Overview

These best practices help optimize your Travel Rule Support (TRSupport) configuration for efficiency and compliance. Follow the principles when designing your Travel Rule policies to ensure they work effectively and provide comprehensive compliance coverage.

Rule ordering

Place the most specific rules first.
General rules should come last.
Default behaviors ensure complete coverage.

Performance optimization

Use PASS action for clear exemptions (for example, bypass screening for internal transfers or transactions with trusted partners).
Set the threshold to an appropriate amount.
Keep the policy as simple as possible.

Compliance coverage

Ensure all transaction types have defined outcomes.
Document business rationale for bypass rules.
Regularly review policy effectiveness.

Common configuration patterns

Pattern 1: Retail customer setup

Screening: Screen transactions > $3,000 → SCREEN
Missing TRM: Wait 30 minutes → ACCEPT
Post-screening: Standard ACCEPT/REJECT based on status

Pattern 2: Institutional client

Screening: Internal transfers bypass, others > $10,000
Missing TRM: Extended wait periods for high value
Post-screening: Enhanced monitoring for large amounts

Pattern 3: Multi-regional operations

Legal Entity 1: EU compliance rules
Legal Entity 2: US compliance rules
Legal Entity 3: APAC compliance rules

Each legal entity applies its own region-specific thresholds and timeouts based on local regulatory requirements.

Testing recommendations

Test your transaction policies to ensure they behave as expected under various scenarios. Key steps include:

Start with test network assets.
Create test transactions for each policy rule.
Verify multi-destination handling to ensure each destination is evaluated correctly.
Test timeout behaviors to confirm policies handle delays appropriately.
Validate provider failover scenarios to ensure reliability in case of provider issues.

Monitoring and maintenance

Track key metrics and performance indicators to ensure policies, transaction processing, and provider interactions meet compliance standards.

Review policy effectiveness metrics to assess how well your rules are performing.
Analyze the processing times.
Monitor bypass rates to ensure exemption rules maintain appropriate compliance.
Track provider performance to evaluate response times and reliability.

Policy updates

To ensure smooth policy updates and maintain compliance, take the following steps:

Changes require approval from your designated Compliance Approval Group before implementation.
Test all policies in a sandbox environment before deploying them to production.
Monitor transaction outcomes and screening behavior closely after implementing policy changes.
Document all modifications for audit and compliance purposes.