Description

Purpose and use

KYT records the compliance assessment of a payment or crypto movement before, during, or after execution. It helps the bank identify suspicious transactions, high-risk wallets, sanctions concerns, and transactions requiring manual review.

Who uses this. Compliance officers, financial-crime operations, payment operations, and audit teams use KYT results when deciding whether to release, hold, reject, or further investigate a transaction.

How it works. A transaction or crypto activity is screened and receives status, labels, risk indicators, provider response data, and review metadata. The result can be queried later from the transaction investigation workflow.

What users do. Users review KYT responses, filter by status or label, open the related transfer, and document any follow-up action such as release, hold, escalation, or remediation.

Outcomes and side effects. KYT can pause or reroute a transaction workflow, create compliance evidence, and support later audit review. It does not itself post ledger entries; transfer execution decides whether funds move.

Related manuals: Transfers, Risk Assessment, CRP Network Fees, Tasks.

Overview

The KYT (Know Your Transaction) package provides functionality for monitoring and analyzing financial transactions for compliance purposes. It helps identify suspicious activities and ensures regulatory compliance by analyzing transaction patterns and metadata.

API Methods

Get All KYT Responses

GET /v1/kyt

Retrieves all KYT transaction responses with pagination support. This endpoint allows compliance officers and risk managers to review transaction monitoring results across the system.

Query Parameters

• limit (integer): Maximum number of records to return
• offset (integer): Number of records to skip for pagination

Response

[
  {
    "id": "123e4567-e89b-12d3-a456-426614174000",
    "transaction_id": "987fcdeb-51a2-43f1-9b2c-8d7e6f5a4b3c",
    "status": "Not Suspicious",
    "label": "All Good",
    "risk_score": 0.1,
    "created_at": "2024-03-20T10:00:00Z",
    "updated_at": "2024-03-20T10:00:00Z"
  }
]

Get KYT Response by Transaction ID

GET /v1/kyt/{transaction_id}

Retrieves KYT analysis results for a specific transaction by its ID. This endpoint provides detailed compliance information for individual transactions.

Path Parameters

• transaction_id (uuid): Unique identifier of the transaction to analyze

Response

{
  "id": "123e4567-e89b-12d3-a456-426614174000",
  "transaction_id": "987fcdeb-51a2-43f1-9b2c-8d7e6f5a4b3c",
  "status": "Not Suspicious",
  "label": "All Good",
  "risk_score": 0.1,
  "analysis_details": {
    "source_risk": "low",
    "destination_risk": "low",
    "amount_risk": "low",
    "frequency_risk": "low"
  },
  "created_at": "2024-03-20T10:00:00Z",
  "updated_at": "2024-03-20T10:00:00Z"
}

Status Values

The KYT system uses predefined status values to categorize transaction risk:

• Not Suspicious: Transaction passed all compliance checks
• Open: Transaction requires further investigation
• Suspicious: Transaction flagged for potential compliance issues

Label Values

Transaction labels provide quick visual indicators:

• All Good: No compliance concerns detected
• Soft Stop: Minor compliance issues requiring attention
• Hard Stop: Serious compliance violations requiring immediate action

Use Cases

• Compliance Monitoring: Automated screening of financial transactions
• Risk Assessment: Evaluation of transaction risk levels
• Regulatory Reporting: Support for regulatory compliance requirements
• Fraud Detection: Identification of potentially fraudulent activities
• Audit Trail: Comprehensive record of compliance decisions