment at this scale sends a clear message: quantum computing is moving from research into national technology strategy," said Ted Carefoot, Chief Executive Officer of QSE. "That progress is exciting, but it also accelerates the need for organizations to understand and address their post-quantum cybersecurity exposure. Sensitive data encrypted today may need to remain confidential for years or decades, which is why preparation cannot wait."

QSE's platform is designed to help organizations assess, protect and manage sensitive data in a post-quantum environment. The Company's solutions include quantum-secure entropy, encrypted storage, secure data-in-transit capabilities and quantum-resilience services designed to strengthen existing security infrastructure without requiring a disruptive rip-and-replace process.

QSE has moved beyond product development and is now commercially deploying its post-quantum cybersecurity platform. The Company's solutions are designed to help organizations assess risk, strengthen data protection and prepare for quantum-related cybersecurity threats through practical, scalable tools that can be integrated into existing enterprise, government and regulated-industry environments. QSE has also continued to strengthen its certification, compliance and partner ecosystem, supporting its ability to pursue enterprise, public-sector and regulated-industry opportunities across North America and international markets.

"Quantum computing investment and post-quantum cybersecurity readiness are two sides of the same transformation," added Mr. Carefoot. "As governments accelerate investment in quantum capability, organizations must also accelerate planning for quantum-resilient security. QSE was built to support that transition with practical, deployable solutions that can be integrated into existing environments."

QSE believes the reported U.S. investment further validates the growing importance of quantum technologies and the need for organizations to evaluate their readiness for a post-quantum security environment.

References:

1. Department of Commerce Announces Letters of Intent With 9 Companies for $2 Billion to Accelerate U.S. Leadership in Quantum Computing | NIST (https://www.nist.gov/news-events/news/2026/05/department-commerce-announces-letters-intent-9-companies-2-billion).

About QSE - Quantum Secure Encryption Corp.

QSE - Quantum Secure Encryption Corp. is a Canadian technology company specializing in post-quantum data security, encryption, and secure data infrastructure. Built around quantum-delivered entropy and zero-knowledge architecture, QSE's solutions help protect sensitive data from current cyber threats and future quantum-enabled attacks. QSE serves organizations across commercial, enterprise, and public-sector environments requiring long-term data confidentiality and resilience.

Cautionary Note Regarding Forward-Looking Statements

This news release contains forward-looking statements that constitute forward-looking information (collectively, "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements in this news release that are not purely historical statements of fact are forward-looking statements and include statements regarding beliefs, plans, expectations, future, strategy, objectives, goals and targets, and more specifically, the use of proceeds of the Offering. Although the Company believes that such statements are reasonable and reflect expectations of future developments and other factors which management believes to be reasonable and relevant, the Company can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: "believes", "expects", "aim", "anticipates", "intends", "estimates", "plans", "may", "should", "would", "will", "potential", "scheduled" or variations of such words and phrases and similar expressions, which, by their nature, refer to future events or results that may, could, would, might or will occur or be taken or achieved. Forward-looking statements involve known and unknown risks and are based on assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, including, but not limited to, those risks and assumptions described in the Company's latest management discussion and analysis, a copy of which is available under the Company's profile on SEDAR at www.sedarplus.ca. While QSE considers these assumptions to be reasonable, based on information currently available, they may prove to be incorrect. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release. In addition, forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions, continued satisfaction of Canadian Securities Exchange requirements, product safety and recalls, regulatory compliance and risks associated with the Company's business. Forward-looking statements are made as of the date of this news release and, unless required by applicable law, the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in these forward-looking statements. All forward-looking statements are qualified in their entirety by this cautionary statement.

The Canadian Securities Exchange has in no way passed upon the merits of the business of the Company and has neither approved nor disapproved the contents of this news release and accepts no responsibility for the adequacy or accuracy hereof.

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