Recently, I have been contemplating the technical design of the Piecrust virtual machine, and there is an interesting perspective—how it optimizes liquidity in the privacy ecosystem through the WASM execution environment.

Let's talk about the concept of "yield curve." In the context of a virtual machine, it is not just a simple risk-return mapping, but a metaphor for how a system balances multiple dimensions: development efficiency, runtime performance, and privacy protection capabilities—all ultimately pointing toward liquidity as the financial endpoint. The bridging work that Piecrust aims to do is achieved through Rust-based WASM technology.

Why can WASM serve as this bridge? There are three solid benefits. The first is that it significantly lowers the barrier for developers. Existing financial institution developers can compile code written in Rust, C++, Go, and other languages into WASM for execution. They are not bound to a specific domain language, and legacy algorithms and logic can be directly migrated. The second is execution performance. Faster contract execution means lower transaction latency and reduced gas costs, which is especially critical for high-frequency DeFi and institutional trading scenarios. The third, which might be overlooked, is its synergy with zero-knowledge proofs. Complex financial logic executed efficiently within the VM can have its execution trace and state changes efficiently "translated" into zero-knowledge proofs. A good WASM runtime acts as the interface between these two systems.

Now, looking at "bridging liquidity." Liquidity is not just about having a lot of money; it also depends on how much it costs and how convenient it is for money to flow in and out. If the virtual machine is heavy, expensive, and difficult to develop on, market makers and sophisticated traders will avoid it, which naturally harms liquidity. Piecrust reduces what can be called the "non-privacy costs" in the privacy ecosystem through WASM—making it easier and cheaper to develop advanced applications like dark pools and structured products. As applications become more diverse, funds seeking different risk-return profiles will be attracted. Ultimately, this leads to deeper and more resilient liquidity.

At its core, this "yield curve" design illustrates that by optimizing technology to reduce development and execution friction, we can foster a richer financial ecosystem and greater overall liquidity. This is the long-term story.