Overview
Stablecoin payments are subject to US rules that mirror traditional financial compliance. Gateways and merchants must implement identity checks when applicable, screen transactions, and retain records to meet obligations.
KYC/AML Requirements
Know Your Customer and Anti-Money Laundering processes apply based on business model and thresholds. Collect identity information when required, monitor transactions, and file suspicious activity reports where appropriate.
OFAC Sanctions Screening
Screen wallet addresses and counterparties against sanctions lists. Block and report interactions with prohibited parties. Maintain evidence of screening and decisions.
Money Services Business (MSB) Obligations
Some providers must register as MSB and comply with applicable federal and state rules. Evaluate your role (issuer, gateway, exchanger) and follow licensing and program requirements accordingly.
Consumer Protections and Disclosures
Publish transparent refund, dispute, and pricing policies. Provide clear receipts (transaction hash, invoice ID, amount) and disclose any conversion spreads or fees. Respect privacy and data protection obligations.
Record-Keeping and Reporting
Retain invoices, hashes, wallet evidence, and compliance logs for audits and tax reporting. Automate reconciliation to ensure accurate books and easier filings.
Merchant Practical Checklist
- Define onboarding and KYC triggers
- Implement sanctions screening for addresses
- Establish refund and dispute policies
- Automate invoice-hash reconciliation
- Set treasury conversion rules and banking partners
- Document compliance procedures and controls
Conclusion
US compliance for stablecoin payments is manageable with structured policies and tools. Merchants and gateways can unlock cost and speed benefits while meeting regulatory expectations.