Charles Hoskinson is unveiling his newest venture, Midnight Protocol, asserting its significance beyond merely being a sidechain for Cardano. The founder of Cardano aims to position this privacy-centric platform as a shared infrastructure layer that could bring programmable privacy to compete with major blockchain networks like Bitcoin and the XRP Ledger.
In a recent post on social media platform X, Hoskinson detailed how Midnight’s zero-knowledge proof architecture can boost the capabilities of rival ecosystems rather than marginalizing them. He suggested that integrating Midnight with the XRP Ledger would empower that network to contend with traditional banking systems by facilitating private, compliant decentralized finance. He extended similar sentiments to Bitcoin, asserting that Midnight introduces essential programmable privacy features that the cryptocurrency currently lacks.
Furthermore, Hoskinson envisions Midnight as a key driver for Cardano’s growth, indicating it could enhance the platform’s monthly active users and total value locked by expanding its utility well beyond its native blockchain. He confidently declared, “Midnight makes what it touches better. Adding Midnight to XRP DeFi is going to blow the legacy banks out of the water. Adding Midnight to Bitcoin gives the world Satoshi imagined possible. Adding Midnight to Cardano supercharges our DeFi ecosystem and will 10x the MAUs, Transactions, and TVL as we are first to market with private DeFi at scale.”
In addition to highlighting the interoperability of Midnight, Hoskinson identified significant opportunities in the realm of real-world asset tokenization. He noted the potential impact on the estimated $10 trillion market for Real-World Assets, emphasizing Midnight’s privacy-preserving design as a major advantage. He criticized traditional finance firms for their alliances with the Canton Network, a permissioned blockchain, arguing that such partial solutions are insufficient for the needs of institutional adoption. “There are no half measures or half technologies. You need an end-to-end strategy, great partners, and great communities,” he stated.
This strategy signifies a notable shift for Hoskinson, who has traditionally concentrated on development within the Cardano ecosystem. By advocating for Midnight as a privacy layer that augments other Layer-1 blockchains, Hoskinson aims to tap into liquidity and user bases that extend beyond Cardano.
This pivot has coincided with a notable increase in speculative interest surrounding Midnight’s native token, NIGHT. Recent data from CoinGecko indicated that NIGHT has experienced surging search volume, even exceeding Bitcoin and Ethereum on the platform’s trending list. However, despite this heightened interest, the token has faced significant price volatility since its launch earlier this month, witnessing a decline of over 80%, with its price settling at $0.08 at the latest reporting.
