Compliance Integration Guide

This guide covers how to integrate ChainStream KYT/KYA compliance capabilities into your application, including complete scenarios for CEX deposit/withdrawal risk control, wallet risk alerts, and batch screening.

Prerequisites

API Configuration

Config	Value
Base URL	`https://api.chainstream.io/`
Auth Domain	`dex.asia.auth.chainstream.io`
Audience	`https://api.dex.chainstream.io`

Scope	Description
`kyt.read`	KYT API read permission (query transaction risk)
`kyt.write`	KYT API write permission (register transaction analysis)

Generate Access Token

import { AuthenticationClient } from 'auth0';

const auth0Client = new AuthenticationClient({
  domain: 'dex.asia.auth.chainstream.io',
  clientId: 'your-client-id',
  clientSecret: 'your-client-secret'
});

// Get Token with full KYT permissions
const response = await auth0Client.oauth.clientCredentialsGrant({
  audience: 'https://api.dex.chainstream.io',
  scope: 'kyt.read kyt.write'
});

const accessToken = response.data.access_token;

API Calls

All requests must include the Token in the Header:

const response = await fetch('https://api.chainstream.io/v1/kyt/transfer', {
  method: 'POST',
  headers: {
    'Authorization': `Bearer ${accessToken}`,
    'Content-Type': 'application/json'
  },
  body: JSON.stringify({ /* request body */ })
});

CEX Deposit Risk Control

Exchange deposit scenarios are the core use case for KYT, requiring risk assessment before funds are credited.

Business Flow

Integration Steps

Initialize Client

import { AuthenticationClient } from 'auth0';

// Generate Token (recommend caching, refresh before expiry)
async function getAccessToken() {
  const auth0Client = new AuthenticationClient({
    domain: 'dex.asia.auth.chainstream.io',
    clientId: process.env.CHAINSTREAM_CLIENT_ID,
    clientSecret: process.env.CHAINSTREAM_CLIENT_SECRET
  });

  const { data } = await auth0Client.oauth.clientCredentialsGrant({
    audience: 'https://api.dex.chainstream.io',
    scope: 'kyt.read kyt.write'
  });

  return data.access_token;
}

Transaction Detection

Monitor incoming transactions to user deposit addresses:

async function onDepositDetected(tx) {
  const deposit = {
    network: 'ethereum',           // Network: bitcoin, ethereum, Solana
    asset: tx.asset,               // Asset type: ETH, SOL, etc.
    transferReference: tx.hash,    // Transaction hash
    direction: 'received'          // Direction: sent or received
  };
  
  // Call KYT analysis
  const result = await registerTransfer(deposit);
  
  // Get risk assessment
  const risk = await getTransferSummary(result.externalId);
  
  // Execute decision
  await executeDecision(tx, risk);
}

Call KYT API to register transaction:

async function registerTransfer(deposit) {
  const response = await fetch('https://api.chainstream.io/v1/kyt/transfer', {
    method: 'POST',
    headers: {
      'Authorization': `Bearer ${accessToken}`,
      'Content-Type': 'application/json'
    },
    body: JSON.stringify({
      network: deposit.network,
      asset: deposit.asset,
      transferReference: deposit.transferReference,
      direction: deposit.direction
    })
  });
  
  return await response.json();
}

Get Risk Assessment

Query transaction risk summary:

async function getTransferSummary(transferId) {
  const response = await fetch(
    `https://api.chainstream.io/v1/kyt/transfers/${transferId}/summary`,
    {
      headers: {
        'Authorization': `Bearer ${accessToken}`
      }
    }
  );
  
  return await response.json();
}

Auto Decision

Execute appropriate actions based on risk level:

async function executeDecision(tx, risk) {
  const riskLevel = risk.rating; // SEVERE, HIGH, MEDIUM, LOW
  
  switch (riskLevel) {
    case 'SEVERE':
      await freezeDeposit(tx);
      await createSARReport(tx, risk);
      await notifyCompliance(tx, risk);
      break;
      
    case 'HIGH':
      await holdDeposit(tx, { hours: 24 });
      await createManualReview(tx, risk);
      break;
      
    case 'MEDIUM':
      await creditDeposit(tx);
      await flagForMonitoring(tx, risk);
      break;
      
    case 'LOW':
      await creditDeposit(tx);
      break;
  }
  
  // Record audit log
  await auditLog.record({
    action: 'DEPOSIT_RISK_DECISION',
    txHash: tx.hash,
    riskLevel,
    timestamp: new Date()
  });
}

