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Compliance

AML/KYC for Enterprise Stablecoins: Meeting Regulatory Requirements

How to implement compliant onboarding, transaction monitoring, and suspicious activity reporting for stablecoin treasury operations.

14 min read
December 31, 2024
Anti-Money Laundering (AML) and Know Your Customer (KYC) requirements apply to stablecoin operations just as they do to traditional financial services. Enterprise stablecoin treasury must implement compliant onboarding procedures, transaction monitoring, and suspicious activity reporting. This guide covers the AML/KYC requirements for enterprise stablecoin operations and how Grain & Vault's compliance infrastructure supports institutional adoption.

KYC Requirements

  • Entity Verification: Legal entity identification, beneficial owners
  • Document Collection: Formation documents, tax IDs, authorized signers
  • Sanctions Screening: OFAC, UN, EU sanctions list checking
  • Risk Assessment: Business type, jurisdiction, transaction patterns
  • Ongoing Monitoring: Periodic re-verification, trigger-based reviews

Transaction Monitoring

All GRAIN transactions are monitored for suspicious patterns. Our compliance infrastructure uses machine learning models trained on financial crime typologies to flag unusual activity: structuring patterns, rapid movement through multiple wallets, transactions with high-risk counterparties, or deviations from established customer behavior.

SAR Obligations

As a regulated financial service, Grain & Vault files Suspicious Activity Reports (SARs) when required. Enterprise customers should understand that their transaction activity may be reported if it meets SAR thresholds or exhibits suspicious characteristics.

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