The Compliance Suite offers unparalleled risk analysis and due diligence capabilities for DeFi liquidity pools and addresses. This suite includes Address Screening and Pool Analysis endpoints, each designed to provide comprehensive compliance assessments.
Endpoints
- Description: Screens addresses against risk categories such as SANCTIONED, MIXER, SCAM, COMPROMISED, and ATTACKER. It evaluates not only the address in question but also all related addresses (counterparties, owners, etc.).
- Use Case: Flagging critical compliance risks, such as identifying addresses involved in high-profile hacking incidents or those sanctioned by regulatory authorities.
- Example: Detected an address linked to the Ronin Hack and flagged it as "SANCTIONED."
- Description: Analyzes liquidity pools by checking the contract and all associated entities (owners, admins, deployers) and LP token holders. It quantifies the proportion of “tainted” funds in the pool.
- Use Case: Compliance officers can mitigate risks by avoiding liquidity pools with compromised funds above pre-configured thresholds.
- Example: Identified a liquidity provider in Curve’s “3pool” with a significant share linked to the Wintermute hack.
Categories and Severities
Categories
- SCAM: Addresses affiliated with fraudulent entities or projects.
- COMPROMISED: Addresses associated with vulnerable contracts or publicly disclosed as compromised.
- ATTACKER: Addresses linked to security breaches or malicious activities.
- SANCTIONED: Entities sanctioned by regulatory authorities (e.g. OFAC) or linked to terror funding.
- MIXER: Services that use mixers (e.g. Tornado Cash) to obfuscate cryptocurrency transaction origins.
Severities
Severities for different categories and thresholds can be configured in the Compliance section of the Settings page in the Redefine Web App: Compliance Configurations.
Screenshots from the Web App showing the configuration screens for Ownership Risk and Counterparty Risk