Complete Flow Details

The end-to-end compliance integration flow covers: Detect → Register → Poll → Risk Judgment → Release/Freeze

1. Detection Phase

Trigger Source	Description	Latency
On-chain Monitoring	Monitor deposit addresses	Block confirmation time
User Submission	Withdrawal request	Instant
Scheduled Scan	Catch-up mechanism	Configurable

2. Registration Phase

POST https://api.chainstream.io/v1/kyt/transfer
Authorization: Bearer <access_token>
Content-Type: application/json

{
  "network": "ethereum",
  "asset": "ETH",
  "transferReference": "0x1234567890abcdef...",
  "direction": "received"
}

Response:

{
  "externalId": "123e4567-e89b-12d3-a456-426614174000",
  "asset": "ETH",
  "network": "ethereum",
  "transferReference": "0x1234567890abcdef...",
  "direction": "received",
  "updatedAt": "2024-01-15T10:30:00.000Z"
}

3. Query Phase

Polling Method
Get Detailed Info

async function pollForResult(transferId, maxAttempts = 10) {
  for (let i = 0; i < maxAttempts; i++) {
    const response = await fetch(
      `https://api.chainstream.io/v1/kyt/transfers/${transferId}/summary`,
      {
        headers: { 'Authorization': `Bearer ${accessToken}` }
      }
    );
    const data = await response.json();
    
    if (data.rating) {
      return data;
    }
    
    await new Promise(r => setTimeout(r, 3000)); // 3 second interval
  }
  
  throw new Error('Analysis timeout');
}

Get risk exposure details:

// Get direct risk exposures
const exposures = await fetch(
  `https://api.chainstream.io/v1/kyt/transfers/${transferId}/exposures/direct`,
  { headers: { 'Authorization': `Bearer ${accessToken}` } }
);

// Get risk alerts
const alerts = await fetch(
  `https://api.chainstream.io/v1/kyt/transfers/${transferId}/alerts`,
  { headers: { 'Authorization': `Bearer ${accessToken}` } }
);

4. Judgment Phase

Risk judgment rule configuration:

risk_rules:
  severe:
    action: FREEZE
    auto_execute: true
    notify:
      - compliance@company.com
      - security@company.com
    
  high:
    action: MANUAL_REVIEW
    auto_execute: false
    hold_period: 24h
    escalation: 4h
    
  medium:
    action: FLAG
    auto_execute: true
    monitoring_period: 30d
    
  low:
    action: PASS
    auto_execute: true

5. Execution Phase

Action	Trigger Condition	Follow-up
Release	LOW risk	Normal credit/payment
Flag	MEDIUM risk	Credit but continue monitoring
Hold	HIGH risk	Enter manual review queue
Freeze	SEVERE risk	Freeze + Compliance report

Complete Service Implementation

import { AuthenticationClient } from 'auth0';

class ComplianceService {
  constructor() {
    this.accessToken = null;
    this.tokenExpiry = null;
  }

  // Get or refresh Token
  async getAccessToken() {
    if (this.accessToken && this.tokenExpiry > Date.now()) {
      return this.accessToken;
    }

    const auth0Client = new AuthenticationClient({
      domain: 'dex.asia.auth.chainstream.io',
      clientId: process.env.CHAINSTREAM_CLIENT_ID,
      clientSecret: process.env.CHAINSTREAM_CLIENT_SECRET
    });

    const { data } = await auth0Client.oauth.clientCredentialsGrant({
      audience: 'https://api.dex.chainstream.io',
      scope: 'kyt.read kyt.write'
    });

    this.accessToken = data.access_token;
    // Token usually valid 24 hours, refresh 1 hour early
    this.tokenExpiry = Date.now() + (23 * 60 * 60 * 1000);
    
    return this.accessToken;
  }

  // Deposit compliance check
  async checkDeposit(deposit) {
    const token = await this.getAccessToken();
    
    // 1. Register transaction
    const registerResponse = await fetch('https://api.chainstream.io/v1/kyt/transfer', {
      method: 'POST',
      headers: {
        'Authorization': `Bearer ${token}`,
        'Content-Type': 'application/json'
      },
      body: JSON.stringify({
        network: deposit.network,
        asset: deposit.asset,
        transferReference: deposit.txHash,
        direction: 'received'
      })
    });
    const registered = await registerResponse.json();

    // 2. Wait and get risk assessment
    const risk = await this.waitForAnalysis(token, registered.externalId);
    
    // 3. Generate decision
    const decision = this.makeDecision(risk);
    
