FinScan adds stablecoin screening to Payments platform

FinScan has added screening for stablecoin transactions and digital wallets to its FinScan Payments platform, extending the product across traditional and digital payment rails.

The system screens payments and wallet addresses against global sanctions lists, and checks payment parties against sanctions, politically exposed persons and dual-use goods lists. The addition is intended to give financial institutions and fintechs a single screening setup rather than separate tools for different payment types.

Stablecoins have moved into the compliance mainstream as regulators increasingly expect them to be handled like other payment channels, including checks at the point a transaction begins. Many firms already screen conventional payments using specialised tools, but far fewer have comparable coverage for stablecoin flows.

The platform supports customer-selected sanctions sources, including lists from the Office of Foreign Assets Control, Israel's NBCTF, Japan's Ministry of Finance, the UK Sanctions List and the United Nations Security Council. It can screen digital wallet addresses alongside named payment parties across those sources.

Broader coverage

According to FinScan, FinScan Payments is built around ISO 20022 messaging and offered through a single API integration. The platform already screens payment traffic across SWIFT and cross-border wires, SEPA and regional real-time rails, domestic real-time payment systems, including RTP, FedNow, IACH, Fedwire under ISO 20022, and Faster Payments.

Adding stablecoin transactions brings digital asset-linked payments into the same workflow used for more established channels. That matters for compliance teams that have had to manage separate processes, suppliers and controls as payment volumes fragment across banks, fintech apps and blockchain-based settlement methods.

Industry forecasts cited by FinScan point to stablecoin payments reaching USD $56 trillion globally by 2030. That expected growth has sharpened the focus on how sanctions screening and anti-money laundering checks are applied when transactions move between traditional banking infrastructure and digital wallets.

Deborah Overdeput, Chief Operating Officer at Innovative Systems, outlined the company's view of changing compliance expectations. "Stablecoins are a live and growing payment rail, and regulators expect institutions to treat them that way," she said.

"With FinScan Payments, we're giving compliance teams a single, real-time screening framework across every traditional and digital rail. That means consistent, explainable screening that extends existing AML and sanctions programs seamlessly into digital wallets and stablecoins."

Processing demands

Real-time payments create operational pressure because compliance checks must happen quickly enough to avoid delaying settlement. FinScan said its platform processes more than 100 million transactions a day, with some configurations completing screening in less than 10 milliseconds and 90th percentile processing times below 80 milliseconds.

The system also includes audit controls and is designed to meet the settlement windows and service requirements associated with instant payments and stablecoin transactions. Those factors have become more important as compliance teams are asked to maintain oversight without disrupting payment flows that are expected to clear almost immediately.

By placing stablecoin and wallet screening within the same payment screening platform, FinScan is targeting firms that want to avoid adding separate vendors and integrations as digital asset use expands. The move reflects a wider shift in financial crime controls, as stablecoins are treated less as a niche crypto product and more as another route for regulated payments.