OpenFX maintains industry restrictions to comply with regulatory requirements and manage risk across its banking and crypto infrastructure partners. These restrictions affect which businesses can onboard as customers and what types of payments can be processed.

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Prohibited industries

The following business types are not permitted on the OpenFX platform. Customer applications from these industries will be rejected during KYB review.
IndustryReason
Unlicensed money services businessesRegulatory — requires proper licensing
Unlicensed gambling and bettingRegulatory — requires jurisdiction-specific licenses
Adult entertainmentBanking partner restrictions
Cannabis and controlled substancesUS federal law conflict
Weapons and ammunition manufacturingBanking partner restrictions
Shell banks (no physical presence)BSA/AML — prohibited by US law
Pyramid and multi-level marketing schemesFraud risk
Darknet marketplacesAML/CFT compliance
Ransomware and extortion-related servicesAML/CFT compliance
Unlicensed virtual asset service providersRegulatory — requires VASP licensing
Trade in conflict mineralsSanctions and ethical compliance
Human trafficking or forced laborLegal prohibition
Attempting to onboard a business in a prohibited industry results in KYB rejection. The customer status will transition to rejected with a reason indicating the industry restriction.

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Enhanced due diligence industries

The following industries are permitted but require enhanced due diligence (EDD) during the KYB process. This may result in longer review times and additional documentation requests.
IndustryEDD requirements
Licensed money transmission / MTLsLicense verification, state-by-state compliance check
Cryptocurrency exchanges and VASPsVASP registration proof, AML program documentation
Foreign exchange dealersLicense verification, volume projections
Precious metals and jewelrySource-of-goods documentation
Art dealers (high-value)Provenance documentation, AML controls
Non-profit and charitable organizationsGovernance documentation, source-of-funds evidence
Trust and corporate service providersBeneficial ownership documentation
Real estate (high-value transactions)Source-of-funds, purpose of transaction
Defense and dual-use goodsExport license documentation, end-user certificates
Pharmaceutical distributionLicense verification, supply chain documentation
Embassies and foreign government entitiesDiplomatic documentation
Politically exposed persons (PEPs)Enhanced screening, ongoing monitoring
EDD industries are not blocked from using the platform. The KYB review process includes additional verification steps, and the compliance team may issue RFI requests for supporting documentation via the rfi_pending action reason.

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How restrictions are enforced

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During onboarding

When you create a customer and submit for KYB review (POST /customers/{id}/submit), the compliance team evaluates the entity’s industry classification. The sourceOfFunds and accountPurpose fields contribute to this assessment. 
{
  "entityId": "ent_01953e1a5f4b7000",
  "sourceOfFunds": "business_revenue",
  "metadata": {
    "industry": "licensed_money_transmission",
    "licenseNumber": "MT-2026-12345"
  }
}
Include relevant industry classification and license information in the customer’s metadata field to help expedite the KYB review for EDD industries.

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During payment processing

Even after KYB approval, individual payments are subject to compliance screening. Payments may be held if they trigger screening rules related to:
  • Payment purpose — the purpose field on SWIFT and SEPA payments is screened
  • Counterparty screening — the counterparty’s name and address are checked
  • Amount thresholds — large transactions may trigger additional review
  • Pattern detection — unusual transaction patterns may flag for review
A payment placed on compliance hold enters requires_action status with requiresActionReason: compliance_hold.

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Ongoing monitoring

Customer accounts are subject to ongoing monitoring. If a customer’s business activities change to fall within a prohibited industry, their account may be suspended. This triggers a customer.status_changed webhook event.

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Best practices

Clearly disclose your business type and industry during onboarding to avoid delays in the KYB process.
For EDD industries, proactively upload supporting documentation (licenses, registrations, AML program descriptions) via POST /entities/{entityId}/documents before submitting for KYB review.
Use accurate purpose codes on international payments — incorrect purpose codes can trigger compliance holds.
Monitor customer.status_changed and payment.compliance_hold webhook events to react quickly to compliance-related status changes.

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API reference

Create Customer

Include industry and source-of-funds data

Upload Document

Provide supporting documentation for EDD

Prohibited Jurisdictions

Country-level restrictions