    // 4. Record audit
    await this.auditLog(deposit, risk, decision);
    
    return decision;
  }

  async waitForAnalysis(token, transferId, maxAttempts = 10) {
    for (let i = 0; i < maxAttempts; i++) {
      const response = await fetch(
        `https://api.chainstream.io/v1/kyt/transfers/${transferId}/summary`,
        { headers: { 'Authorization': `Bearer ${token}` } }
      );
      const result = await response.json();
      
      if (result.rating) {
        return result;
      }
      await new Promise(r => setTimeout(r, 3000));
    }
    throw new Error('Analysis timeout');
  }

  makeDecision(risk) {
    const decisions = {
      'SEVERE': {
        action: 'FREEZE',
        requireSAR: true,
        notify: ['compliance@company.com', 'security@company.com']
      },
      'HIGH': {
        action: 'HOLD',
        requireReview: true,
        holdHours: 24
      },
      'MEDIUM': {
        action: 'PASS',
        flagMonitoring: true
      },
      'LOW': {
        action: 'PASS'
      }
    };
    return decisions[risk.rating] || decisions['LOW'];
  }

  async auditLog(deposit, risk, decision) {
    console.log({
      timestamp: new Date().toISOString(),
      type: 'COMPLIANCE_CHECK',
      deposit,
      risk,
      decision
    });
  }
}

// Usage example
const compliance = new ComplianceService();

app.post('/deposit/process', async (req, res) => {
  const deposit = req.body;
  const decision = await compliance.checkDeposit(deposit);
  res.json(decision);
});

CEX Withdrawal Risk Control

Withdrawal scenarios require checking the risk of the destination address when users initiate withdrawals.

Business Flow

Implementation Example

async function handleWithdrawal(request) {
  const { toAddress } = request;
  const token = await complianceService.getAccessToken();
  
  // 1. Register address
  const registerResponse = await fetch('https://api.chainstream.io/v1/kyt/address', {
    method: 'POST',
    headers: {
      'Authorization': `Bearer ${token}`,
      'Content-Type': 'application/json'
    },
    body: JSON.stringify({ address: toAddress })
  });
  await registerResponse.json();
  
  // 2. Get address risk
  const riskResponse = await fetch(
    `https://api.chainstream.io/v1/kyt/addresses/${toAddress}/risk`,
    { headers: { 'Authorization': `Bearer ${token}` } }
  );
  const addressRisk = await riskResponse.json();
  
  // 3. Risk handling
  switch (addressRisk.rating) {
    case 'SEVERE':
      return {
        status: 'REJECTED',
        reason: 'Target address is associated with known criminal activity',
        riskLevel: 'SEVERE'
      };
      
    case 'HIGH':
      return {
        status: 'PENDING_CONFIRMATION',
        warning: 'This address has been flagged as high risk',
        riskDetails: addressRisk,
        requiresConfirmation: true
      };
      
    default:
      return {
        status: 'APPROVED',
        riskLevel: addressRisk.rating
      };
  }
}

// Express route example
app.post('/withdraw/request', async (req, res) => {
  const result = await handleWithdrawal(req.body);
  res.json(result);
});

Wallet Risk Alerts

In wallet applications, provide risk alerts before users initiate transfers.

User Experience Flow

Frontend/Backend Integration

Frontend should never expose clientSecret directly. Use backend API proxy to call ChainStream.

Frontend Call
Backend Proxy

// Trigger on address input change
async function onAddressChange(address) {
  if (!isValidAddress(address)) return;
  
  setLoading(true);
  
  try {
    // Call backend proxy API
    const response = await fetch('/api/risk/check-address', {
      method: 'POST',
      headers: { 'Content-Type': 'application/json' },
      body: JSON.stringify({ address })
    });
    const risk = await response.json();
    
    setRiskInfo({
      level: risk.rating,
      labels: risk.labels,
      warnings: risk.warnings
    });
  } finally {
    setLoading(false);
  }
}

app.post('/api/risk/check-address', async (req, res) => {
  const { address } = req.body;
  const token = await complianceService.getAccessToken();
  
  // Register address
  await fetch('https://api.chainstream.io/v1/kyt/address', {
    method: 'POST',
    headers: {
      'Authorization': `Bearer ${token}`,
      'Content-Type': 'application/json'
    },
    body: JSON.stringify({ address })
  });
  
  // Get risk
  const riskResponse = await fetch(
    `https://api.chainstream.io/v1/kyt/addresses/${address}/risk`,
    { headers: { 'Authorization': `Bearer ${token}` } }
  );
  const result = await riskResponse.json();
  
  res.json({
    rating: result.rating,
    riskScore: result.riskScore,
    labels: result.labels || [],
    warnings: generateWarnings(result)
  });
});

function generateWarnings(result) {
  const warnings = [];
  if (result.exposures?.direct?.severe > 0) {
    warnings.push('Directly linked to known criminal address');
  }
  if (result.labels?.includes('Mixer User')) {
    warnings.push('Has interacted with mixing services');
  }
  return warnings;
}

Batch Address Screening

Enterprise-level compliance screening for existing addresses.

