The blockchain promises transparency — but that doesn’t always mean safety.
While every transaction is visible on-chain, identifying who or what is behind it can be nearly impossible. That’s where KYT, or Know Your Transaction, comes in.

Originally developed for compliance and anti-money-laundering systems in major exchanges and financial institutions, KYT has evolved into a vital layer of intelligence for the entire crypto ecosystem. It doesn’t just verify identities — it analyzes transaction behavior, wallet history, and risk patterns across blockchains to detect suspicious activity before it spreads.

How KYT works

KYT systems use machine learning and blockchain analytics to assess risk in real time. They can flag transactions connected to hacked funds, mixing services, scams, or sanctioned entities. Instead of relying on static blacklists, KYT tools learn dynamically from millions of data points, identifying new risks as they emerge.

This technology helps maintain the integrity of decentralized networks while protecting legitimate users. For businesses and custodial platforms, it’s often a regulatory necessity. But for individuals, it’s becoming a powerful tool for personal security.

Bringing KYT to self-custody

Until recently, KYT was something only large exchanges or institutions could access. Self-custodial users — the ones who truly own their crypto — had little visibility into where their funds were going. That gap is now closing.

Unity Wallet integrates KYT directly into the self-custody experience. Before sending a transaction, users can manually run a KYT check on any wallet address or transaction hash. The system instantly analyzes potential risks, drawing on blockchain intelligence to highlight red flags — while keeping the user fully in control.

User-driven security

KYT in Unity Wallet doesn’t monitor wallets automatically. Instead, users decide when to perform a check. Each verification happens locally, in seconds, ensuring privacy and autonomy. This approach reflects a core belief: Web3 security should be proactive, not intrusive.

Rather than blocking transactions or collecting user data, KYT acts as an advisor — a transparent safety layer that empowers decisions, not dictates them. It’s the next step in making self-custody smarter and more informed.

The future of responsible Web3

As DeFi, NFTs, and cross-chain activity continue to expand, tools like KYT will become the backbone of trust in decentralized finance. They bridge the gap between transparency and protection, helping users move confidently through an increasingly complex ecosystem.

Unity Wallet’s integration of KYT marks a step toward that future — one where every user can verify counterparties, avoid risky interactions, and enjoy the freedom of self-custody without the fear of hidden threats.

Learn more on our Website.