r2-finance-v1 — Profile for financial services AI

Extends R+2 for trading systems, lending decisioning, KYC/AML automation, payment routing, and customer-facing financial agents. Aligns with PSD2 (EU), RBI Master Directions (India), MAS Notices (Singapore), and SOX §302/§404 controls.

1. Purpose

Financial AI faces dense regulatory overlap: prudential supervision, customer protection, anti-money-laundering, market conduct, and operational resilience. This profile makes the audit trail consumable by any of these regulators without renegotiating the data format for each one.

2. Extension fields

Extension key	Type	Description
finance.customer_id_hash	string	SHA-256 of the customer identifier salted per-deployment. Never the raw account number.
finance.regulated_activity	string	The regulated activity classification (e.g., payment-initiation, credit-decision, kyc-screening, investment-advice, market-execution).
finance.jurisdiction	string	Primary regulatory jurisdiction (e.g., EU-DE, US-NY, IN, SG, UAE-ADGM).
finance.decision_basis	string	Reference to the policy document, model version, or rule set that produced the decision. Required for credit and investment-advice actions.
finance.human_review	boolean	True if a regulated person (banker, advisor) reviewed the action before it took effect. Required for credit-decision and investment-advice classes.
finance.aml_flag_level	string	One of: none, monitoring, flagged, suspicious-activity. Tracks the AML risk classification at decision time.
finance.psd2_strong_auth	boolean	True if the action satisfied PSD2 Strong Customer Authentication. Required for EU payment initiation.
finance.amount	object	{ currency: ISO 4217 code, value: decimal-as-string } when the action involves money movement.

3. action_type namespace

• finance/payment/* — payment initiation, settlement, refund
• finance/credit/* — credit decision, loan origination, refinance
• finance/kyc/* — identity verification, sanctions screening, AML
• finance/trading/* — order placement, market execution, position adjustment
• finance/advisory/* — investment advice, portfolio recommendation
• finance/reporting/* — regulatory reporting, statement generation
• finance/dispute/* — dispute handling, chargeback processing

4. Compliance mapping

Regulation	R+2 field satisfying it	Notes
PSD2 SCA (Strong Customer Auth)	extensions.finance.psd2_strong_auth	Demonstrates SCA satisfaction per Article 97.
PSD2 Article 96 (Reporting incidents)	action_type: finance/incident-report/*	Major incident reports with full chain integrity.
RBI Master Direction on Digital Lending	extensions.finance.decision_basis + .human_review	Explainable, reviewable lending decisions.
RBI Master Direction on KYC	action_type: finance/kyc/* + chain integrity	Auditable KYC trail per RBI 2016 Direction.
MAS Notice 626 / 1014 (Sanctions)	extensions.finance.aml_flag_level	Sanctions screening decisions are signed.
SOX §302/§404 Internal Controls	Full receipt chain + R+3 export	Tamper-evident records of AI-driven controls.
FATF Recommendation 16 (Travel Rule)	extensions.finance.amount + counterparty linkage	Cross-border transfer originator/beneficiary tracking.
EU AI Act Annex III (high-risk)	Full receipt chain	Credit scoring and insurance pricing are high-risk by default.

5. Money movement actions

Any action involving money movement MUST include the extensions.finance.amount field with both currency and value. Examples:

• Payment initiation: { "currency": "EUR", "value": "1234.56" }
• USDC settlement on Base (via DCS Treasury): { "currency": "USDC", "value": "0.48" }
• Cross-border transfer with FX: include both amount and amount_fx with the converted value.

6. Trading-specific requirements

For finance/trading/* actions, additional rigor applies:

• Microsecond-precision timestamps: occurred_at SHOULD have microsecond precision for market-execution actions to support MiFID II / Reg NMS reconstruction requirements.
• Order chain integrity: Each modification to an open order produces a new receipt chained to the order-creation receipt. Cancellations chain too.
• Market data attestation: Optional extension finance.market_data_ref hashes the market snapshot the agent used for the decision.

7. Worked example — credit decision

An AI agent making an automated lending decision under RBI Master Direction on Digital Lending:

{
  "spec_version":     "r2/v0.1",
  "agent_pubkey":     "u4yK_lH8Z6vJ...",
  "agent_id":         "lending-bot-007",
  "action_id":        "3f8a7c12-8b91-4e2c-9b3a-5f7d8e1a2c4b",
  "action_type":      "finance/credit/decision",
  "action_data": {
    "decision":         "approved",
    "credit_amount":    250000,
    "term_months":      36,
    "interest_pct":     12.5,
    "decision_factors": ["dti_45pct", "score_780", "stable_income"]
  },
  "occurred_at":      "2026-05-21T15:42:08.123456Z",
  "prev_receipt_cid": "sha256:bafy2bz...",
  "extensions": {
    "finance.customer_id_hash":  "sha256:8f3a91cd...",
    "finance.regulated_activity": "credit-decision",
    "finance.jurisdiction":       "IN",
    "finance.decision_basis":     "model:rbi-compliant-credit-v3.2",
    "finance.human_review":       true,
    "finance.aml_flag_level":     "none",
    "finance.amount":             { "currency": "INR", "value": "250000" }
  },
  "signature":        "..."
}

Contact

Editorial: [email protected]
Financial services partnerships: same address, prefix subject with "[Finance]"