When it comes to bringing traditional finance onto the blockchain, many people's first reaction is to use public chains. But it's not that simple.

Imagine you're a large asset management firm looking to tokenize billions of dollars in bond assets. The problem is: every transaction and wallet address on a public chain is transparent, so your trading strategies and holdings data are fully exposed. Competitors and market players can see everything. This is a nightmare for institutions.

On the other hand, if you use purely anonymous chains to solve privacy issues, compliance departments get upset—regulators require KYC and AML checks. How can you pass inspections if everything is a black box? It’s impossible. This creates a classic deadlock: either privacy is compromised, or compliance is not met.

DUSK’s approach is different. It directly employs Zero-Knowledge Proof (ZKP) technology combined with selective disclosure mechanisms to achieve a form of "controllable privacy" on-chain. What does this mean? By default, all transaction and account information are encrypted and protected, keeping sensitive business data secure. But when needed, authorized parties (such as regulators or auditors) can verify specific transactions or holdings through special proofs, without exposing all data.

In this way, DUSK becomes a true bridge—protecting institutional business privacy while satisfying regulatory compliance. For the trillions of dollars in RWA markets, this infrastructure that enables on-chain activity without sacrificing privacy or regulatory adherence is exactly what traditional financial institutions have been waiting for.