Midnight Network's NIGHT Token surged nearly 200% in just 24 hours after its launch on December 9, 2023, becoming the most-watched asset on CoinGecko and CoinMarketCap.
On its very first day of trading, the Token reached a market Capital of over $1.2 billion and a volume exceeding $320 million.
Is it a bull market for privacy coins?
Technically, Midnight was developed as a "partner chain " or sidechain of Cardano . The Token and initial ledger were also issued on Cardano (as Cardano Native Asset).
This impressive launch has put Midnight Network at the center of a larger market movement. Security coins have seen a widespread price increase since October.
This growth is largely driven by pressure from new regulations in Europe, stricter oversight rules, and renewed interest in zero-knowledge technology.
Zcash spearheaded the trend , surging tenfold from October to mid-November. This surge coincided with the EU's adoption of regulations banning exchanges from listing privacy coins starting in 2027.
Traders shifted to Dash, Railgun, Decred , and Monero as the sector heated up, driving the volume of privacy Token to nearly $3 billion at its peak.
However, this upward trend has also caused concern among many. Some experts warn that increased scrutiny could cause anonymous activity to gradually shift away from regulated platforms.
Meanwhile, the controversy surrounding EU surveillance measures and the Chat Control bill has further increased the demand for privacy-protecting technologies.
Against this backdrop, Midnight launched at the right time, positioning itself as a privacy-prioritizing blockchain, utilizing zero-knowledge proofs technology and a dual- Token model.
NIGHT is the primary Token , while DUST is used to pay for private transactions. This model allows for selective information disclosure, meaning data is only displayed when absolutely necessary.
This structure aligns with the trend toward building privacy infrastructure rather than simply using anonymity tools. Additionally, it addresses growing concerns about wallet tracking, identity verification requirements, and the future of personal data in digital finance.
The story of privacy in crypto is thriving.
Trading interest also clearly reflects this trend. NIGHT surged from around $0.039 to over $0.085 before cooling down. The circulating supply reached 16.6 billion Token, with many investors seeing this as an opportunity to participate in a new cycle of security technology.
Midnight's NIGHT price chart. Source: CoinGeckoHowever, the cryptocurrency sector remains volatile. Zcash has fallen by more than 40% after peaking in November, while Dash, after breaking out in early December, is also losing momentum.
Experts predict that funds will continue to flow between leading coins as regulations tighten and new privacy-focused projects constantly emerge.
Currently, Midnight is the most prominent new Token project this quarter. The upward trend shows that significant capital is flowing into security infrastructure as the regulatory environment becomes increasingly stringent.
The next test will be whether demand holds steady once the initial hype subsides and the market shifts its focus from the narrative to practical application.
