Looking at the recent progress in the RWA (Real World Assets) track, honestly, it's a bit of a mixed bag. Projects everywhere are promoting the concept of "asset on-chain," but upon closer inspection, there's an unavoidable hurdle.

If a billion-dollar hedge fund wants to migrate its assets to the blockchain, would they choose a fully transparent public chain? Frankly, no one wants to expose their holdings, trading data, and risk exposure to the entire world. Imagine when their liquidation threshold might be triggered, or how many chips they hold—if all that information is known to everyone, it's basically suicide for financial institutions.

So the key issue isn't whether assets can be on-chain, but how to do so safely. This is also what has been attracting my attention recently—there must be a solution that allows financial institutions to meet regulatory requirements (KYC, audits, etc.) while protecting their core business data from leaks.

Zero-Knowledge Proof (ZKP) technology is essentially the answer. Its brilliance lies in being able to prove that a transaction or asset is genuine and valid, without revealing any specific details. From another perspective, institutions can undergo compliance checks while keeping sensitive data within a privacy layer—meeting regulatory demands without exposing their core secrets.

In this regard, truly implementable projects are few and far between. Some technologies remain at the white paper stage, while others are just old schemes with a new name. Infrastructure truly tailored for financial scenarios is even rarer. Piecrust Virtual Machine is one such design, specifically built for finance—it’s not something you can just tweak open-source code to use.

When large funds enter the market, they prioritize security and stability above all. They won't gamble on unreliable solutions. As the RWA application market potentially explodes around 2026, such foundational infrastructure solutions will become increasingly critical. Whoever can genuinely solve the privacy and compliance issues for financial institutions will hold the ticket to this cycle's entrance.