Dusk (DUSK) Balances Privacy Economics Against Audit And DeFi Expectations Dusk operates at a difficult intersection between institutional compliance and decentralized finance norms. For Dusk Network, zero knowledge privacy is a core feature, but it introduces economic tension when auditability and open DeFi expectations diverge. Institutions require confidentiality to protect sensitive data, yet auditors still demand verifiable assurance. Dusk addresses this through selective disclosure and cryptographic proofs, allowing compliance to be demonstrated without exposing full transaction details. This satisfies regulatory logic, but it changes how transparency is perceived on chain. DeFi ecosystems traditionally rely on open visibility for composability, monitoring, and risk assessment. Reduced transparency can limit how protocols interact, slowing experimentation and narrowing user participation. If applications struggle to integrate under privacy constraints, activity may remain concentrated rather than broad. This creates an economic balancing act. Too much opacity risks limiting DeFi engagement and fee diversity. Too much disclosure weakens the privacy guarantees institutions value. Token demand then depends on whether Dusk can support both models without compromising either. For DUSK, long term sustainability hinges on execution. Privacy must remain auditable enough for regulators and predictable enough for decentralized systems. If that balance holds, Dusk can serve both worlds. If not, economic activity may skew toward one side, constraining overall network utility.

@Dusk $DUSK #dusk