Key Takeaways
- Two Worlds, One Wallet: Lace Midnight is the first wallet to manage both Public (Unshielded) and Private (Shielded) assets in a single interface.
- The DUST Tank: A new dashboard in Lace Midnight that acts as your battery or fuel gauge for privacy-enabled transactions.
- Rational Privacy: Allows users to choose which economy to participate in by deciding whether to hold and transact with Shielded or Unshielded assets.
- Visual Clarity: Easily distinguish between asset types using the new "Shielded" badge system.
Welcome to the Hybrid Era
For years, blockchain has been a world of extremes. You either had total transparency, where everyone can see your entire financial history, or total secrecy, which can be difficult to use and risky for compliance.
Midnight changes that by introducing a hybrid model, and Lace Midnight is the first wallet built to handle it.
In this article, we'll show you how Lace Midnight manages these two different worlds, Public and Private, in a single and beautiful interface, and how you can master your new assets.
The Difference: Shielded vs. Unshielded
To understand your new wallet, firstly, there are two types of assets you'll see in Lace Midnight.
1. Unshielded Tokens (The Public World) These work just like the ADA or Bitcoin you're used to. When you send them, the transaction history is visible on the public blockchain. In Lace Midnight, NIGHT is an unshielded asset. This makes it ideal for public activities such as governance, where transparency is key.
2. Shielded Tokens (The Private World) This is where the unique capabilities of Midnight come into play. Shielded tokens are private assets whose balances are known only to you. When you transact with them, sensitive metadata like the sender, receiver, and amount is protected by Zero-Knowledge technology.
Your New Dashboard: A Tour of the Interface
We've redesigned the Lace Midnight "Tokens" tab to make managing this dual world intuitive. Instead of forcing you to switch between different wallets or accounts, Lace brings everything together. Here's what you'll see when you switch your network to Midnight.
1. The DUST Tank: Your Privacy Battery
At the top of your screen, you will see a prominent new section called the DUST Tank.
Think of this as your fuel gauge or a battery. By designating your NIGHT, you participate in the network's DUST generation mechanism, which creates the resource used for transaction fees on Midnight. Since DUST is private by nature, your tank shows you exactly how much energy you have stored up to power your private interactions.
- Status Indicators: You will see dynamic labels like "Refilling" or "Decaying". This tells you if your battery is currently charging up thanks to your NIGHT tokens, or if it is slowly draining because the existing designation was removed from your address.
2. NIGHT Designation: The Power Source
Right next to the tank, you'll find the Designation control.
As we mentioned in our previous article, NIGHT can be designated to participate in the DUST generation mechanism. In this section, you can assign your NIGHT to a specific address to start filling your DUST tank.
We've made this potentially complex process simple with a One-Click Setup. Just look for the "Generate DUST" button. Clicking this links your NIGHT to your own wallet, ensuring your battery stays charged and you always have a steady supply of fuel for your transactions.
Note: As seen above, once your designation is active, the button will change to 'Redesignate'
3. The Unified Asset List
Below the tank, your assets are listed. Unlike other platforms that might separate these tokens into different tabs, Lace Midnight lists your Unshielded assets alongside your Shielded ones, allowing you to see your total portfolio at a glance.
- How to tell them apart: You can instantly distinguish them by looking for the "Pill".
- Standard Assets: Tokens like unshielded NIGHT appear normally.
- Private Assets: Shielded tokens, such as "Native Token 1" shown below, are marked with a distinct blue "Shielded" pill next to the asset name.
This visual distinction ensures you never accidentally send a private asset publicly, or vice-versa.
Why "Rational Privacy" Matters
Why are both types of assets needed? Together, they form a hybrid strategy we call Rational Privacy. It gives you the freedom to choose your level of visibility for each asset you use. You can transact with Unshielded assets when you need transparency, such as for proving ownership, or use Shielded assets when you want to protect sensitive financial data.
Lace Midnight puts this choice in your hands. You don't have to be a cryptographer to use it. You just need to check your dashboard.
Get Hands-On
The best way to understand this hybrid model is to try it yourself. Download the Lace Midnight Preview to experiment with shielding tokens, designating NIGHT, and watching your DUST tank refill in real-time.
Download Lace Midnight Preview
Note: Features described here, such as DUST generation and the tank interface, are currently available for testing on the Preview network. Mainnet functionality will unlock as the network matures.
Lace Midnight functionality depends on the Midnight network development timeline, which is managed independently by the Midnight Foundation. Feature availability and timelines are subject to change based on network readiness.
This content is for informational purposes only and does not constitute financial, investment, or legal advice. It does not constitute an offer or solicitation to purchase NIGHT tokens or any other digital asset in any jurisdiction. Cryptocurrency investments carry risk. The availability of services may vary by jurisdiction.