The on-chain financial landscape in 2026 is accelerating its evolution. At this inflection point, some technical solutions are beginning to truly address a long-standing challenge: how to enable institutions to participate in on-chain transactions while protecting privacy and meeting strict regulatory requirements.

As a Layer-1 blockchain specifically designed for regulated financial scenarios, Dusk Network achieves this delicate balance through zero-knowledge proofs (ZKP) and a dual-transaction model architecture (Phoenix + Moonlight). In simple terms, institutions can complete transactions on-chain with transaction content protected by privacy measures, while the data still meets the audit requirements of international regulatory standards such as MiCA and MiFID II. It's like finding an intersection point between two parallel lines.

What's even more interesting is the on-chain tokenization trend of real-world assets (RWA). As securitized products, bonds, commodities, and other traditional financial assets gradually move toward blockchain, privacy and compliance are no longer optional—they become mandatory. Once the RWA ecosystem matures, the barrier to participating in global financial markets will drop significantly—as long as privacy is properly protected, anyone can participate within a compliant framework.

From this perspective, such privacy blockchains are playing a crucial bridging role between TradFi and DeFi. If you're following the RWA track or the development direction of privacy technology, this direction is definitely worth continuously monitoring.