Hiddleston said: "Loki needs to evolve. The cycle was: Loki is trusted, he betrays, he becomes a villain, he learns to trust again, he's betrayed, he becomes trusting again, he can be trusted again, then he betrays or feels betrayed.
"It's just this endless cycle of trust and betrayal and resistance. And the character is essentially singing the same song over and over and over again. He's trapped on a wheel of repetition, a compulsion to repeat the same damage, the same story. And we are breaking that record."
Hiddleston said that Loki is now being released from that "trap" in the series.
"In this story, we're showing that he can change, that he can grow. And what if the experience of that, and the journey he goes on, actually changes something internal where he can potentially become someone else, or begin from a place of understanding that, if you know who you are, then who you choose to be is a different thing," he said.
"Loki" is streaming on Disney+ Hotstar Premium and Disney+ Hotstar VIP.