How does risk assessment work in AML?
01
Risk Management Protocol: Transactions and Withholding
Transactions with a risk rate exceeding 70 may face blocking, including scenarios where the risk score falls within the 69-50 range. Post-enrollment, certain transactions may undergo manual withholding for Know Your Customer (KYC) and Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) procedures, especially if the entity's percentage is notably high or if there are indications of suspicious activity or links to sanctions.
02
Screening Categories: Prioritize Scrutiny
Additionally, please review the screening categories. I advise prioritizing scrutiny on key entities, such as:
- Sanctions
- Terrorist Financing
- Darknet marketplace/service, illegal service
- Ransom/Stolen coins
- Scam
If the combined occurrence of these entities surpasses 5 out of 100, it is not advisable to accept funds, as deposit withholding may be necessary.