Top Analyst Descibes Cardano (ADA) Privacy Protocol
Charles Hoskinson, one of the people who started Cardano (ADA), is talking about the features of a new privacy-focused protocol that will be added to the ecosystem of the smart contract platform.
In a new interview on Corey Casta’s Crypto Coins YouTube channel, Hoskinson says that ADA’s upcoming privacy protocol Midnight, which was announced last month, aims to create a private network of smart contracts, similar to what Ethereum (ETH) did for Bitcoin (BTC).
Hoskinson says that Midnight is an attempt to figure out how to have both privacy and disclosure laws at the same time.
“From a regulatory perspective, you’re not actually allowed to use blockchain systems [for privacy]. Why? There’s [the] Bank Secrecy Act, GDPR [General Data Protection Regulation], you have all these privacy departments.
Anytime you could engage in a regulated business, there’s a privacy requirement because regulated business requires you to give away some personally-definable information and there’s a privacy law on the other side of it that says you have to keep it a secret.
The problem is that if you try to do it in a blockchain setting, your private information becomes public to everybody… so it made sense to me to find a way to… create a confidentiality network, so like what Ethereum did to Bitcoin, where Ethereum said ‘we have programmability,’ Midnight does to [Cardano], where instead of having a privacy coin, what you do is you have a confidentiality network, you have smart contracts that are private.”
Hoskinson says that this is the hardest thing that Cardano developers have done so far. He even goes so far as to say that it makes the development of ADA look like a piece of cake.
“It’s a really hard product. It’s the hardest product we’ve ever worked on and it makes Cardano look like kid’s play.”
At the time of this writing, you can buy Cardano for $0.31, which is a small gain for the day.
