The cryptocurrency market might well be seeing lows every day, but the work at Cardano (ADA) has not stopped one bit, especially on its new blockchain with a focus on privacy called Midnight, as the founder of the platform, Charles Hoskinson, recently described.
During an interview with YouTuber Cory Costa that was broadcast on December 7, the founder of Cardano discussed topics related to blockchain technology and privacy. In particular, he focused on how the Midnight chain addresses one of the most pressing issues facing the cryptocurrency industry, specifically the issue of maintaining the privacy of so-called "smart contacts."
Because of the following reasons, according to Hoskinson, blockchain technology is not even supposed to be used from a regulatory standpoint:
"" “Every time you engage in a regulated business, there’s a privacy requirement because a regulated business requires you to give away some personally identifiable information and there’s a privacy law on the other side that says you have to keep it secret. The problem is, if you try to do that in a blockchain setting, your private information becomes public to everybody.”
How Did Midnight find a solution?
In the opinion of Cardano's founder, the solution was to develop a confidentiality framework known as Midnight. This way,
"instead of having a privacy currency, you have a confidentiality framework, and you have smart contracts that are private, which is a significant issue," he said.
In addition to this, he clarified that:
“Midnight is a partner chain to Cardano, and the idea is that Cardano provides security, infrastructure, decentralization, and ecosystem. (…) Midnight provides a regulated value transfer protocol and a framework for people to build confidential smart contracts.”
In the end, Hoskinson realized that Midnight was "the most difficult thing we've ever worked on. It makes Cardano look like child's play because you have all of Cardano's problems (...), but at the same time, you have to build an additional layer of capabilities to deal with privacy and then take privacy to the next generation, which is confidentiality. "It makes Cardano look like child's play because you have all of Cardano's problems.
Work is Going On at Cardano
Apart from the work done on the Midnight blockchain, which is focused on anonymity, Cardano has been simultaneously working on several other fronts.
Recently, Cardano reactivated the project on the testnet variant of the Djed stablecoin, which will be granted on its proof-of-stake (PoS) blockchain through January 2023. Cardano's tests now include new capabilities, such as compatibility with the Vasil hard fork, activity history, and other features.
The platform has also documented a consistent increase in Plutus smart contracts. In 2022, the total number of Plutus smart contracts increased by more than 300%, and as of December 7, the number had reached 4,313 scripts, as the most recent data reveals.
In addition, the company responsible for building Cardano, Input Output Global (IOG), has ambitions to create the first blockchain decentralization index in the world. Its blockchain just registered the most development activity of any network in November.
You can catch the whole interview below: