Key Insights
- Cardano is down 21% this month and 54% this year as Midnight, the new privacy coin, launches.
- Midnight brings NIGHT and DUST to give Cardano a privacy coin role.
- Traders now question if this shift is real growth or only a move to stay relevant.
Cardano has launched Midnight, a new blockchain that supports private transactions. This comes at a time when ADA is down 21% this month and 54% over the past year.
Because of this, many traders now ask if Cardano is using the privacy coin idea to get attention again.
Midnight brings new tokens and new rules, and it helps Cardano enter a strong market trend. But the timing makes people wonder if this move is mainly to stay visible.
Can Midnight’s Privacy Coin Outlook Boost Cardano?
ADA has stayed weak for many months. Other large tokens had better recovery, but ADA did not. This made people feel that Cardano did not have a clear story.
Even Charles Hoskinson said Cardano was behind in branding, partnerships, and DeFi activity. These were problems for a long time.
Midnight gives Cardano a new direction. Privacy coins like Zcash and Dash are doing well in this cycle, and many users want private transactions that still follow basic rules.
Midnight lets Cardano join this trend without turning ADA into a full privacy coin.
Midnight uses two tokens. NIGHT is the main token. DUST is used to pay for private actions. NIGHT has a fixed supply of 24 billion.
NIGHT creates DUST slowly over time. DUST is burned after use.
NIGHT is public. DUST hides some details, like sender and receiver. This keeps a mix of public and private activity.
How Midnight Works
Midnight by Cardano does not hide everything. It only hides small parts of the transaction. NIGHT stays public so that rules can be followed.
DUST is private and is used for sending private messages or private smart contract actions. Some people like this setup.
They say users do not need to buy fee tokens again and again because DUST is created from NIGHT. Other people do not like it.
They say the system is too complex and may confuse normal users. DUST also does not have a limit, so its value depends only on how much people use the network.
NIGHT was listed on many exchanges on the first day. But it fell by more than 50% at launch. This made many traders unsure about the long-term plan.
Still, NIGHT and ADA became top trending tokens on CoinMarketCap, which means many people were watching closely.
Cardano also announced more than 100 partnerships connected to Midnight. Some ADA staking pools now support Midnight. Users can earn both ADA and NIGHT, which brings more activity.
Midnight on Cardano: Real Utility or Just Attention?
The big question is simple. Is Midnight a real step forward for Cardano, or is it a way to join a popular idea after a bad year?
Privacy coins are popular in 2025. Users want private actions. But many people also worry about rules. Midnight tries to sit in the middle.
NIGHT stays public. DUST hides some parts. This makes it different from coins like Monero or Zcash. Cardano needs a new direction because ADA has been weak for a long time.
Midnight gives the network new tools and brings back some interest. But the sharp fall in NIGHT on day one and the sudden timing raise doubts.
For now, it is too early to say if Midnight will help Cardano grow. The next few months will show if people use Midnight often or if this is only a short-term story that fades later.
The privacy coin idea is strong right now, but Cardano must show real use, not just talk.