Protection of financial privacy should not only involve user data; an institution’s own risk models may also be sensitive information.
How an organization sets its credit standards, risk thresholds, and asset parameters often reflects years of accumulated business experience. If all decision logic must be fully disclosed just to be executed on-chain, financial institutions may actually be less willing to move core business operations to public networks.
That’s also a new angle I thought of today when observing @Dusk . The value of privacy smart contracts is not only to hide transaction amounts; it can also be extended to ask: can a set of financial rules be executed correctly without requiring all participants to see the complete model parameters and input data?
For #dusk , this capability would be very meaningful in the real world. Users need to know whether their actions comply with publicly available rules, but they don’t necessarily need to obtain the institution’s entire internal risk-control details. Conversely, institutions should not make execution results unverifiable merely to protect the model.
If $DUSK can better combine “trustworthy rule execution” with “keeping business logic confidential,” privacy can protect not only individuals but also the truly valuable knowledge assets of financial institutions.
How an organization sets its credit standards, risk thresholds, and asset parameters often reflects years of accumulated business experience. If all decision logic must be fully disclosed just to be executed on-chain, financial institutions may actually be less willing to move core business operations to public networks.
That’s also a new angle I thought of today when observing @Dusk . The value of privacy smart contracts is not only to hide transaction amounts; it can also be extended to ask: can a set of financial rules be executed correctly without requiring all participants to see the complete model parameters and input data?
For #dusk , this capability would be very meaningful in the real world. Users need to know whether their actions comply with publicly available rules, but they don’t necessarily need to obtain the institution’s entire internal risk-control details. Conversely, institutions should not make execution results unverifiable merely to protect the model.
If $DUSK can better combine “trustworthy rule execution” with “keeping business logic confidential,” privacy can protect not only individuals but also the truly valuable knowledge assets of financial institutions.