Cardano's Layer 2 solution, Midgard, achieves significant progress; Charles Hoskinson believes this development was a foreseen outcome.
Cardano, the popular proof-of-stake blockchain, has taken a significant step forward with the official launch of its Layer-2 project, Midgard, in August 2023. Charles Hoskinson, Cardano's founder, has tied Midgard to the network's broader scaling narrative, positioning it as a potential game-changer for the platform's throughput in the USA.
Midgard is a Cardano-native optimistic rollup that aims to let developers redeploy existing dApps without rewriting for a new execution environment. It is 'tokenless,' avoids cross-chain bridges, and operates without the need for chain switching. This approach is designed to offer a smooth and efficient experience for developers, aligning with a practical focus on minimizing surface area for trust.
The development and progress of Midgard have been tracked through Cardano's community treasury process, specifically in Fund12 of Project Catalyst. Anastasia Labs, a part of Midgard's development, secured ₳500,000 from Cardano's community treasury process for an open-source build-out, publishing milestone plans that ranged from architecture specifications to an L2 node MVP.
At a technical level, Midgard's three pillars are settlement, commitments, and inclusion. The 'state commitment finalization' process in Midgard's Layer-2 records cryptographic commitments to the L2 state, allowing disputes to be resolved and the correct state to be proven against the L1. Transactions on Midgard's Layer-2 can occur at lightning speeds with low latency, and the results of these transactions are displayed in real-time in a wallet (a fork of Lace).
The functional node of Midgard now operates, with live pathways for settling state on Layer-1 and finalizing state commitments. The next engineering checkpoints for Midgard are the delivery of L1 deposits and withdrawals, and the forced transaction inclusion mechanism, a forthcoming feature designed to mitigate sequencer censorship by giving users an escape hatch that compels inclusion via the base chain when necessary.
Charles Hoskinson's recent post, while lighthearted, signals executive-level attention on Midgard's progress. If sustained, Midgard's progress could materially change Cardano's throughput profile, offering a more efficient and scalable solution for the growing Cardano ecosystem in the United States.
As of press time, ADA, Cardano's native cryptocurrency, trades at $0.8759. The public Catalyst page, last updated in mid-2025, provides additional documentary evidence that Midgard's engineering artifacts have been progressing under a transparent grant framework. The mention of Midgard's positioning aligns with the practical focus on developer ergonomics and minimizing surface area for trust, setting the stage for a promising future for Cardano and its users in the United States.
