2026-01-14 13:20:30

The long-standing contradiction between privacy technology and regulatory frameworks has been a topic of debate, but Dusk Foundation has proposed an interesting solution: using zero-knowledge proofs to truly make the two compatible.

Their latest launch, the Citadel protocol, is an implementation of this idea. What is the core logic? When users complete institutional compliance verification, they do not need to reveal personal privacy data—all verification processes are completed through cryptographic proofs. Institutions receive a "compliance passed" proof, rather than the personal privacy data itself.

This is crucial for the RWA track. Traditional financial institutions entering the blockchain world are most concerned about compliance issues, while privacy coin projects are often wary of regulators due to "excessive privacy." Dusk attempts to strike a middle ground—protecting user sovereignty while meeting institutional compliance requirements.

The L1 track now has many players, but few projects truly understand the logic that "privacy ≠ evasion." If this solution can be successfully implemented in practical applications, $DUSK's position in the future compliant financial landscape is definitely worth watching.

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GateUser-e87b21ee

· 13h ago

Zero-knowledge proofs sound promising, but whether they can actually be implemented depends on future developments. However, compared to projects that claim to focus on privacy, Dusk's approach is indeed a bit smarter.

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MindsetExpander

· 13h ago

Zero-knowledge proofs are truly brilliant; they can ensure compliance without revealing privacy, hitting the pain points of traditional finance.

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MEVSupportGroup

· 13h ago

The zero-knowledge proof approach is indeed clever, neither ignoring regulation nor compromising privacy. I just wonder how it will actually be implemented in practice.

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LayoffMiner

· 13h ago

Zero-knowledge proofs are indeed an interesting approach, but can they really be implemented in practice? --- Can privacy and compliance coexist? It sounds great, but we'll see if Dusk can withstand the regulatory pressures. --- Basically, you want both fish and bear paws, but is it easy for regulators to fool around with... --- I like this idea, but with so many L1s, only a few can really succeed. --- The future of compliant finance definitely needs to be done this way, otherwise traditional institutions will never get in. --- Wait, can the verification efficiency of zero-knowledge proofs really keep up? I haven't seen the details in this area. --- It's interesting, but it seems that regulatory standards vary across regions, so Dusk needs to break through one by one.

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