@IOHK_Charles warns crypto can't survive 15 more years of users losing everything to hacks. Midnight is something that we "desperately needed as an industry," he said, arguing wallet, bridge and AI agent insurance are key to going mainstream.

What happened

Charles Hoskinson warned that if users continue losing funds to hacks for the next 15 years, the crypto sector will not survive, and he said the industry urgently needs “Midnight” insurance for wallets, bridges, and AI agents.

Confirmed

Global impact / market context

If users feel protected from hacks, they are more likely to keep assets in crypto, boosting transaction volumes and supporting the growth of related services such as DeFi and NFTs.

Analyst inference

The crypto industry has faced repeated high‑profile hacks that erode user confidence, prompting calls for stronger risk‑mitigation tools to attract mainstream participants.

Analyst inference

What to watch

1. Development of “Midnight” insurance products that cover wallet, bridge and AI‑agent losses, which could create a new revenue stream for insurers and lower user risk. Proposed
2. Adoption of insurance by major crypto platforms, which would signal confidence and could encourage institutional investors to allocate capital. Proposed
3. Regulatory response to crypto insurance, as lawmakers may require proof of coverage before approving new services or exchanges. Proposed

Evidence

• x.com