He meant that banks are building permissioned systems that mimic XRP and Midnight, but they lack the openness, decentralization, and flexibility of public blockchains. Hoskinson called it ironic that traditional institutions promote blockchain while missing the core principles of Web3.
According to him, legacy finance still doesn’t fully understand why public blockchains are far ahead. He said XRP and Midnight already operate at a scale “100x beyond” what permissioned systems like Canton can achieve.
Canton Network’s Push Into Tokenized Treasuries
Earlier this month, DTCC teamed up with Digital Asset and the Canton Network to create tokenized versions of U.S. Treasury securities held by DTC. This follows an SEC no-action letter, with a test version expected in the first half of 2026.
The project aims to give institutions regulated, private, and interoperable access to these digital treasuries, with DTCC and Euroclear helping to govern the network.
Canton has also seen stablecoin activity, including World Liberty Financial’s USD1 stablecoin. The stablecoin can be used as collateral, for lending, and for international settlements.
These steps demonstrate growing institutional interest. But Hoskinson believes they are limited copies of what public blockchains like XRP can already accomplish on a larger scale.
Why XRP Matters in Hoskinson’s View
Hoskinson cites XRP and Midnight as examples of networks already solving problems that traditional finance is only now cautiously tackling. XRP focuses on cross-border payments and liquidity efficiency. According to Hoskinson, Web3-native networks can pursue larger technical and economic goals than institution-led blockchains.
Midnight as a 2026 Game-Changer
Hoskinson disclosed that he is producing up to 100 pages of technical documentation daily for Midnight ahead of January workshops.
He calls it a “Manhattan Project” for privacy, chain abstraction, and smart compliance, suggesting it could reshape how regulated and decentralized systems coexist. He also notes that the market may not be fully prepared for its impact in 2026.
Growing Ties With XRP
Hoskinson’s relationship with the XRP community has improved, especially after including XRP holders in the Midnight airdrop. The XRP Ledger was one of eight networks selected for the NIGHT token distribution, with over a billion tokens allocated.
He now describes the XRP community as friendly and has hinted at future collaborations. These include a possible DeFi layer for XRP to increase yield and on-chain utility in 2026.
As 2026 approaches, XRP’s role in global blockchain infrastructure may become increasingly difficult for institutions and markets to ignore.
Related: How the New Privacy-Focused ‘Midnight’ Protocol Is Directly Tied to Cardano’s Success
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Source: https://coinedition.com/cardano-founder-says-big-banks-are-copying-xrp-at-100x-beyond-their-ambitions/
