AlphaTON Capital (Nasdaq: ATON) has finalized a definitive agreement with the Midnight Foundation to bring zero-knowledge (ZK) privacy to Telegram’s one billion users, a deal that establishes a 20% revenue-share model and positions the firm as a cornerstone of the messaging app’s artificial intelligence infrastructure.
The partnership, announced Tuesday in New York, designates AlphaTON as a Founding Federated Node Architecture Provider for the Midnight network, a privacy-centric blockchain spearheaded by Cardano founder Charles Hoskinson.
By integrating Midnight’s programmable privacy layer with Telegram’s “Cocoon AI” confidential compute network, the venture aims to launch the first suite of AI agents capable of handling sensitive financial and personal data without exposing it to third parties.
Bringing Zero-Knowledge Privacy to Telegram at Scale
The deal arrives as Big Tech faces mounting scrutiny over data harvesting. AlphaTON’s strategy hinges on “digital sovereignty,” offering users sophisticated AI for shopping and support while ensuring messages and credentials remain private.
“The next leap for the internet is the restoration of personal agency,” said Fahmi Syed, President of the Midnight Foundation, noting that the partnership allows decentralized tech to scale for real-world demand.
Under the legally binding Federated Node Agreement, effective Dec. 30, 2025, AlphaTON will operate one of ten founding nodes. The structure provides immediate monthly compensation for development and node services starting in Q1 2026. This revenue is further bolstered by a 20% share of fees generated across the privacy tech stack.
“We are capturing a first-mover advantage in a market projected to reach trillions,” said Enzo Villani, AlphaTON’s Chairman. The firm recently closed a $46 million deal for NVIDIA B300 GPU clusters to power this “confidential compute” expansion, signaling a pivot toward high-margin AI infrastructure.
Broadening the ecosystem’s liquidity, eToro recently joined the list of major exchanges supporting NIGHT, the Midnight network’s utility token. By listing NIGHT, eToro facilitates wider participation in the infrastructure that powers these privacy-first AI agents.
With AlphaTON already deploying specialized hardware in zero-emission Nordic data centers, the company is betting that the future of the “super app” economy is not just intelligent, but invisible to the prying eyes of centralized servers.
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