As I was beginning to research how blockchains could give privacy without raising eyebrows, the concept of Dusk Network was close to me putting privacy as a verifiable accountability, rather than concealment. Finance Obscurity can be a potential source of regulation concern, yet Dusk, with help of the Rusk protocol, makes privacy a means of demonstrated responsibility, so that actions are verifiable without necessarily being visible.
This is based on the state transitioning capability of Rusk, the state transition of Dusk. It executes transactions and contracts in a deterministic fashion, which is, logic always executes in the same way, and zero-knowledge proofs can be used to ensure that it is correct but the details are secret. To institutions, this implies that establishing a trade or compliance check was carried out correctly, even though the balances and identities remain unknown, and this makes privacy a transparency of accountability.
Rusk justifies it by working with confidential smart contracts, in which the state remains concealed but results are verifiable. This verifiable accountability is central in a controlled environment: auditors receive evidence that there was compliance with rules, yet sensitive data remains secure and that does not fall into the trap of complete obscurity that may conceal malpractice or mistakes.
The design of the protocol focuses on long term utility Rusk is also optimized to run efficient ZK circuits, where verifiability is useful in the continued operation of financial entities such as asset tokenization. It is in line with the vision that Dusk has on compliant infrastructure where privacy will improve accountability rather than avoiding it.
The economic layer is the $DUSK token, which allows Rusk operations in the form of gas to prove and staking in order to guarantee security, which also enforces responsible participation.
In my opinion, Rusk makes the privacy model of Dusk a strength of institutions, a source of trust due to the verifiability in Web3 compliance trends.
What is the effect of verifiable privacy on accountability in your projects?
What is one of the dangers of obscurity in finance?
