Midnight announced that its Ledger 9 upgrade, released on November 6, adds institutional signature compatibility and cross‑contract functionality. The upgrade enables the network to accept ECDSA signatures, a standard used by many institutional custodians, and supports BIP‑44 wallet derivation.
Implications for Institutional Custodians
By supporting ECDSA signatures and coordinated smart‑contract operations, Ledger 9 broadens the range of potential integration options for regulated financial institutions. Midnight did not name any specific banks as participants in the upgrade.
Monument Bank’s Tokenized Deposit Initiative
Monument Bank, in partnership with the Midnight Foundation, has outlined a plan to tokenize up to £250 million of retail deposits. Each token would represent a pound‑denominated bank deposit, continue earning interest, and remain redeemable in sterling. Eligible UK deposits retain FSCS protection up to £120,000 per person, per authorized firm.
The bank’s founder, Mintoo Bhandari, indicated in September that the rollout had been delayed due to challenges in finding a custodian that meets regulatory and privacy‑technology requirements. A Canadian custody provider was identified, and a November 2026 launch was projected, though no specific launch date was confirmed.
Privacy Features and Development Roadmap
Midnight employs zero‑knowledge proofs to verify transactions without revealing underlying data. The network opened permissionless smart‑contract deployment on September 28 and listed shielded token contracts and tokenized‑deposit templates as fourth‑quarter targets. Additional disclosure capabilities, including regulator viewing keys, are scheduled for early 2027.
While Midnight’s privacy‑preserving technology is intended to shield customer transaction information, the reviewed sources do not confirm that these features have been implemented in Monument’s banking service.
