Cardano’s DeFi ecosystem is showing renewed momentum following the launch of the NIGHT token, the native token tied to the Midnight privacy sidechain.
On-chain data indicates that decentralized exchanges (DEXs) within the Cardano network have recorded a noticeable uptick in trading activity, signaling growing user engagement and speculative interest around the ecosystem’s latest token launch.
Cardano DEX Activity Picks Up
In a recent X post, Cardano stake pool operator (SPO), Cardanians, revealed that since the launch of NIGHT, Cardano-based DEX platforms have reported higher transaction counts and rising liquidity flows.
According to the validator, protocols such as Minswap, SundaeSwap, and WingRiders appear to be benefiting from increased user activity. Interestingly, the SPO noted that the volume of ADA traded on DEXes surged to 44 million on December 21, representing a 13-fold increase from its pre-NIGHT volume of roughly 3 million tokens.
This surge reflects renewed confidence in Cardano’s long-term roadmap, particularly its push toward privacy-preserving smart contracts. Meanwhile, the increase in volume also suggests that dormant capital is rotating back into Cardano’s DeFi ecosystem after months of subdued activity. Historically, spikes in DEX volume on Cardano have coincided with major network developments, and NIGHT’s debut appears to be following a similar pattern.
Token Launch Reignites Interest in Cardano DeFi
Midnight, Cardano’s data protection-focused sidechain, aims to introduce compliant privacy features for decentralized applications.
The launch of NIGHT has reignited interest among developers and traders alike, as the token will play a central role in powering the protocol’s economic model. Market participants view the token as more than just a new asset; it represents a key building block in Cardano’s broader strategy to attract enterprise and institutional use cases.
Interestingly, Cardano pundit Jaromir Tesar, in an X post on December 20, 2025, hoped that NIGHT is the new spark Cardano DeFi needs, as the token’s trading volume surged to $4.2 billion on centralized exchanges. Meanwhile, its volume across Cardano DEXs sits at $4.2 million.
Reacting to Tesar’s post, Cardano founder Charles Hoskinson boldly predicted that Cardano DEXes would surge by 100x, urging investors to go long. He suggested that Midnight could catalyze Cardano’s DeFi growth, but emphasized that the network still needs critical infrastructure, including reliable stablecoins and cross-chain bridges, to spur activity.
NIGHT and Cardano Prices Succumb to Market-Wide Dip
Meanwhile, the increase in trading volume has yet to be reflected in price action, as the NIGHT token succumbs to bearish pressure alongside the broader crypto market. According to CoinMarketCap, the token currently trades around $0.79 with a daily loss of 24%.
It was also the same for ADA, which has posted a modest dip of 1.48% in the past 24 hours, trading around the $0.36 mark and ranking 10th in the crypto market. However, crypto market expert Crypto GVR has, in a recent X post, speculated that ADA is gearing for a reversal, which could propel its price value to the $1 mark in the long term.
The CoinRemark Team
