Privacy or compliance? This question has always put blockchain projects in a dilemma. If you want privacy, you have to give up regulation; if you accept regulation, you can only expose everything.

Dusk's approach is different. They use ZK to drive smart contracts and have designed a clever system—making transaction details "optional." Routine transactions remain confidential, but each transaction generates a compliance proof attached to it. This proof can verify that "all participants have passed KYC" and "the transaction complies with anti-money laundering rules," without revealing who exactly is involved.

The smartest part is this: they are not leaving a backdoor, but instead, they have formalized disclosure permissions into a programmable process. Want to see transaction details? Multi-signature authorization is required, and preset conditions must be met. It’s not up to a single institution to decide, but rather enforced through a technical framework.

Thinking this way, perhaps this is the true path to blockchain compliance. It’s not about complete anonymity that makes regulation impossible, nor about full transparency with no privacy. Instead, it’s about clearly defining boundaries and rules at the technical level, allowing privacy and compliance to coexist. Project teams, users, and regulators all need to shift their mindset, but the direction should be correct.