RedStone launches Sanctions Oracle for onchain compliance on Ethereum

Introduction

RedStone has launched a sanctions screening oracle on Ethereum, providing a way for smart contracts to check wallets against 463 official sanctions lists.

How it works

The oracle compiles sanctioned addresses into an onchain registry that contracts can consult before letting a transaction through. The data comes from 463 official sources, aggregated through OpenSanctions. Those sources include lists from OFAC, the EU, the UK, and the UN.

Benefits for DeFi protocols

Embedding sanctions checks directly into smart contracts means a flagged wallet gets blocked automatically, with no human in the loop to catch edge cases. The multisig protects against a single compromised key, but it also means a defined group controls what goes on the list. Weekly updates are guaranteed, but sanctions designations can land at any time, so protocols will need to decide how stale is too stale when they set their timestamp checks.

RedStone's track record

RedStone has been operating since 2021 and has recorded zero downtime or mispricing incidents in that time. The company's infrastructure secures billions of dollars in asset value across more than 100 blockchain networks.

Conclusion

The Sanctions Oracle joins a growing product lineup for RedStone, which also includes Bolt and Atom. This move aims to improve onchain compliance and reduce the risk of sanctions evasion in the DeFi space.