Yeah, it can become a dangerous cycle. Never getting enough sleep and keeping your mind active late into the night. I do it all the time though.
Someone once told me that the subconscious owns creativity, thus, in order for us to develop new ideas, we need to be able to shut off​​ the ego and working parts of our mind. For a lot of us that doesn't happen until we lay down to sleep.
I'm not sure if I agree with that or not. But it's​ a good thought.