Recently, the popularity of the privacy track has indeed been warming up, but I find that many people still understand privacy at the stage of 'anonymous transfers.' Today, I must have an in-depth discussion with you about a project I have been watching for a long time: @MidnightNetwork. This is not just a simple sidechain; it is a highly valuable privacy protocol within the Cardano ecosystem, and it may even redefine 'compliant privacy.'

Why pay attention to $NIGHT and Midnight Network?

To be honest, the biggest pain point of current Web3 privacy projects is 'non-compliance.' Many protocols are closely monitored by regulators due to their complete anonymity. But what is smart about Midnight is that it introduces ZK (zero-knowledge proof) technology, which protects user privacy while reserving regulatory compliant interfaces. This sense of balance of 'both want and need' is the underlying logic that truly allows financial institutions and enterprise applications to dare to enter the market.

My practical views and logic:

While researching the economic model of $NIGHT this week, I found that it is not just a carrier for network transaction fees, but also the core that maintains the decentralized security of the entire privacy network. I have personally established a position in $NIGHT. I do not recommend everyone to blindly invest all in, as the explosion in the privacy sector is usually relatively delayed, but as a long-term investment, Midnight's moat is indeed deep enough.

I just checked their official Twitter and testnet, and found that the developer activity has increased significantly compared to last month. As an old investor, I care more about whether there are real people writing code on it. Although market sentiment is volatile at the moment, I still hold an optimistic view on the medium to long-term trend of #night.

A reminder for the community members:

Don't just look at those screenshots of recommendations; make sure to check the roadmap on @MidnightNetwork's homepage. The privacy sector is very deep; if you don't understand what 'Decentralized Identity (DID)' is, it may be hard for you to hold $NIGHT. I plan to continue to accumulate in batches at this position and observe the key points of transition from testnet to mainnet.

Do you think there will be dark horses in the privacy sector this year? Is Midnight's compliant route the only way out for the future?