StableKYT · Know Your Transaction
Where StableKYC gates identity at S2, StableKYT monitors at S4–S7. Chainalysis, Elliptic, and TRM at L4 Middleware. On-chain sanctions oracles at L3 Execution. GENIUS Act §104(d) monitoring obligations mapped to real infrastructure. The compliance layer that never sleeps.
Visual Architecture
Where transaction monitoring mechanisms embed in the five-layer Stablecoin Stack. Base leads at L3 with the Chainalysis on-chain sanctions oracle. TRON shows the gap.
The Monitoring Landscape
Why it matters: GENIUS Act §104(d) creates ongoing transaction monitoring obligations that go far beyond one-time sanctions checks. PPSIs must continuously analyze behavioral patterns, track cross-chain flows, and update customer risk profiles in real-time.
| Dimension | KYC (S2) | KYT (S4–S7) |
|---|---|---|
| Timing | Pre-transfer | During & post-transfer |
| Checkpoint | Gate (blocks) | Monitor (observes) |
| Subject | Customer identity | Transaction behavior |
| GENIUS Act | §104(a)–(c), §104(h) | §104(d)–(e) |
| Frequency | Once (at onboarding) | Continuous |
Analytics Infrastructure
Chainalysis, Elliptic, and TRM Labs provide the middleware-layer KYT infrastructure that PPSIs depend on. Each covers different analytical dimensions — none covers everything alone.
How it works: Real-time transaction risk scoring via the KYT API, plus full graph analysis via Reactor for investigations.
How it works: Wallet screening and cross-chain transaction tracing with a focus on exposure analysis.
How it works: Cross-chain intelligence platform with entity attribution and multi-protocol analytics.
GENIUS Act §104(d) & §104(e)
What to know: §104(d) creates ongoing transaction monitoring requirements and §104(e) mandates SAR filing for suspicious activity above $5K. Together, they define the KYT compliance surface that StableKYT maps.
| Section | Requirement | KYT Function | Severity |
|---|---|---|---|
| §104(d)(1) | Real-time transaction monitoring for all customer transfers | Chainalysis KYT API, Elliptic Lens, TRM Risk API | Critical |
| §104(d)(2) | Update customer risk profile when transaction triggers risk threshold | Risk-trigger callback → KYC re-verification | High |
| §104(d)(3) | Behavioral pattern detection (structuring, layering, smurfing) | Reactor graph analysis, heuristic rule engines | Critical |
| §104(d)(4) | Cross-chain transfer tracking across bridge and protocol hops | Elliptic Navigator, TRM cross-chain module | High |
| §104(e)(1) | SAR identification: transactions >$5K with suspicious indicators | Threshold monitoring + indicator flagging | Critical |
| §104(e)(2) | File SARs with FinCEN within required timeframe | SAR generation + FinCEN BSA e-filing | Critical |
| §104(e)(3) | Retain SAR records for 5 years from filing date | Compliance data retention infrastructure | High |
| §104(e)(4) | Notify law enforcement for transactions involving known threats | Automated escalation + LEA notification workflow | High |
Live Proof-of-Concept Demos
Each demo calls real APIs or on-chain data. Full Cloudflare Worker source included — copy, deploy, and extend.
Query the Chainalysis sanctions oracle smart contract on Ethereum mainnet. Checks whether an address is on the OFAC SDN list via a code-enforced on-chain call — the L3 KYT mechanism that PPSIs need for real-time sanctions screening.
Client-side heuristic engine that detects suspicious transaction patterns — structuring, round-tripping, rapid movement, and smurfing. Maps each detected pattern to the specific §104 monitoring obligation it satisfies.
Interactive matrix mapping every §104(d) monitoring obligation and §104(e) SAR filing requirement to specific vendor capabilities. See which vendors cover which requirements — and where the critical gaps are.
| Requirement | chainalysis | elliptic | trm-labs | on-chain |
|---|---|---|---|---|
§104(d)(1) Real-time transaction monitoring | ✓ | ✓ | ✓ | ✓ |
§104(d)(2) Risk-trigger customer info updates | ◐ | ✗ | ✗ | ✗ |
§104(d)(3) Behavioral pattern detection | ✓ | ◐ | ✓ | ◐ |
§104(d)(4) Cross-chain transfer tracking | ◐ | ✓ | ✓ | ◐ |
§104(e)(1) SAR identification (>$5K + suspicious indicators) | ✓ | ◐ | ◐ | ✗ |
§104(e)(2) SAR filing automation | ✗ | ✗ | ✗ | ✗ |
§104(e)(3) SAR record retention (5 years) | ✗ | ✗ | ✗ | ✗ |
§104(e)(4) Law enforcement notification | ✗ | ✗ | ✗ | ✗ |
The Identity Triad
Three sites, three compliance functions, one Identity domain (T6). KYC gates humans at S2. KYA gates agents at S2. KYT monitors transactions at S4–S7.
Platform Ecosystem