Midnight Token Standard (MTS)

A comprehensive token standard for the Midnight blockchain that enables the creation and management of both fungible and non-fungible tokens with fully on-chain metadata.

Overview

The Midnight Token Standard (MTS) provides a unified framework for creating tokens on the Midnight network. It addresses the unique characteristics of Midnight's architecture while drawing inspiration from established standards like ERC-20, ERC-721, ERC-1155, and Cardano's CIP standards.

Key Features

• Dual Token Types: Support for both non-programmable (native) and programmable (contract-managed) tokens
• On-Chain Metadata: All token attributes stored directly on-chain for permanence
• Media References: Efficient URI-based system for images and media files (IPFS, HTTPS, Arweave)
• Privacy-Ready: Designed with Midnight's privacy features in mind
• Multi-Token Support: Single contract can manage multiple token types
• Version Tracking: Built-in versioning for future extensibility

Repository Structure

midnight-nft-standard/
├── PROPOSAL.md           # Detailed design philosophy and technical specification
├── token_standard.pdf    # Formatted specification document
├── token_standard.typ    # Source for PDF generation
├── assets/              # Images and branding assets
└── examples/            # Implementation examples
    └── cli-demo/        # Complete CLI demonstration

The Standard

Metadata Structure

MTS stores comprehensive metadata on-chain while keeping media files accessible via URIs:

struct Metadata {
    name: Bytes<32>;              // Token name (REQUIRED)
    symbol: Maybe<Bytes<10>>;     // Token symbol
    decimals: Maybe<Uint<8>>;     // Decimal places (for fungible tokens)
    description: Maybe<Bytes<256>>; // Token description
    image: Maybe<Bytes<256>>;     // Primary image URI
    mediaType: Maybe<Bytes<32>>;  // MIME type of primary image
    version: Uint<16>;            // MTS version number
}

Token Types

Non-Programmable Tokens

• Held directly in user wallets
• Minimal contract interaction
• Ideal for: Simple NFTs, fungible tokens, loyalty points

Programmable Tokens

• Contract retains custody
• Custom transfer logic
• Ideal for: Gaming assets, regulated tokens, complex DeFi protocols

CLI Demo

The examples/cli-demo directory contains a complete implementation showcasing the MTS standard.

Prerequisites

• Bun runtime
• Midnight standalone node running
• Midnight Compact compiler (compactc)

Quick Start

# Navigate to the demo
cd examples/cli-demo

# Install dependencies
bun install

# Compile the smart contract
bun run contracts:compile

# Run the complete demo
bun run demo

The demo will:

1. Generate a new wallet and display the seed phrase
2. Request 10 DUST from the faucet
3. Deploy an MTS-compliant NFT contract
4. Mint an NFT with metadata
5. Query and display the minted NFT

Individual Commands

You can also run commands separately:

# Deploy a new contract
bun run src/index.ts deploy "My Collection"

# Mint an NFT
bun run src/index.ts mint "My NFT" --symbol "MNT" --description "A cool NFT"

# Query token metadata
bun run src/index.ts query <token-id>

Implementation Guide

Basic Contract Structure

// Common state for all MTS contracts
export ledger project_name: Opaque<"string">;
export ledger metadata: Map<Bytes<32>, Metadata>;
export ledger total_supply: Map<Bytes<32>, Uint<128>>;
export ledger is_programmable: Boolean;

// Constructor
constructor(nonce: Bytes<32>, project_name: Opaque<"string">) {
    // Initialize contract
}

// Mint function
export circuit mint(
    name: Bytes<32>,
    symbol: Maybe<Bytes<10>>,
    description: Maybe<Bytes<256>>,
    image: Maybe<Bytes<256>>,
    mediaType: Maybe<Bytes<32>>
): Bytes<32> {
    // Mint implementation
}

Using the Standard

1. Choose Token Type: Decide between programmable and non-programmable
2. Implement Interface: Follow the MTS specification for state and functions
3. Handle Metadata: Store all attributes on-chain, use URIs for media
4. Version Appropriately: Set version to 1 for MTS v1 compliance

Design Philosophy

MTS takes a hybrid approach balancing several considerations:

• Permanence: Core metadata lives on-chain forever
• Efficiency: Media files use appropriate external storage
• Flexibility: Support for various token implementations
• Compatibility: Familiar patterns from other ecosystems
• Innovation: Leverages Midnight's unique capabilities

Comparison with Other Standards

Feature	MTS	ERC-721	CIP-25	ERC-1155
Metadata Storage	On-chain	Off-chain URI	On-chain	Off-chain URI
Multi-token	✓	✗	✗	✓
Native Tokens	✓	✗	✓	✗
Privacy Features	✓	✗	✗	✗

Future Considerations

• Privacy Integration: Full incorporation of Midnight's privacy features
• Advanced Metadata: Support for complex nested structures
• Cross-Chain Compatibility: Bridging to other networks
• Governance Features: DAO and voting capabilities

Contributing

We welcome contributions to improve the MTS! Areas of interest:

• Implementation examples in different languages
• Testing frameworks
• Documentation improvements
• Security audits
• Feature proposals

Resources

• Midnight Network Documentation
• PROPOSAL.md - Detailed technical specification
• CLI Demo - Working implementation

License

This project is part of the Midnight ecosystem. See LICENSE for details.

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