KYT (Know Your Transaction) is a compliance mechanism used to monitor and analyze blockchain transactions in real time.

It helps identify suspicious or high-risk activities, such as money laundering, terrorist financing, or transactions involving sanctioned wallets.

By applying KYT screening, payment institutions and service providers can ensure that all crypto transactions comply with international AML (Anti-Money Laundering) and CTF (Counter-Terrorism Financing) regulations.

This mechanism is essential to maintain transparency, reduce compliance risks, and build trust in digital asset transactions.