> For the complete documentation index, see [llms.txt](https://docs.sectoral.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.sectoral.xyz/compliance-and-identity/regulatory-posture.md). # Our Regulatory Approach Everything here comes back to one idea: Sectoral keeps amounts confidential, but it does not make anyone anonymous. Anyone can see your address and the verified identity tied to it. Your amounts remain hidden unless you choose to reveal one or a lawful process compels disclosure. The rest of this page builds on that principle. *** ## Legal framework Sectoral works under the GENIUS Act of July 2025, the US law covering regulated stablecoins. USDG (Paxos' Global Dollar, issued natively on Robinhood Chain) meets that framework's requirements, and so does the bridged USDC that Sectoral accepts. Our stablecoin operations are set up to match. *** ## Verified identity Every account must be verified when it is created. That applies to Personal and Business accounts equally, and to the parent account behind each Agent. There are two levels: | Level | Requirements | Unlocks | | -------- | ----------------------------------------- | ----------------------------------- | | Basic | Government ID and liveness check | Standard limits | | Enhanced | Additional documents and proof of address | Higher limits and Business features | We do not offer anonymous or pseudonymous accounts. Each one is tied to a verified person or entity, even though the amounts moving through it stay encrypted. *** ## Travel Rule handling Payments that cross borders or exceed the threshold are subject to the Travel Rule. Sectoral complies by: * Providing disclosure proofs to a counterparty's compliance system when it is required (details in [Verifying Identity](/compliance-and-identity/identity-verification.md)) * Screening counterparty addresses with Chainalysis or TRM Labs * Exchanging identity information in the standard way between regulated originating and beneficiary institutions, where relevant *** ## Supported regions During beta, Sectoral is available in the United States and in a set of EU jurisdictions. Places that explicitly ban crypto payment services cannot access the beta. *** ## Data residency Profiles and KYC records are kept in a region that matches where each account was opened. On-chain data is global by nature: it lives on Robinhood Chain and settles to Ethereum, not inside Sectoral's own systems. We explain this clearly during onboarding. *** ## How privacy and compliance coexist The confidential token layer hides amounts, not identities. Addresses remain public and are permanently linked to a verified owner, and a lawful request about a particular account can be met using the disclosure mechanism described in [Showing Proof of a Payment](/privacy-and-cryptography/proving-a-payment.md). Regulated privacy-preserving payment systems have largely settled on confidentiality without anonymity, and Sectoral's whole contract layer is designed around that model: accountable where the law requires, confidential in every other case. *** ## Read next * [Verifying Identity](/compliance-and-identity/identity-verification.md) * [Showing Proof of a Payment](/privacy-and-cryptography/proving-a-payment.md) --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs.sectoral.xyz/compliance-and-identity/regulatory-posture.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.