Swift Fund Flows
Description
This test identifies users exhibiting rapid and proportional movement of funds between deposits and withdrawals, focusing on patterns that may indicate unusual financial activity. This test evaluates transaction data to flag users whose total dollar value of both deposits and withdrawals exceeds a specified threshold, and whose deposit-to-withdrawal ratio falls within a defined range.
Use Cases
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Anti-Money Laundering (AML): Detect users whose rapid and proportional movement of funds may indicate potential money laundering activities.
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Fraud Detection: Identify users exhibiting unusual transaction patterns that could signify fraudulent activities, such as exploiting account systems to quickly move funds between accounts to bypass monitoring thresholds.
Required Data
Deposits Data
| Variable | Description |
|---|---|
timestamp | Timestamp of the deposit made (YYYY-MM-DD hh:mm:ss). |
user_id | User ID to identify the individual user. |
currency_type | The currency type of deposit being made; fiat or crypto. |
symbol | The asset symbol; e.g., BTC, ETH, USD, EUR. |
price_usd | The price of the symbol in USD. |
amount | The amount of the symbol being deposited. |
Withdrawals Data
| Variable | Description |
|---|---|
timestamp | Timestamp of the withdrawal made (YYYY-MM-DD hh:mm:ss). |
user_id | User ID to identify the individual user. |
currency_type | The currency type of withdrawal being made; fiat or crypto. |
symbol | The asset symbol; e.g., BTC, ETH, USD, EUR. |
price_usd | The price of the symbol in USD. |
amount | The amount of the symbol being withdrawn. |
Parameters
| Parameter | Description | Type | Default Value | Configurable |
|---|---|---|---|---|
analysis_window | Time period over which transactions are analyzed in days. | Integer | 2 | Yes |
analysis_minimum_aggregate_dollar_threshold | Minimum total dollar value for deposits and withdrawals to be included in analysis. | Float | 10000.0 | Yes |
deposit_to_withdrawal_upper_ratio | Upper limit for the deposit-to-withdrawal ratio to flag users. | Float | 1.2 | Yes |
deposit_to_withdrawal_lower_ratio | Lower limit for the deposit-to-withdrawal ratio to flag users. | Float | 0.8 | Yes |
create_ticket | Whether to create tickets for flagged accounts. | Boolean | True | Yes |
Methodology
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Net Flow Calculation For each user, calculate the total value of deposits and withdrawals separately over the analysis window. Subtract the total withdrawals from the total deposits to determine the net fund flow for each user.
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Threshold and Ratio Filtering Identify users whose fund flow meets or exceeds the specified financial threshold. Calculate the ratio of deposits to withdrawals and retain those within the defined range to ensure proportionality of fund movements.
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Flagging and Output Flag users who meet both the minimum dollar threshold and ratio criteria.