Coinbase integration overview

Overview

Persona's Coinbase integration enables cryptocurrency address risk assessment through Coinbase's KYT (Know Your Transaction) API. This integration helps organizations verify the legitimacy and risk profile of cryptocurrency addresses, providing critical insights for blockchain compliance and fraud prevention.

The Coinbase integration is particularly valuable for crypto exchanges, DeFi platforms, NFT marketplaces, and any organization that needs to assess transaction risk and ensure compliance with anti-money laundering (AML) regulations in the cryptocurrency space.

Key Benefits

Blockchain Risk & Compliance Screening: Evaluate cryptocurrency addresses for fraud, money laundering, and sanctions exposure to meet AML/KYC requirements.

Real-Time Risk Intelligence: Generate instant risk scores with clear classifications and supporting context.

Automated Risk-Based Decisions: Apply risk scores in workflows to automatically approve, decline, or flag transactions for review.

Multi-Asset Support: Screen addresses across multiple cryptocurrency types including Bitcoin (BTC), Ethereum (ETH), and others.

Integration Features

Persona’s Coinbase integration brings cryptocurrency risk screening directly into your workflows. Key capabilities include:

• Address Risk Scoring: Evaluate individual cryptocurrency wallet addresses against Coinbase's risk database
• User Risk Scoring: Assess the overall risk profile of users based on their crypto activity patterns
• Risk Reason Details: Receive specific explanations for risk flags, such as:
  • Address received/sent cryptocurrency from high-risk counterparties
  • Connection to sanctioned entities (OFAC)
  • Involvement with known fraudulent activities
  • Association with darknet markets or mixing services
• Sanctions Screening: Automatically check addresses against global sanctions lists including OFAC designations
• Metadata Enrichment: Access additional context including flagged entity names and risk categories

Setting up the Coinbase integration

Prerequisites

To set up the Coinbase integration, ensure you have:

• Admin access to your Persona Dashboard
• A Coinbase API key for their KYT (Know Your Transaction) service
• Active Coinbase Check Crypto Risk report template configured in your organization

Setting up the Coinbase credentials

1. Obtain Coinbase API Credentials
   • Contact Coinbase to set up access to their KYT API
   • Obtain your API key and ensure it has appropriate permissions
2. Configure Report Template
   • Navigate to Settings > Report Templates in your Persona Dashboard
   • Locate or create a Coinbase Check Crypto Risk report template
   • Enter your Coinbase API key (will be securely encrypted)
   • Set the template as active
   • Save your configuration
3. Verify Setup
   • Test the integration in your Sandbox environment using test addresses
   • Confirm that risk scores and metadata are being returned correctly

Using the Coinbase integration in Workflows

1. Create a new workflow, or open an existing workflow you’d like to update.
2. Add a new action step > Integrations.
3. Select the Coinbase integration and choose Run Coinbase Check Crypto Risk.
4. Configure the input fields to pass in the correct information.
5. Save/publish the workflow.

Coinbase Operations Overview

Run Coinbase Check Crypto Risk

Assesses the risk level of a cryptocurrency address by querying Coinbase's KYT API and returning comprehensive risk data.

• Provide values for required fields:
  • Asset (required): Specify the cryptocurrency type (e.g., btc, eth, usdc)
  • Address (required): Provide the crypto wallet address to check
• Optionally add:
  • User ID (optional): Your internal user identifier for tracking
  • Partner ID (optional): Your internal partner identifier for tracking
  • Object (optional): Associate the report with an Inquiry or Account

Understanding Risk Scores

Address Risk Score

Classification of the wallet address:

• Low Risk: No significant risk indicators detected
• Medium Risk: Some concerning activity or connections identified
• High Risk: Strong indicators of fraudulent, sanctioned, or high-risk activity

The address risk score may also include explanations for why an address was flagged, such as:

• "Address received BTC from High Risk counterparties"
• "Connection to OFAC-sanctioned entity"
• "Association with darknet marketplace"

User Risk Score

Numeric score representing the user's overall crypto activity risk profile based on their transaction history and patterns.

FAQs

What cryptocurrencies does the integration support?

The Coinbase KYT API supports major cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), USD Coin (USDC), and others. Specify the asset type using standard ticker symbols (e.g., 'btc', 'eth') in the workflow action configuration.

How much does each lookup cost?

Pricing depends on your agreement with Coinbase for their KYT API service. Each unique address lookup typically consumes one API credit. Contact your Coinbase representative for specific pricing details.

Can I check multiple addresses for the same user?

A: Yes, you can add multiple "Run Coinbase Check Crypto Risk" actions to check different addresses (e.g., BTC address, ETH address). Each will generate a separate report that you can reference in conditional logic.