On-chain privacy has never been about concealing illegal activities, but rather an essential financial protection and risk management capability in the Web3 ecosystem. This privacy protection actually represents the fundamental survival basis in a decentralized environment—users need to safeguard their assets and transaction privacy on transparent chains. As the ecosystem develops, on-chain privacy mechanisms resistant to threats are gradually evolving into industry-standard configurations for Web3. The value of privacy is not in moral controversy, but in the risk control infrastructure functions it provides to DeFi users and institutional participants. This will ultimately become a default essential attribute of the Web3 financial system.