OFAC screening for stablecoin transfers
Stablecoin transfers are funds transfers subject to OFAC, so the recipient wallet should be screened before every USDC, USDT, or DAI send.
TL;DR
TL;DR: Screen the recipient address against the SDN List before each stablecoin transfer. SanctionsAI checks the counterparty in under 100 ms and returns ALLOW or BLOCK.
Stablecoins are funds transfers
Stablecoins such as USDC, USDT, and DAI move value on-chain and are treated as funds transfers for OFAC purposes. Sending to a wallet designated on the SDN List is a violation under strict liability, meaning intent is not required. That makes the pre-send check a hard requirement rather than a best practice.
How to screen each transfer
- Call the screening endpoint with the recipient address before broadcasting the transaction.
- Treat a clean result as ALLOW and a flagged result as BLOCK.
- Log the result alongside the transfer so there is a record for compliance.
Built for the rails you already use
SanctionsAI integrates with x402 and Base/USDC and covers 947 OFAC-listed crypto wallets plus 19,218 SDN names, synced hourly. The check is a single HTTP call, so it can sit directly in an agent or smart-contract payment path without adding meaningful latency. Tools include sanctions_check for the lookup and risk_score for a follow-up risk signal.