Last time, we reviewed the core risks faced by Dusk Network. This time, we're going for something even more intense—using a few near "disaster-level" hypothetical scenarios to see just how resilient and adaptable this project truly is. In simple terms, to identify where its safety margins lie.

**Scenario 1: Sudden regulatory crackdown, global crackdown on privacy technology**

What is the worst-case scenario? Regulatory authorities in Europe and America issue a decree declaring all blockchain transactions with default privacy features to be illegal, requiring a forced switch to transparent mode. For Dusk, this would be devastating—privacy is its core selling point.

But there's a silver lining: Dusk's "Auditable Privacy" architecture leaves room for maneuver. Unlike fully anonymous privacy solutions that are untraceable by regulators, Dusk's design considers compliance from the start. The team can respond by: first, emphasizing that the technology itself is compliant and open to regulation; second, proactively proposing to have the audit keys managed by multi-signature escrow controlled by regulatory agencies; third, quickly adjusting default configurations without changing the core architecture. Plus, Dusk has already established communication channels with traditional financial regulators, which can serve as buffers in negotiations. Simply put, compared to fully anonymous chains cornered into a dead end, Dusk has more room to maneuver.

**Scenario 2: Crypto market enters a prolonged downturn, institutional funds dry up**

Imagine a bear market lasting five or ten years, where concepts like RWA (Real-World Assets) lose their appeal, VC funding dries up, ecosystem financing stalls, and user growth stagnates. This tests the project's ability to sustain itself.

Dusk's confidence comes from several points: first, through early private placements and treasury reserves, the project has accumulated some financial ammunition. Second, its technical approach—protecting privacy while allowing audits—remains relevant amid the broader trend of digital transformation in traditional finance. Institutions may be indifferent to hot crypto concepts, but the demand for privacy + compliance solutions that can be applied in real business scenarios always exists. Additionally, Dusk's ecosystem isn't built on reckless spending to attract users but focuses on technical depth and practical implementation. This means that even if the market cools, it can maintain operations at relatively low costs and wait for the next opportunity.

The logic behind these two extreme scenarios is quite clear: Dusk's competitiveness doesn't rely on riding the wave of trends but on the practicality and adaptability of its technology. Regulations will change, markets will fluctuate, but the need for a balance between privacy protection and transparent auditing is long-lasting.