SENTINEL

SENTINEL is a decentralized Anti-Money Laundering protocol where independent TEE nodes score wallet risk using ML models trained on 200k+ labeled Bitcoin transactions. Scores are aggregated through Chainlink CRE workflows with reputation-weighted consensus, no single entity controls the verdict. Users can generate verifiable Proof of Innocence attestations on-chain, and DeFi protocols can integrate the AML policy contract to automatically block flagged wallets. The protocol runs on Flare's Coston2 testnet, leveraging FTSO price feeds, FDC cross-chain attestations, Smart Accounts for XRPL users, and Arc Nanopayments for per-query micropayments at $0.001 USDC per score request.

The ML model is an XGBoost classifier trained on the Elliptic dataset, scoring wallets across 5 dimensions: transaction velocity, amount structuring, counterparty count, distance to sanctioned wallets (graph traversal up to 4 hops), and input/output ratio for layering detection. TEE nodes run on Flare Confidential Space with flare-ai-kit attestations. The CRE workflow uses Chainlink's ConfidentialHTTPClient to query TEE nodes with VaultDON-managed secrets and AES-GCM encrypted outputs, then aggregates scores weighted by node reputation. 8 Solidity contracts handle registry, scoring verification, multi-oracle payments (FTSO v2 → Chainlink → fallback), Arc EIP-712 nanopayments, and FDC Merkle proof attestations. Smart Accounts let XRPL users trigger scoring without holding FLR, instructions are encoded in XRPL payment memos and executed via MasterAccountController. The FCE Docker stack (Redis + ext-proxy + extension-tee) processes on-chain instructions with registered TEE machines. Frontend is Next.js 14 with wagmi/viem and GemWallet for XRPL signing.