When Regulation Meets Innovation: How Lagrange Makes Web3 Both Compliant and Free
The development of Web3 has always faced a contradiction: how to protect privacy and ensure freedom while meeting regulatory requirements for 'traceability'? Lagrange (#Lagrange ) provides a balanced solution with ZK technology—allowing users to enjoy the convenience of anonymous transactions while providing regulatory authorities with the 'necessary transparency' to achieve 'privacy and compliance coexisting'.
Specifically, it has designed a 'selective disclosure' mechanism. For example, in anti-money laundering scenarios, a user's transaction is private by default, but when regulators need to verify, the system can generate a specific ZK proof that only discloses key information about the 'legitimacy of fund sources' to authorized entities, without revealing other private data. This model of 'keeping what should be hidden hidden, and revealing what should be revealed' not only complies with global anti-money laundering regulations (such as the FATF Travel Rule) but also does not compromise user experience.
This is particularly important for enterprise users. A cross-border payment company using Lagrange to process remittances can ensure the authenticity and validity of transactions through ZK proofs, meeting various countries' regulatory requirements for 'anti-fraud', while protecting users' account information from being accessed by third parties. This dual advantage of 'compliance + privacy' allows traditional financial institutions to confidently embrace #Web3 .
$LA tokens play the role of 'rule makers' in this context. Holders decide through governance voting which scenarios require 'selective disclosure' and how to set the fees for proof generation, ensuring the ecosystem finds a balance between innovation and compliance. @Lagrange Official is proving that the future of Web3 is not 'against regulation', but rather building 'trustworthy freedom' with technology. #lagrange is perhaps building the 'compliance bridge' that connects the crypto world and traditional finance.
