Provided are an auto-compensating quantum cryptography transceiver and method of transmitting a quantum cryptography key at a high speed. A quantum cryptography transmitter includes a wavelength converter, an optical attenuator, an optical phase modulator, and a Faraday mirror. A quantum cryptography receiver includes a polarization beam splitter, an optical coupler, an optical filter, and a photon detector. Thus, a limit of a transmission rate caused by Rayleigh scattering of an optical fiber can be overcome.