CZ is right: There is a structural gap in Web3 trading

Key Points

1. CZ's proposal for a dark-pool DEX addresses the lack of privacy, scale, and sophistication in Web3 trading, which is increasingly driven by institutions and large stakeholders.

2. Current Web3 infrastructure exposes high-volume traders to risks like front-running, copy-trading, and wallet surveillance, similar to issues dark pools solve in traditional finance.

3. A dark-pool DEX would use technologies like zero-knowledge proofs or multiparty computation (MPC) to conceal trade mechanics until finalized, protecting against MEV bots and manipulation.

4. The proposal reflects a systemic need for Web3 infrastructure to evolve, incorporating execution privacy, intelligent safeguards, and a clear distinction between transparency and exposure.

5. Web3's maturation requires tools that support private, large-scale trading, moving beyond the assumptions of the past decade.