I almost skipped past one line on dusk’s own page about how security tokens actually work, then went back and reread it because it didn’t match the pitch sitting right above it.

everything above that line is the self-custody story — your keys, zero-knowledge privacy, institutions holding their own assets without a custodian in the middle.

then, in dusk’s own words: the issuing company can freeze and force-transfer a “misplaced” security token, at their discretion.

that’s not a hypothetical buried in a whitepaper appendix. it’s stated plainly, on their own regulated-finance page, listed as one of the built-in protections for institutional investors right alongside multi-sig and whitelisting.

i get why it exists. regulated securities need a recovery path — wrong address, lost keys, a genuine mistake shouldn’t mean the asset is gone forever the way it would with a normal crypto transfer. that’s a reasonable, arguably necessary feature for anything actually serving real capital markets.

but “at their discretion” is doing a lot of work in that sentence. not “with a court order.” not “after an on-chain dispute process.” the issuer’s own judgment call.

so self-custody here comes with an asterisk dusk states outright rather than hides: your keys, until the company that issued the asset decides your holding counted as misplaced.

#dusk @Dusk $DUSK