Privacy is often demonized in the crypto world. When it comes to privacy, people immediately think of words like "anonymous" and "untraceable," resulting in this technology being long labeled as gray or problematic, as if it’s inherently flawed.

But look at how the real financial system operates. If the flow of corporate funds, transaction details, and customer records were all exposed to the public, the entire financial system would have collapsed long ago. Privacy is not some special privilege; it’s a fundamental feature that has been part of this system for hundreds of years.

So the key issue isn’t privacy itself, but how we define it. From a technical perspective, mechanisms like zero-knowledge proofs enable verification and protection of information simultaneously—you can prove a transaction is legitimate without revealing its specific details. When necessary, the system also supports authorized disclosures to meet regulatory requirements. This isn’t about weakening regulation; it’s about making regulation smarter and more precise.

This approach is very different from traditional "privacy chains." Traditional privacy chains focus on hiding actions, while this design considers how to enable legitimate activities to operate normally without overexposing information. Discussing privacy within a compliance framework turns it from a risk into a necessity.

Looking ahead, if finance truly moves onto the chain at scale, privacy won’t disappear; it will be reinterpreted. Future privacy models should align with real financial needs rather than remain in the realm of anonymous fantasies.