Quantum cryptography is a new method for secret communications offerin
g the ultimate security assurance of the inviolability of a law of nat
ure. In this paper we shall describe the theory of quantum cryptograph
y, its potential relevance and the development of a prototype system a
t Los Alamos, which utilizes the phenomenon of single-photon interfere
nce to perform quantum cryptography over an optical fibre communicatio
ns link.