Pre-bedtime review
In on-chain finance, privacy and transparency have always been discussed as opposing forces: either fully public or completely anonymous. But the real issue is that when real assets like securities and real estate start to go on-chain, the market needs to protect trading strategies while also meeting regulatory audits. Dusk is addressing this long-ignored middle ground.
In traditional finance, privacy is already the default setting, but the full transparency of public chains is almost unacceptable for institutions. Dusk's approach is very clear: privacy by default, compliance built-in. Through zero-knowledge proofs, transaction amounts and counterparties can be hidden; at the same time, asset issuers or compliant entities can selectively disclose when necessary to prove legality to regulators. This is not a patch after the fact, but a native capability of the protocol layer.
Mechanically, Dusk provides both a privacy trading model and a compliance account model, allowing for both peer-to-peer private transfers and seamless integration with exchanges and traditional financial entry points, with users able to switch freely. This flexibility is not available in many privacy chains.
More importantly, the path to implementation is clear. Dusk explicitly focuses on regulated RWA, not a generic public chain. With the launch of DuskEVM, developers can directly use familiar EVM tools to build applications and automatically inherit privacy and compliance capabilities; while DuskTrade, in collaboration with licensed institutions, truly brings securities issuance, trading, and settlement onto the chain.
Risks certainly exist, and the pace of institutional adoption and regulatory details still require time for validation. But the direction is clear: as asset tokenization becomes a trend, what we need is not a more exposed ledger, but smarter, controllable privacy financial infrastructure. Dusk stands at this intersection.
