---
title: "OFAC"
description: "The US Treasury’s Office of Foreign Assets Control — the agency that administers sanctions and publishes the SDN list."
reviewedBy: "Krisan Nichani, Chief Compliance Officer"
updated: "August 2026"
canonical: "https://infinite.net/learn/glossary/ofac"
---

# OFAC

OFAC — the Office of Foreign Assets Control — is the US Treasury office that administers and enforces economic sanctions. It publishes the Specially Designated Nationals (SDN) list and other sanctions lists that financial institutions screen against. OFAC compliance is strict liability: transacting with a sanctioned party is a violation regardless of intent.

OFAC sanctions come in two broad forms: country-based programs restricting dealings with whole jurisdictions, and list-based designations naming specific people, entities, vessels, and wallet addresses. Institutions must block or reject matched transactions and report them — which is why screening runs before settlement, at onboarding and again at every payment as lists change.

On Infinite, OFAC screening is where every payment starts: every counterparty is screened before funds move, on every rail — stablecoins included — and the screening record lands in the transaction’s documented case file.

## Frequently asked questions

### What is the SDN list?

OFAC’s list of Specially Designated Nationals and Blocked Persons — individuals and entities US persons are generally prohibited from transacting with. It is the primary list US institutions screen against. [Sanctions screening](https://infinite.net/learn/glossary/sanctions-screening.md)

### Who must comply with OFAC sanctions?

All US persons — citizens, permanent residents, and US-organized entities — wherever they are located. In practice the reach is broader: transactions denominated in US dollars or routed through the US financial system can bring non-US parties within OFAC’s jurisdiction.

### When does OFAC screening happen?

At onboarding and again at every payment, because lists change constantly — a clean counterparty yesterday can be a designated one today. Matches must be blocked or rejected and reported. [Stablecoin compliance](https://infinite.net/use-cases/global-compliance)

### Is OFAC the same as sanctions screening?

No. OFAC is the US Treasury office that administers sanctions and publishes the SDN list; sanctions screening is the broader compliance practice of checking counterparties against OFAC’s list and other government sanctions lists before funds move. [Sanctions screening](https://infinite.net/learn/glossary/sanctions-screening.md)

## Where it fits on Infinite

- [Stablecoin compliance](https://infinite.net/use-cases/global-compliance)
- [Embedded Compliance](https://infinite.net/compliance/embedded)

## See also

- [Sanctions screening](https://infinite.net/learn/glossary/sanctions-screening.md)
- [AML transaction monitoring](https://infinite.net/learn/glossary/aml-transaction-monitoring.md)