Success Story

Clearance of Over 60,000 KYT Alerts Backlog for a Global Cryptocurrency Exchange with 98% Accuracy

Download PDF

Client Introduction

A globally recognized cryptocurrency exchange facilitating high-volume BTC, ETH, and stablecoin transactions across multiple jurisdictions.

Problem Statement

The crypto exchange was facing increasing regulatory pressure and risks due to a significant backlog of over 60,000 Know Your Transaction (KYT) alerts, spanning nearly two years. Key challenges included:

  • Delayed detection of high-risk behaviors (e.g., mixers, darknet, sanctioned wallet interactions).
  • Prolonged alert resolution time (> 4 hours per alert).
  • Lack of standardized investigation protocols.
  • Approx. 38% QA failure rate, raising audit and regulatory concerns.
  • Regulatory, reputational, and operational risks due to upcoming inspections in the US and EU.

Solution Offered

Anaptyss deployed a team of Crypto Investigators, QA Analysts, Compliance SME, and Governance Lead to clear the KYT alert backlog and deliver a multi-phase transformation. The approach combined risk- based alert triage, automation of workflows, and real-time QA feedback loops to deliver a scalable and regulator-ready KYT framework.

Key Solutions Delivered

Anaptyss led a holistic transformation through process optimization, workforce enablement, and quality assurance.

  • Defined a risk-based triage strategy using typology-based red flags.
  • Developed custom SOPs and alert investigation matrix.
  • Streamlined case management workflow and QA scorecards across internal and external tools (Chainalysis, TRM Labs, Internal Case Engine).
  • Comprehensive tagging of alert investigation logs and typology.
  • Established rapid escalation paths for high-risk alerts.
  • Introduced risk labeling and wallet clustering for efficient investigation.
  • Implemented a three-tier QA model with real-time feedback.
  • Delivered a regulator-ready Audit Pack with alert narratives, red flag references, decision logs, and QA reports.
  • Conducted targeted training to upskill the client's team for Tier-1 alert management.

Business Outcomes

  • Cleared over 60,000 alerts within 6 months.
  • ~65% shorter duration for resolving alerts.
  • ~98% QA accuracy for alert investigations.
  • ~ 87% faster escalation time (< 6 hours).
  • Mitigated risks of compliance breach ahead of regulatory inspections.

Want to learn more or need a solution?
Write to us: info@anaptyss.com
Download PDF

Contact Us

DKO™
Life@Anaptyss
Careers