Introduction

Complyr is a private audit infrastructure for onchain business payments.

Every payment made through Complyr permanently attaches encrypted audit records (such as the expense category and jurisdiction) directly to the transaction. External auditors can run active compliance tests against these records without them ever being decrypted. By evaluating audit logic directly on encrypted data, the auditor gets the answers they need while the business's sensitive payment details remain completely private.

This is made possible by Zama's Fully Homomorphic Encryption (FHE). FHE allows computation on encrypted data without decrypting it first. Complyr leverages this technology to turn passive encrypted storage into an active, private audit engine.

Important Note: The actual payment transactions on Complyr are public and are not encrypted. What gets encrypted are the specific audit records (such as expense categories and jurisdictions) that accompany each payment to enable private compliance checks.

The problem Complyr solves

Onchain businesses face two core challenges when trying to maintain compliance and privacy simultaneously.

The Double Ledger Problem A blockchain transaction records who received funds and how much, but it does not record why. To maintain compliance, businesses are forced to maintain a separate, offchain ledger (like a spreadsheet) to track whether a payment was a contractor payout, a vendor invoice, or payroll. This creates a disconnected audit trail that is manually reconciled and easily disputed. Complyr solves this by attaching encrypted audit records directly to the onchain transaction, removing the need for an offchain ledger entirely.

The Business Data Exposure Problem When a business is audited, the conventional approach requires handing over the entire ledger. This exposes sensitive information about every single transaction, including those that are completely legitimate and irrelevant to the audit. Complyr solves this by allowing auditors to review a business's ledger without ever viewing the full ledger in plaintext. Using Zama's FHE, compliance tests are performed directly on encrypted records. The auditor only ever decrypts the specific payment records that are flagged for violating a rule.

The regulatory pressure behind the product

Complyr does not make a company automatically compliant. It does reduce one of the most common failure modes in onchain operations: weak records.

Examples from current official guidance:

The IRS says business records must clearly show income and expenses, support deductions, and remain available for inspection. It also states employment tax records must be kept for at least four years. If an onchain business cannot connect a payment to a business purpose, it risks losing deductions or failing an examination.
HMRC says the onus is on the taxpayer to keep records for cryptoasset transactions, and UK reporting cryptoasset service providers now face additional data-collection and reporting duties under the Cryptoasset Reporting Framework.
FinCEN's Travel Rule guidance requires specified sender and recipient information for covered transfers at or above the threshold. A payments business that intermediates value flows cannot rely on bare wallet movement alone.

In practice, the highest-risk pattern is not merely "using crypto." It is sending business payments without enough retained context to support tax, audit, AML, sanctions, or regulatory review later.

Where Complyr helps

Complyr gives the business a stronger evidentiary layer for each payment by preserving:

the recipient list;
a business reference ID;
a category label such as payroll, contractor, vendor, or invoice;
a jurisdiction tag;
an encrypted copy of the payment amount for private review and reporting.

That helps businesses keep payment context attached to the ledger instead of rebuilding it later. It also helps auditors and regulators work from a tamper-resistant record while still respecting commercial privacy.

What Complyr is not

Complyr is not a substitute for legal advice, tax filing, KYC, sanctions screening, payroll withholding, or statutory reporting. It is infrastructure for better records, stronger privacy, and more credible oversight.

That distinction matters. The product makes it easier to prove and review what happened. It does not claim that every payment entered by a user is legally correct.

Introduction

The problem Complyr solves

The regulatory pressure behind the product

Where Complyr helps

What Complyr is not

Sources

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