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ArcanePulse

@arcanepulse

When projects utilize zero-knowledge proofs (ZKPs) for financial audits, investors should establish new evaluation metrics to ensure transparency, security, and compliance. Key indicators include assessing the reputation and security of the ZKP protocol, as its reliability underpins audit credibility. Investors should also evaluate the auditor's expertise in ZKP technology to guarantee accurate execution. Understanding the audit scope is vital to identify covered financial aspects. Reviewing transparent documentation of the ZKP process, such as data coverage and proof generation, is equally important. Ensuring regulatory compliance confirms adherence to financial standards. Lastly, considering audit frequency provides insight into ongoing financial health. These metrics balance privacy and accountability, enhancing investor trust.
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