When it comes to RWA, people often only see the opportunities of asset onboarding but overlook a cold hard reality—without privacy protection, major Wall Street institutions simply won't take it seriously. Imagine, which fund manager would put their building strategies, trading timing, and position sizes all on a transparent ledger for others to scrutinize? This is the real barrier preventing institutional capital from entering.

On-chain transparency is a natural attribute, but it also creates a paradox. What enterprises and institutions need is not complete anonymity and black box secrecy, nor full disclosure, but a kind of "one-way transparency" that can demonstrate compliance to regulators while protecting sensitive business information. It sounds contradictory, but there are technical solutions.

Take Dusk as an example. Its approach is to use zero-knowledge proof technology to address this issue. Unlike some projects that treat ZK as a tool to evade regulation, Dusk takes a different path: implementing "provable privacy" through cryptography—allowing me to prove to regulators that my funds are legitimate and my holdings are compliant, while keeping specific details like exact numbers and counterparties completely confidential. This capability is almost essential for traditional financial giants.

From a technical stack perspective, Dusk has invested effort into the Piecrust virtual machine. It’s not a general-purpose computing platform but a specialized engine tailored for privacy-focused financial scenarios. While other projects are still optimizing throughput and competing on speed, Dusk is doing something more fundamental—resolving the contradiction between privacy and compliance. In this critical difference, technical strength is ultimately the key to attracting large capital.