Why are traditional financial giants hesitant to enter the blockchain space?



It's not because the network isn't fast enough, nor is it due to a lack of liquidity. The real issue lies here — they need an entry point that both protects privacy and complies with regulatory frameworks.

Dusk is working on this. You can think of it as a two-way channel: one end connects to the decentralized innovation world, and the other leads to the rigorous traditional financial system. This bridge features privacy protection facilities and also leaves transparent channels for necessary audits.

It sounds simple, but implementing it is not easy. Dusk uses cryptographic technologies like zero-knowledge proofs to find a balance between transaction encryption and selective disclosure. Imagine this scenario: financial institutions issuing assets on-chain, with transaction details fully protected, yet regulatory authorities can conduct compliant reviews after obtaining authorization. This way, both parties can be assured.

Its core competitive advantage lies in its modular architecture. Institutions can flexibly assemble compliance solutions like building with LEGO bricks according to their needs — this level of customization and efficiency is hard for traditional systems to achieve.

The underlying security guarantees cannot be compromised. Its protocol-level privacy mechanisms and consensus algorithms are rigorously designed, tailored specifically to meet the stringent security requirements of financial institutions.

For developers, this is a new stage. Here, they can protect user privacy while building next-generation financial applications within a compliant framework. Such a space is rare.

The attitude of this project is particularly commendable — not following hype, but focusing on solving the most challenging problems. Amidst market noise, this calmness is especially valuable.

Innovation doesn't necessarily have to sacrifice compliance. Privacy and transparency don't have to be mutually exclusive. Good technology can create more elegant solutions. As traditional assets begin to explore on-chain adoption at scale, such bridges will become indispensable. This path may take more time, but the direction is correct.
DUSK-6,94%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 7
  • Repost
  • Share
Comment
0/400
AirdropHustlervip
· 01-12 13:49
Basically, it's still about regulation; traditional finance is used to this. It sounds like Dusk's approach is pretty good; zero-knowledge proofs can indeed find a balance between privacy and transparency. However, whether it can be truly implemented depends on what happens next. No matter how good the talk is now, we still have to wait for institutions to actually try it out.
View OriginalReply0
SnapshotLaborervip
· 01-12 00:26
Sounds good, but the real bottleneck is still the regulatory attitude; technology itself isn't the main issue.
View OriginalReply0
MelonFieldvip
· 01-11 16:55
Sounds good, but can this really reassure those guys on Wall Street? I guess we'll have to wait and see how it actually gets implemented.
View OriginalReply0
GamefiEscapeArtistvip
· 01-11 16:52
It sounds like an advertisement for Dusk, but I have to admit, the combination of compliance + privacy is exactly what traditional finance has been waiting for.
View OriginalReply0
GasFeeLovervip
· 01-11 16:43
Yeah, finally someone has explained this clearly. I'm really fed up with those who only talk about internet speed and liquidity.
View OriginalReply0
MoonlightGamervip
· 01-11 16:42
Basically, it's about finding a balance between privacy and compliance. This is indeed a difficult task. Dusk's approach sounds good, but whether institutions will buy into it when it actually launches depends on its subsequent performance. Zero-knowledge proofs sound impressive, but the key is to make traditional finance folks truly trust it. Focusing on technology instead of hype is rare in this circle; it feels like there's something substantial here. Wait, can modular architecture really solve problems that traditional systems can't? I'm a bit skeptical. How long will it take to build this bridge? It doesn't seem like a short-term project.
View OriginalReply0
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)