In reality, doing business, everyone emphasizes 'keeping finances private.'
A few years ago, I helped a friend in foreign trade connect with supply chain financing. The bank required due diligence, forcing him to disclose the bottom prices of upstream and downstream procurement, customer flow, and even core profit margins. My friend was extremely helpless at that time: to borrow some money, it was equivalent to completely exposing the company's trade secrets. If these core data were leaked to competitors during circulation, it would be a disaster.
This is also why, despite Web3 shouting 'disrupt finance' for so many years, true traditional giants (TradFi) have been unwilling to go on-chain on a large scale. Because conducting transactions on a traditional public chain means that all addresses and flows are completely public. Allowing Wall Street institutions to operate on a transparent public chain is like letting them talk contracts in Times Square without any clothes on.
Today, watching the calendar, I see @MidnightNetwork will soon take the stage at the Digital Asset Summit (DAS) in New York tonight (local time March 25 at 2:50 PM) for a core presentation, I suddenly realize that the logical loop of this big game has finally connected.
Some friends might think that this is just an ordinary project party going to a meeting to issue a press release. By objectively reviewing the background of this summit, we can see the extremely clever business deduction behind it.
DAS (Digital Asset Summit) is not a carnival for retail investors; it is an exclusive venue for 'old money' in New York and the regular army of Wall Street. Those attending are large hedge funds, family offices, and traditional asset management giants. So, what is Midnight doing there?
This brings us to their previous mechanism that made people smile, the **'Scavenger Mine'** mechanism.
Previously, they distributed 1 billion chips to 8 million ordinary home computers worldwide. This move completed the most extensive 'physical-level decentralization' very rigorously. 8 million retail users supported the security foundation of this network with their home computers, achieving absolute resistance to censorship and preventing single points of failure.
Now that this layer of the strongest physical foundation is in place, they immediately turned to New York to showcase their true core competitiveness: 'ZK (zero-knowledge proof) commercial-grade privacy protection.'
The new rule that Midnight is trying to establish is: institutions can conduct compliant trading and clearing on-chain, but the details of the transactions (amount, counterparty, commercial secrets) are absolutely encrypted from the outside world. It perfectly resolves the century-old contradiction that traditional financial institutions need to 'embrace the efficiency of blockchain' while 'guarding commercial secrets without exposing themselves.'
Let's take a long-term view and make a long-term market outlook:
If Midnight's presentation in New York can indeed dispel Wall Street's concerns about 'on-chain privacy,' then its fundamentals will no longer be an ordinary speculative play. Once large compliant asset management firms and multinational supply chains move real settlement business onto Midnight's network, that will be an entry of trillion-level large funds.
This 'dumbbell-type structure where bottom-tier retail investors provide security and top-tier institutions run businesses' is the ultimate form of sovereign-level infrastructure that can support Web3's true integration into traditional society. This is also the core reason we can give it a very high valuation expectation.
But having deduced to this point, as traders, we still must raise the risk control alert.
The due diligence and entry of traditional institutions is an extremely long cycle (usually measured in years), and tonight's speech will definitely not make the market take off immediately. Moreover, there is one piece of information that cannot be ignored: currently $NIGHT is still in the long 'thawing' unlocking period of 360 days.
This means that every day, early retail investors who obtained 'Scavenger' chips are taking profits, and the market is currently in a long stage of accumulation and turnover.
Having understood its grand outlook for entering Wall Street, we must also respect the selling pressure at hand. For friends who are optimistic about this compliant sovereign infrastructure, there is no need to blindly chase high due to a favorable conference tonight. Hold onto your spot positions and use dollar-cost averaging to hedge against the 360 days of thawing volatility, closely watching whether any real Wall Street institutions announce substantive business cooperation with it.
Using patience to endure the retail washout period in exchange for the dividends of large funds building positions is the rigorous trading discipline that brings a smile.
