RWA tokenization has become one of the most stable tracks by 2026. BlackRock's BUIDL products and the entry of various institutional funds have made the on-chain RWA scale easily surpass hundreds of billions of dollars.

Behind the seemingly prosperous scene, there is an unavoidable contradiction: can user privacy protection and regulatory compliance requirements be achieved simultaneously?

This is the core issue that Dusk Network aims to solve. Unlike other privacy solutions, Dusk does not take the route of "complete anonymity," but instead creates a new paradigm—compliant privacy.

Dusk was launched as early as 2018, with its initial focus on regulated financial infrastructure. What is its killer feature? The combination of zero-knowledge proofs and homomorphic encryption to realize a selective disclosure mechanism.

To put it simply: transactions are encrypted by default, and your balances and transfer amounts are completely invisible to outsiders. But if there is a need to prove information to regulators or auditors, the holder can actively disclose it. This design is truly brilliant—it meets the rigid needs of hedge funds for position confidentiality without falling into the regulatory dilemma of "inability to audit."

The launch of DuskEVM puts this concept into practice. Especially with the Hedger module, which allows any token or asset to achieve confidential transfer while maintaining auditability. When the mainnet officially launches in January 2026, developers will be able to deploy privacy smart contracts directly.

Imagine this scenario: tokenized stocks, bonds, real estate shares circulating on-chain, investors do not need to expose their holdings details but can still pass KYC/AML checks smoothly. For the RWA ecosystem, this means moving from "ideal" to "usable."