Global major financial institutions are increasingly paying attention to the cryptocurrency ecosystem, which has driven up the market's dual demand for transparency and privacy. Interestingly, these two requirements inherently conflict with each other.

Just think about it — with the full implementation of the EU's MiCA regulations by 2026, purely anonymous coins like Monero face delisting risks, while overly transparent public blockchains like early Ethereum cannot meet institutional users' needs for protecting trade secrets. The market is caught in a dilemma: it needs to be transparent enough for regulators to see, yet invisible to competitors.

This is precisely the entry point for some new privacy projects. They use technological means to solve this seemingly contradictory problem — supporting compliance and regulation while protecting user privacy. Especially those solutions that balance settlement speed, legal compliance, and privacy protection are gradually gaining favor among financial institutions.

From a technical perspective, these projects typically adopt innovative mechanisms such as zero-knowledge proofs(ZKP), proof of stake(PoS), etc. The core value lies in achieving privacy protection for DeFi applications while meeting local regulatory requirements, providing users with fast settlement, confidentiality, and ease of use. This triangular balance is increasingly attracting the attention of traditional financial practitioners.