[ccpw id="39382"]

HomeCrypto NewsMarketMidnight To Launch NIGHT as Cardano Native Token

Midnight To Launch NIGHT as Cardano Native Token

Date:

Written By:

Follow Us On

Cardano is gearing up for an influx of users following the release of the Midnight Nightpaper, which introduces a new privacy-focused chain.

Notably, the Midnight team released the much-awaited Midnight whitepaper, dubbed the “Nightpaper” yesterday. One of the most notable revelations in the Nightpaper is the upcoming launch of the NIGHT token, which will serve as a Cardano native asset (CNA).

NIGHT Token Utility

As detailed in the Nightpaper, the NIGHT token plays a central role in Midnight’s ecosystem, launching initially as a native asset on Cardano. Unlike most networks where a single token is used for both transactions and rewards, Midnight employs a dual-token system. 

- Advertisement -

NIGHT serves as the governance token and is unshielded, providing transparency for network participants. It also provides rewards for block producers and supports consensus participation on the network. In addition to its fixed supply, the token will be deflationary.

Paired with NIGHT is a second token, DUST, which acts as the transaction resource on the network. Unlike traditional gas tokens, DUST is shielded, which means that while it enables transaction processing, it conceals user data. 

This is essential for Midnight’s privacy-focused applications, especially in regulated industries like finance, where both transparency and privacy are needed. DUST also decays over time, as its utility focuses more as an energy-like resource rather than a store of value.

Cardano Community Reactions

The release of the Nightpaper has triggered bullish reactions within the Cardano ecosystem, with certain community experts predicting a surge in network activity. 

Philip DiSarro, the CEO of Anastasia Labs, stated that the launch of NIGHT could potentially bring in more users than any dApp previously deployed on Cardano. 

- Advertisement -

He emphasized that this token, along with Midnight’s privacy-focused infrastructure, could drive more volume to Cardano than all the projects introduced since the network welcomed the Alonzo hard fork.

More from the Nightpaper

Beyond the token utility, the Nightpaper also reveals several important aspects of the Midnight blockchain’s design. Midnight introduces a next-generation architecture focused on safeguarding both user and business metadata. 

It employs zero-knowledge proofs (ZK proofs) to allow organizations to protect sensitive information while still participating in decentralized ecosystems. This ensures that users and businesses can verify transactions without revealing confidential data.

For developers, Midnight simplifies blockchain development by utilizing TypeScript, one of the most popular programming languages. This will help to reduce the complexity of creating smart contracts and integrating blockchain systems. 

Additionally, Midnight supports both layer 1 and layer 2 chains, making it versatile enough to work with existing systems and other blockchain platforms, such as Ethereum and Cardano

This interoperability is important for Midnight’s appeal, as it enables businesses to leverage their existing infrastructure while gaining the benefits of data protection and scalability.

Midnight Roadmap

The Midnight Nightpaper also sets out the project’s roadmap. Per the roadmap, the Midnight project is expected to move from the Devnet phase to the Testnet phase. After the successful Testnet, the team will launch the Mainnet.

Cardano Midnight Roadmap
Cardano Midnight Roadmap

Notably, Midnight entered its Devnet phase in November 2023, an essential step in its development. This early testing stage allows developers to explore the platform’s capabilities, particularly its privacy features. 

The project selected over 100 developers, referred to as “Midnight Pioneers,” to participate in the Devnet and build privacy-oriented applications. These applications will be crucial in proving Midnight’s ability to handle sensitive data while maintaining compliance with regulatory frameworks.

The Devnet launch also highlighted Midnight’s role as a sidechain to Cardano, which means it benefits from Cardano’s security and infrastructure while offering a distinct privacy framework.

Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.

Author

Sam Wisdom Raphael
Sam Wisdom Raphael
Sam Wisdom Raphael is a seasoned crypto news writer and journalist with 5 years of experience covering blockchain, DeFi, and crypto developments. Sam's active presence in the crypto community complements his deep understanding of the crypto space, allowing him to craft comprehensible price analysis reports and tackle technical blockchain concepts.

More from Author

Latest Stories

Guides