Compass AML/KYC Transaction Monitoring Platform

Merkle Science's comprehensive suite of AI-powered KYC/AML compliance solutions combining real-time transaction monitoring, wallet screening, and risk intelligence to help crypto businesses stay compliant with AML, KYC, and CFT regulations. The platform goes beyond traditional blacklist-based approaches by combining transaction monitoring methodologies with behavior-based analytics to achieve a new level of security, transparency, and compliance.

Core Platform: Compass

Automated Compliance Workflows - Reduces manual workflows and creates enhanced, efficient, and consistent KYC & AML processes using next-generation blockchain transaction monitoring. Compliance teams can access and adjust rules with ease via an intuitive interface.

Behavioral Risk Detection - Identifies illicit transactions by monitoring sanctioned addresses, darknet marketplaces, mixers, and scammers using a unique combination of source of funds and behavior-based analysis. This proprietary approach helps companies exceed compliance obligations by proactively detecting suspicious wallet addresses even before they are tagged in traditional databases.

Customizable Alerts - Configure risk alerts according to your jurisdiction, nature of business, and compliance policies to reduce false positives while ensuring prevention, detection, and compliance. Alerts are delivered in real-time so compliance officers can respond immediately.

Continuous Monitoring - Once an address or transaction has been searched, it will be continuously monitored for risk level changes and updates with real-time alerting.

NFT Risk Mitigation - Support for 6.5 million+ non-fungible tokens across multiple chains with real-time risk scores, buyer/seller insights, collection vulnerability identification (80+ types including theft, sanctions exposure, smart contract bugs), and continuous smart contract and wallet monitoring.

Case Management & Reporting - Automatically visualize the flow of funds to and from criminal wallets multiple hops away. Generate automated reports with detailed risk analysis, case notes, and audit trails for record keeping and regulatory reporting.

Ecosystem Intelligence: Onchain Pulse

Token-Level Risk Scoring - Comprehensive risk scores for tokens across multiple blockchains, flagging exposure to sanctions, darknet activity, child sexual abuse material (CSAM), and other illicit uses.

VASP Risk Aggregation - Aggregate risk scores for Virtual Asset Service Providers (VASPs) to assess ecosystem-wide compliance and threat levels.

Proactive Threat Detection - AI-powered monitoring that identifies emerging risks before they impact protocol security or regulatory standing.

Institutional Compliance Support - Specialized intelligence designed to meet institutional compliance requirements and support regulatory approval processes for stablecoin operations.

Business Intelligence: KYBB (Know Your Business Better)

AI-Powered Analytics - Advanced analytics engine that processes blockchain data to provide actionable intelligence for smarter decision-making and deeper research into counterparty risks.

Custom Queries - Run custom queries to access key data for large-scale investigations, including transaction lists from major scams, hacks, and fraudulent schemes.

Due Diligence Reporting - Perform comprehensive business due diligence with automated risk report generation that flags risky transactions and provides detailed analysis of entity exposure.

Target Customers

• Cryptocurrency exchanges
• Financial institutions and banks
• dApps (decentralized applications)
• Wallet providers
• Blockchain protocols and layer-1 networks
• Stablecoin issuers
• Virtual Asset Service Providers (VASPs)

Benefits

• Regulatory Compliance - Comply with ever-evolving local and global regulations, avoid sanctions and increasingly large punitive fines, and simplify license application processes
• User Onboarding - Confidently onboard new users, continuously monitor their behaviors, and take immediate action when conflicts arise
• Competitive Advantage - Harness compliance as a competitive advantage to manage risks and drive growth and geographic expansion into new markets
• Beyond Blacklists - Go beyond traditional blacklist approaches to really know your customers through behavioral analysis