Use Cases

Regular compliance audits
New regulatory requirement implementation
M&A due diligence
Risk screening

Batch Screening Implementation

async function batchScreenAddresses(addresses) {
  const token = await complianceService.getAccessToken();
  const results = [];
  
  for (const address of addresses) {
    try {
      // Register address
      await fetch('https://api.chainstream.io/v1/kyt/address', {
        method: 'POST',
        headers: {
          'Authorization': `Bearer ${token}`,
          'Content-Type': 'application/json'
        },
        body: JSON.stringify({ address })
      });
      
      // Get risk
      const riskResponse = await fetch(
        `https://api.chainstream.io/v1/kyt/addresses/${address}/risk`,
        { headers: { 'Authorization': `Bearer ${token}` } }
      );
      const risk = await riskResponse.json();
      
      results.push({
        address,
        rating: risk.rating,
        riskScore: risk.riskScore
      });
    } catch (error) {
      results.push({
        address,
        error: error.message
      });
    }
  }
  
  // Process high-risk addresses
  const highRiskAddresses = results.filter(
    r => r.rating === 'SEVERE' || r.rating === 'HIGH'
  );
  
  return { all: results, highRisk: highRiskAddresses };
}

Best Practices

Threshold Setting Recommendations

Adjust risk thresholds based on business type:

Business Type	SEVERE Handling	HIGH Handling	MEDIUM Handling
Licensed CEX	Auto freeze	Manual review	Flag monitoring
Wallet App	Strong warning	Warning	Notice
DeFi Protocol	Reject interaction	Warning	Normal
OTC Platform	Reject trade	Additional KYC	Normal

Audit Log Requirements

Ensure complete audit trail:

{
  "eventId": "evt_123456",
  "timestamp": "2024-01-15T10:30:00Z",
  "eventType": "RISK_DECISION",
  "subject": {
    "transferId": "123e4567-e89b-12d3-a456-426614174000",
    "txHash": "0x...",
    "userId": "user_789"
  },
  "riskAssessment": {
    "rating": "HIGH",
    "riskScore": 72
  },
  "decision": {
    "action": "HOLD",
    "decidedBy": "SYSTEM",
    "reason": "Auto-hold per risk policy"
  },
  "metadata": {
    "policyVersion": "1.2.0",
    "engineVersion": "2024.01"
  }
}

Next Steps

Authentication Docs

Detailed authentication guide

KYT Concepts

KYT core concepts

KYA Concepts

KYA core concepts

KYT API Reference

KYT API complete documentation

Data Products

Access Methods

AI Agents

Compliance (KYT/KYA)

Tutorials

Recipes

Platform

Ecosystem

Reference

Documentation Index

​Prerequisites

​API Configuration

​KYT Related Scopes

​Generate Access Token

​API Calls

​CEX Deposit Risk Control

​Business Flow

​Integration Steps

​Complete Flow Details

​1. Detection Phase

​2. Registration Phase

​3. Query Phase

​4. Judgment Phase

​5. Execution Phase

​Complete Service Implementation

​CEX Withdrawal Risk Control

​Business Flow

​Implementation Example

​Wallet Risk Alerts

​User Experience Flow

​Frontend/Backend Integration

​Batch Address Screening

​Use Cases

​Batch Screening Implementation

​Best Practices

​Threshold Setting Recommendations

​Audit Log Requirements

​Next Steps

Authentication Docs

KYT Concepts

KYA Concepts

KYT API Reference

Prerequisites

API Configuration

KYT Related Scopes

Generate Access Token

API Calls

CEX Deposit Risk Control

Business Flow

Integration Steps

Complete Flow Details

1. Detection Phase

2. Registration Phase

3. Query Phase

4. Judgment Phase

5. Execution Phase

Complete Service Implementation

CEX Withdrawal Risk Control

Business Flow

Implementation Example

Wallet Risk Alerts

User Experience Flow

Frontend/Backend Integration

Batch Address Screening

Use Cases

Batch Screening Implementation

Best Practices

Threshold Setting Recommendations

Audit Log Requirements

Next Steps