DeFi Protocols

On-Chain Compliance for Decentralized Finance

DeFi protocols face increasing regulatory pressure. Kontext gives your protocol tamper-evident governance records, treasury anomaly detection, and audit trails that satisfy regulators without sacrificing decentralization.

The Problem

Why DeFi protocols need compliance infrastructure

Decentralization does not mean deregulation. Protocols that invest in compliance infrastructure now will be better positioned as regulation matures.

Regulatory pressure increasing on DeFi

Regulators worldwide are turning their attention to DeFi protocols. Whether it is the SEC, CFTC, or international bodies, protocols that cannot demonstrate compliance infrastructure will face increasing risk.

No standard compliance tooling for protocols

Traditional compliance tools were built for centralized entities. DeFi protocols need compliance infrastructure that works with on-chain governance, multi-sig treasuries, and decentralized decision-making.

Governance decisions need audit trails

Every governance proposal, vote, and execution should be recorded in a tamper-evident audit trail. When regulators ask how a decision was made, you need verifiable proof.

Treasury operations need accountability

Protocol treasuries manage significant assets across multiple chains. Every transfer, swap, and allocation needs a compliance record that can withstand regulatory scrutiny.

How Kontext Helps

Compliance tooling designed for decentralized protocols

Governance logging, treasury monitoring, and audit export -- built for the way DeFi protocols actually work.

Governance Action Logging

Record every governance proposal, vote, and execution in a tamper-evident audit trail. Cryptographic digest chains ensure governance records cannot be altered after the fact.

Cross-Chain Transaction Tracking

Track transactions across Ethereum, Base, Polygon, Arbitrum, Optimism, and more. A unified audit trail spanning every chain your protocol operates on.

Treasury Anomaly Detection

Flag unusual treasury movements automatically. Velocity checks, amount thresholds, and behavioral analysis tuned for DeFi treasury operations.

Participant Trust Scoring

Score protocol participants based on on-chain history, behavioral patterns, and interaction frequency. Identify high-risk actors before they impact the protocol.

Immutable Governance Records

Every governance action is linked in a cryptographic digest chain. Provide regulators and community members with verifiable proof of governance decisions.

Regulatory Inquiry Export

Export compliance-ready audit trails in JSON, CSV, and PDF when regulators come asking. Structured data ready for legal review and regulatory response.

Code Example

Governance voting and treasury transfers

Log governance votes and treasury transfers with ctx.verify(). Every action is recorded in a tamper-evident digest chain, linking governance decisions to the treasury operations they authorize.

  • Governance proposals linked to treasury executions
  • Multi-sig signer tracking for treasury transfers
  • Anomaly detection for unusual treasury movements
  • Cross-chain audit trail for L2 operations
  • Export audit trails for regulatory inquiries
defi-governance.tstypescript
import { Kontext } from 'kontext-sdk';

const ctx = new Kontext({
  apiKey: process.env.KONTEXT_KEY,
  chain: 'ethereum',
});

// Log a governance vote with full context
const voteResult = await ctx.verify({
  action: 'governance_vote',
  agent: 'governance-module',
  metadata: {
    proposalId: 'PROP-042',
    proposalTitle: 'Increase treasury allocation to L2 liquidity',
    voter: '0xDelegate...abc',
    vote: 'for',
    votingPower: '150000',
    snapshotBlock: 19_500_000,
  },
});

console.log('Vote audit ID:', voteResult.auditId);
console.log('Digest:', voteResult.digest);

// Log a treasury transfer with compliance verification
const transfer = await ctx.verify({
  action: 'treasury_transfer',
  amount: '250000.00',
  currency: 'USDC',
  agent: 'treasury-multisig',
  metadata: {
    proposalId: 'PROP-042',
    destination: '0xL2Bridge...def',
    destChain: 'base',
    signers: ['0xSigner1...', '0xSigner2...', '0xSigner3...'],
    requiredSignatures: 3,
    purpose: 'L2 liquidity provision per governance vote',
  },
});

if (transfer.flagged) {
  console.log('Treasury transfer flagged:', transfer.flags);
} else {
  console.log('Trust score:', transfer.trustScore);
  console.log('Linked to proposal:', transfer.metadata.proposalId);
}
Pricing

Start free, upgrade for advanced features

The Free tier includes 20,000 events per month -- enough to add compliance to governance and treasury operations. Upgrade to Pro ($199/user/month) for ML-powered anomaly detection, cloud dashboard, and 100,000 events per user.

Free: 20K events/month, governance logging, local SDK
Pro: $199/user/month, anomaly detection, cloud dashboard
Enterprise: Custom pricing, unlimited events, SLA
Open source SDK -- audit the code yourself

Ready to add compliance to your protocol?

Install the SDK and start logging governance and treasury operations in minutes. Open source and free to start.

$npm install kontext-sdk