Alerting and Case Management

When a transaction meets certain risk criteria or matches a suspicious pattern, Zyphe’s KYT system will generate an alert. Alerts are real-time notifications indicating that a transaction (or series of transactions) requires attention. There are a few outcomes for any monitored transaction:

• Cleared: The transaction did not trigger any rules or alerts. It’s considered normal and no action is needed. (The system still records the transaction and its risk score for audit/history.)
• Flagged: The transaction triggered a rule or scored above the high-risk threshold. It is flagged for manual review by a compliance officer. The platform will log an alert describing why the transaction was flagged (e.g. “Large transfer to high-risk jurisdiction” or “Receiver address on sanctions list”).
• Blocked/Held: (Optional behavior) If Zyphe is configured with certain rules, it can respond to severe alerts by automatically recommending to block the transaction or put a hold on the user’s account. Actual blocking of funds typically is implemented on the business’s side, but the KYT alert can advise it.

Zyphe provides a case management system for flagged alerts, similar to other KYT solutions. When an alert is raised, it can open a case for investigation. Compliance teams can view details of the transaction, the user’s KYC info (as permitted), and the reason for flagging. They might see a risk score breakdown (which rule triggered, or which risk signals contributed). For example, in a crypto context, the alert might show that the destination wallet has a 90% risk score due to links with darknet markets or ransomware. In a fiat context, it might show that the sending account made multiple large deposits under reporting thresholds (potential structuring).