Banks are exploring Cardano’s (CRYPTO: ADA) Midnight partner chain for institutional blockchain infrastructure because it offers programmable privacy and front-running protection that Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL) can’t provide natively.
The Three Banking Requirements
Institutions need three things from blockchain that public chains struggle to deliver: privacy with selective disclosure, execution predictability without MEV extraction, and compliance tooling that doesn’t broadcast sensitive information to the entire world.
A bank can’t put customer transactions on a public ledger visible to everyone.
They need the ability to hide sensitive details from the public but still prove compliance to regulators when required. That’s …