Many people are currently discussing RWA, which is essentially bringing real-world assets onto the blockchain. This is gradually becoming a bridge between traditional finance and Web3. What the Dusk Foundation is doing is quite interesting—they are not simply pursuing decentralization but are truly integrating privacy protection with regulatory compliance.

From the very beginning, Dusk has been working within the European regulatory framework. Regulations like MiFID II and MiCA are mandatory for financial institutions. Many blockchain projects either circumvent these regulations or compromise on them. But Dusk directly incorporates these into their product design and also adds a DLT pilot mechanism, allowing financial institutions, payment providers, and custodians to use on-chain solutions with greater confidence. This indeed sets a high threshold.

What’s even more interesting is how they balance privacy and compliance. Using PLONK zero-knowledge proof technology, combined with the RUSK privacy smart contract platform and the isolated Byzantine protocol, users can selectively disclose necessary information to pass audits while protecting their core business data and privacy. It sounds very technical, but the practical significance is—institutions get the transparency they need, and users’ sensitive information remains secure.

$DUSK, as the core of the ecosystem, supports the operation of this decentralized financial network. Although still in development, this approach offers a quite innovative perspective for the RWA track.