RiazGondal1

Key Takeaways: Dusk & AML
✔️ AMLD/KYC is built into the tech stack — not an afterthought.
✔️ Zero-knowledge proofs allow AML compliance without public exposure of personal/transaction data.
@Walrus 🦭/acc

✔️ Citadel lets users prove KYC/AML status once and reuse that credential.
✔️ Dusk supports both transparent and private transaction modes to meet different regulatory requirements.
✔️ Regulatory rules (like AMLD5, MiCA, Travel Rule) can be encoded and enforced at the blockchain level. �
Dusk Network +1
#walrus $WAL

AML Directives (like AMLD5 in Europe)
MiCA (Markets in Crypto-Assets Regulation)
Travel Rule and other reporting obligations

@Walrus 🦭/acc
KYC identity verification workflows
Selective disclosure for authorized auditors/regulators �

#walrus
DOCUMENTATION
These can be enforced in programmable form — meaning a contract knows the compliance rules and enforces them automatically.
$WAL

Shielded outputs can only be unshielded by their owners and are mathematically tied to compliance checks. �
DOCUMENTATION
This dual model helps satisfy AML obligations without sacrificing confidentiality where necessary.
@Walrus 🦭/acc
📑 5. Regulatory Frameworks Dusk Supports
Dusk’s compliance design lets developers and institutions encode actual legal standards directly in smart contracts and protocol layers, such as:

#walrus
AML Directives (like AMLD5 in Europe)
MiCA (Markets in Crypto-Assets Regulation)

$WAL

Dusk uses zero-knowledge proofs (ZKPs) to prove compliance attributes without revealing the underlying personal or transaction data. �
Dusk Network +1
This lets the network support AML standards like those required under EU AMLD5 and similar frameworks, while protecting confidentiality. �
DOCUMENTATION

@Dusk
🔐 3. Zero-Knowledge KYC & AML with Citadel
Citadel is Dusk’s zero-knowledge KYC framework built into the protocol. It enables:
✅ Users to complete KYC/AML verification once and then reuse that verification across services.

#dusk
$DUSK

AML normally goes hand-in-hand with KYC (Know Your Customer) checks — meaning you prove who you are in order to prevent unlawful use of financial systems.

@Dusk
🛡️ 2. Dusk’s Design: Privacy and Compliance Together
Unlike many pure privacy-focused chains that aim for full anonymity, Dusk Network’s architecture includes built-in compliance primitives that let users and institutions satisfy AML/KYC requirements without exposing sensitive data publicly. The core idea is:

#dusk $DUSK

Here’s a clear summary of AML (Anti-Money Laundering) requirements and how Dusk Network approaches them — especially in the context of its privacy design and regulated finance use-cases.
🧾 1. What AML Means in General

@Dusk
AML (Anti-Money Laundering) refers to rules and systems designed to stop illicit money flows, such as fraud, terrorism financing, and structured layering of funds. In traditional finance, this means checking user identities, monitoring transactions, and reporting suspicious activity to regulators. On blockchain-linked systems (exchanges, custodial services, tokenized asset platforms), AML is a legal requirement in most jurisdictions.

#dusk
$DUSK