It is easy but I have always been troubled by this one.
Stablecoins are expected to be the uninteresting, useful aspect of crypto. Pay rent. Buy coffee. Move value. There is a catch to boring, however, on most chains, all transactions are open. The wallet balance is visible to your landlord. Your coffee house is fully aware of the amount you have. And bridges you need, should you feel a need of privacy. Wrapped assets, third-party risk, and a great deal of trust.
Midnight flips that.
Due to the default of Midnight to private, the transactions of stablecoins are obscured. You send USDC. The amount is visible to the recipient. No one knows your aggregate assets, records of transactions, or addresses to whom you deal. No bridges required. No wrapping. Just native stablecoins privately transiting over a network constructed to support it.
The compliance side is also addressed with the assistance of the dual-chain structure. In the data credentials at midnight, you can demonstrate such facts as: this transaction is below the reporting threshold or I am in an authorized jurisdiction without disclosing who I am or my precise location. Controllable compliance is achieved among regulated entities. Users get actual privacy.
Bridges have always been the feeble bit. It eliminates the necessity at midnight.
Assuming that stablecoins did function in a cash-like manner (that is, privately, swiftly, no intermediary) then what is the first activity you would stop using your bank account to do?