Cardano Founder Explains Why Midnight and NIGHT Differ Fundamentally From Ripple and XRP

Cardano founder Charles Hoskinson contrasts Midnight (NIGHT) with Ripple and XRP, arguing that the two models differ fundamentally in how value is created and distributed. 

Hoskinson made this known during a recent interview with Wendy O on “The O Show.” His commentary centers on ownership, token utility, and whether network growth directly benefits token holders. 

Key Points 

• Cardano founder Charles Hoskinson argues that Midnight (NIGHT) and XRP differ fundamentally in value creation and distribution. 
• He argues Ripple uses XRP sales to generate capital for external investments and acquisitions, but XRP holders never benefit from this model. 
• Hoskinson compares Ripple’s model to Tether’s, where value accrues mainly to a central entity. 
• His comments have reignited tensions with the XRP community, raising the prospect of renewed disputes with figures like Brad Garlinghouse. 

XRP Holders Don’t Benefit From Ripple’s Value Creation Model 

Speaking in response to questions about XRP’s recent momentum, Hoskinson acknowledged the token’s visibility but challenged the underlying structure supporting its growth. 

He claimed that Ripple retains significant control over XRP supply and uses the token as a mechanism to generate capital, which it then deploys into external ventures such as acquisitions and new business lines. 

According to him, this model creates a disconnect between XRP holders and Ripple’s broader financial success. While the company expands its footprint through moves like acquiring firms such as Hidden Road or launching new products, he argues that XRP holders do not gain ownership rights or direct financial exposure to those developments. 

He further pointed to the absence of staking or yield mechanisms as evidence that XRP’s value proposition is not designed to redistribute returns to holders. Instead, he likened the structure to Tether, in which a centralized entity captures most of the economic upside while users primarily benefit from access to the network. 

WATCH: Charles Hoskinson explains how Midnight and $NIGHT are “radically different” from Ripple and $XRP pic.twitter.com/i5H1Z8xDbF

— Wendy O (@CryptoWendyO) April 17, 2026

Midnight Is Radically Different 

In contrast, Hoskinson described Midnight and its NIGHT token as “radically different,” suggesting a model where tokenomics are more closely aligned with user participation.  

For context, the Midnight Foundation allocated the total supply to users across eight blockchains, including Cardano and XRP. However, only a few of these tokens were claimed by eligible beneficiaries who held at least $100 of the supported tokens on the snapshot date. 

This differs from XRP, where around 80% of the pre-mined 100 billion supply was distributed to Ripple.  

Fresh Hostility Between Hoskinson and XRP Community Looms 

His recent commentary has reignited criticisms from some XRP proponents who suggest that Hoskinson is merely obsessed with Ripple and XRP. Both have been at loggerheads for several years, particularly during the peak of the Ripple lawsuit, but only resolved the differences after Donald Trump’s re-election. 

Following the reconciliation, Hoskinson suggested several initiatives to mend fences, including supporting XRP on the Lace wallet and XRP DeFi. 

However, the relationship between him and XRP proponents began to deteriorate again after he accused Ripple CEO Brad Garlinghouse of supporting the Clarity bill that makes XRP and other established tokens winners, while newer projects are automatically classed as securities. 

His recent commentary about how NIGHT differs from XRP has reignited discussions that another lengthy dispute might be around the corner.