Prohibited business activities - Lumx

Every customer has to fully disclose their business activities to Lumx during onboarding and on an ongoing basis. We use that disclosure to run the right risk assessment, apply the right controls, and stay compliant with AML/CFT, sanctions, and regulatory requirements. Not disclosing relevant activity can lead to onboarding rejection, account suspension, or termination.

High-risk business activities

Allowed with disclosure, risk assessment, and enhanced controls. Being in one of the categories below doesn’t automatically disqualify you, but onboarding triggers Enhanced Due Diligence and ongoing monitoring. You have to disclose these activities up front. This list isn’t exhaustive:

Money services, payment processing, or funds transmission (MSBs, PSPs, P2P platforms, prepaid/gift cards, ATM operators)
Virtual asset service providers (VASPs): crypto exchanges, wallet providers, custody or escrow services, stablecoin issuers
Licensed gambling, betting, or gaming operators
Securities brokers and crowdfunding platforms
Businesses with complex or multi-layered ownership structures

High-risk customers may be asked for additional documents via Request for Information. Plan for verification windows beyond the standard SLA.

Prohibited business activities

Not supported under any circumstances. Lumx doesn’t serve businesses engaged in the following activities, directly or indirectly, regardless of jurisdiction or licensing claims.

Category	Description
Adult content and sexually oriented services	Businesses offering or facilitating sexually explicit, obscene, or adult-oriented content or services.
Drugs, controlled substances, alcohol, and pseudo-pharmaceuticals	Sale, distribution, or facilitation of illegal, controlled, or unregulated substances, including unlicensed pharmaceuticals.
Weapons, ammunition, and explosives	Trading or dealing in weapons, firearms, ammunition, or weapon-related products.
Unlicensed gambling, betting, and games of chance	Any business involving unlicensed or prohibited games of chance or gambling-related services.
Financial crime-linked businesses and fraudulent models	Ponzi schemes, pyramid schemes, or any model indicative of fraud, including unlicensed money services and shell banks.
Hate, violence, terrorism, and discriminatory activity	Activities promoting or enabling harm, hate, exploitation, or terrorism, including known terrorist organizations.
Sanctioned and illicit entities	Entities or individuals on OFAC, EU, UN, UK, or other sanctions lists, or operating from jurisdictions under comprehensive embargoes. See Supported countries.
Politically exposed persons (PEPs)	Businesses where a principal owner or controlling person is a PEP. Identified associations are declined during onboarding.
Identity fraud, anonymity misuse, and shell structures	Anonymous or fictitious accounts, bearer-share companies, or entities designed to obscure beneficial ownership.
High-risk lending and predatory financial services	Predatory or non-compliant financial products, including abusive lending practices.
Governmental, diplomatic, and political entities	Government bodies, embassies, consulates, supranational organizations, and diplomatic entities.
Data misuse and consumer privacy violations	Businesses that compromise customer data or privacy.
Intellectual property infringement and counterfeit goods	Entities selling, distributing, or enabling IP-infringing or counterfeit products.
Tobacco and tobacco-related products	Manufacture, distribution, or sale of tobacco products and related services.
Charities and NGOs	Non-governmental organizations, charitable foundations, and nonprofit entities.
Legal, notarial, and professional services	Lawyers (including IOLTA accounts), notaries, trustees, and accountants.
Banking and correspondent entities	Foreign banks, offshore banks, private banking, correspondent accounts, payable-through accounts, and concentration accounts. See Nested Payments.
Retail, hospitality, and consumer goods	Liquor stores, convenience stores, restaurants, and jewelry or precious-metals dealers.
Investment and asset management	Non-deposit investment products, trust and asset management services, and trade finance activities.
Construction	Construction companies, general contractors, and related service providers.

Consequences of violation

If prohibited activity is found on a Lumx account:

The account is reviewed and may be suspended or terminated.
Funds may be frozen pending investigation.
Partners and authorities may be notified, in line with legal and contractual obligations.

Reporting violations

If you spot prohibited activity on the platform, email compliance@lumx.io.

Supported countries

Jurisdiction tiers and where Enhanced Due Diligence applies.

Identity Verification

KYC and KYB requirements for individuals and businesses.

Nested Payments

Visibility rules and why pass-through structures are restricted.

Request for Information

Resolve RFIs raised during enhanced due diligence.

Supported countries

Nested Payments