On-Chain Compliance

OwnBlock enforces regulatory compliance at the smart contract level using the ERC-3643 token standard

ERC-3643 Token Standard

On-chain compliance enforcement

ERC-3643 Compliant

What is ERC-3643?

ERC-3643, also known as T-REX (Token for Regulated EXchanges), is a token standard designed specifically for security tokens. It enforces regulatory compliance at the smart contract level, ensuring that only eligible investors can hold and transfer tokens.

Key Features

Transfer Restrictions

Only whitelisted addresses that have passed KYC/AML checks can receive tokens

Identity Verification

KYC/AML checks are performed before investors can be whitelisted

Forced Transfers

Regulatory authorities can force transfer tokens if required

Granular Permissions

Different roles and permissions can be assigned to various stakeholders

Compliance Workflow

1. KYC Verification

Users complete KYC verification via Self Protocol, which creates a verifiable credential

KYC Verification

2. Whitelist Addition

Upon successful KYC, the user's address is added to the token's whitelist

Whitelisted

3. Transfer Validation

When a transfer is initiated, the smart contract checks if both sender and receiver are whitelisted

Transfer Restricted

4. Transaction Execution

The transfer is only executed if all compliance checks pass, otherwise it's rejected

On-Chain Enforcement

Compliance Status Indicators

Visual indicators for compliance status

Whitelisted Status

KYC Verified
KYC Verification
Buy Button:

Whitelisted users have completed KYC verification and can buy and transfer tokens

Pending Status

KYC Pending
KYC Verification Pending
Buy Button:

Users with pending KYC must complete verification before they can buy tokens

Blacklisted Status

KYC Denied
KYC Verification Required
Buy Button:

Blacklisted users cannot buy or receive tokens due to failed compliance checks