The Dilemma and Breakthrough of Privacy Coins
In the context of tightening regulations, privacy coins like Monero and Zcash face severe challenges. Multiple exchanges have delisted privacy coins, and some countries have classified them as illegal assets. However, market demand still exists, and a new generation of privacy solutions has emerged: zk-rollup projects like Aztec are implementing compliant privacy transactions on Ethereum; an improved version of Tornado Cash attempts to find a balance between privacy and regulation. The industry is exploring compromise solutions such as 'selective disclosure,' striving to protect user privacy while meeting anti-money laundering requirements. This game of privacy versus regulation will profoundly impact the future development direction of cryptocurrencies.