The Quarantine transaction feature in Liminal Vaults lets organisations actively manage and reduce the risk of unsafe digital asset transfers. Users can temporarily isolate suspicious or high-risk transactions in hot and warm wallets, review and evaluate them, and then decide whether to approve the transfer. This approach ensures compliance with platform and internal security policies while protecting wallet integrity and minimizing potential losses.

Liminal Vaults ensures Owners and Admins can maintain compliance via quarantine transaction management by:

Navigate to Compliance > Quarantine to manage all quarantined transactions.
Navigate to Compliance > Others to generate a compliance report and manage the compliance team.

How quarantine secures potentially risky transactions

Quarantine transaction management strengthens security by flagging, isolating, and reviewing potentially risky transactions before they impact wallet operations, platform, and infrastructure security This structured process ensures that suspicious activities are contained, evaluated by the compliance team, and only reintegrated when verified as safe, i.e., safeguarding asset security and maintaining platform integrity.

Ensures secure quarantined transactions: Potentially unsafe transactions are flagged and held in a secure state, minimizing theft and preserving asset security and integrity.
Compliance-driven regulation: The compliance team plays a key role in reviewing and unquarantining quarantined transactions. They assess risk, verify legitimacy, and ensure adherence to regulatory and internal security standards.
Identifies, isolates, and reintegrates safely: High-risk transactions are identified and isolated for compliance, then seamlessly reintegrated into normal workflows once an unquarantined transaction is approved.
Transactions are reviewed by Firewall: Transactions are reviewed by the Compliance team in the Firewall review stage. Here, any transaction deemed risky or unwarranted is moved to a Quarantined section in the Firewall stage itself.

Quarantine Transaction Management

Owners and Compliance team members can manage quarantined transactions.

You can perform the following actions:

Quarantine an incoming pending transaction by the Firewall team.
Unquarantine a quarantined transaction as a Compliance team member.
Add and manage the Compliance team.

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Note

A transaction that fails Travel Rule protocol and shows either a cancelled, declined, or rejected status is quarantined by default. Check out the Travel Rule guide to implement and manage Travel Rule policy.

Transaction management does not apply to multisig cold and hardware wallets.

Navigating Quarantine

Navigate to Compliance > Quarantine from your Liminal Vaults account.

The Quarantine page is organised into three main sections: Header: Displays the total quarantined balance across all transactions for your organization, providing a quick overview of the assets currently under quarantine.

Search and Filter: Use the search box to quickly locate specific transactions. Filters allow you to refine results by date range and status, including Pending, Approved, Quarantined, and Unquarantined, helping compliance teams and wallet owners focus on the transactions that require immediate attention.

Quarantine overview: The section lists all quarantined transactions in your organization’s account. Each transaction entry shows key information explained in the table below:

Column Field Description Wallet The wallet from which the transaction originated or is associated. Amount The value of the transaction is typically in the wallet’s native asset. Transaction Hash Unique identifier for the blockchain transaction. Quarantined By The user or system that flagged or quarantined the transaction. Travel Rule Indicates whether the transaction is subject to regulatory travel rule checks. Risk Score A numerical or categorical score indicating the potential risk of the transaction. Status Current state of the transaction: Pending, Approved, Quarantined, Unquarantined.

3.1 Transaction history panel: To view a wallet’s transaction history, click View on the desired wallet to open its side panel.

The information displayed depends on the transaction’s status: Pending and Approved Transactions: Show only the Details Panel, which includes basic transaction information such as wallet, amount, transaction hash, and associated members. No timeline is displayed for these statuses. Quarantined and Unquarantined Transactions: Include both Details and Timeline panels. Details Panel: Displays comprehensive transaction information, firewall policies in place, compliance data (risk score, travel rule status, category), and involved members. Timeline Panel: Captures the full quarantine history, including who performed each action, the date and time (e.g., 06 Oct 25, 13:59 IST), and the originating IP address. Example of a Quarantined transaction panel:

Refer to the Transactions guide to check the transaction history Prerequisites

You are an Owner or a wallet member [link].
You must enable the Liminal Firewall for wallet [v2]. In Firewall, you must have either of the following policies enabled for incoming (Receive) transactions: Travel rule with an automatic credential to support travel rule status, or Transaction risk (AML) with the required TRM labs credentials to return a risk score.

Note:
The Transfer policy is only supported for Send transactions and cannot be applied to Receive transactions for quarantine purposes. You should set receive rules on the travel rule policy. If the travel rule policy is cancelled, declined, or rejected, the transaction will be automatically quarantined.

Quarantine a transaction Any Receive transaction with a Pending status and Firewall Approval Required substatus can be quarantined by the Firewall team members instead of approving it. Refer to the Set up Liminal Firewall guide to add Firewall Team to your account.

Follow the steps below to quarantine a transaction you have received. Log in to your Liminal Vaults account. Navigate to the Home page and the pending actions section.

Click View for the required wallet to bring up the transaction details panel.

Click Quarantine to isolate the transaction. Enter the message, i.e., reason for quarantining the transaction, and click Proceed. Alternatively, click Cancel to cancel the action. Enter the 2FA code to confirm the quarantine action. You will receive an email confirmation. The quarantined transaction moves to the quarantine list in the Compliance tab.

The quarantined transaction is moved to the Compliance section and can be managed by the Owner and compliance team members only. Unquarantine a quarantine transaction Owners and Compliance team members can unquarantine a transaction that is safe to reintroduce to the system. You can reintegrate a quarantined transaction into the wallet transaction flow when it is deemed secure.

Log in to your Liminal Vaults account. Navigate to the Compliance page. It opens in the Quarantine tab by default. Select the transaction from the list of quarantined transactions and click View to open its transaction details panel.

Click Unquarantine to unquarantine the quarantined transaction. Enter the reason for unquarantining the transaction and click Proceed. Enter the required 2FA authentication code.

Note: Owners can unquarantine without minimum quorum approval. Compliance team members require a minimum quorum approval to unquarantine a transaction.

The transaction is successfully unquarantined. You will receive an email notification confirming the same. It has been moved to the Pending Actions section of your Liminal Vaults homepage. You can approve the Receive transaction or quarantine it again. The transaction history panel is updated accordingly for the required transaction.

Dispatch a quarantined transaction Owners and Compliance team members can dispatch a quarantined transaction, i.e., return the quarantined transaction to its sender. Dispatching a quarantined transaction ensures you dispatch the transaction to the required destination address.

Click Dispatch to initiate transaction dispatch. Enter the Case ID, Case URL, Destination Address from the dropdown, and the reason for initiating dispatch.

Note: Ensure you have whitelisted the destination address. Learn how to whitelist addresses here.

Click Initiate Dispatch. Enter the required 2FA authentication code to proceed.
All compliance team members are required to approve the transaction dispatch request to reach a minimum approval. Similarly, Signers will need to sign the request until the minimum approval is reached. Once both parties approve and sign accordingly, the transaction is dispatched successfully. You will receive an email notification confirming the same. It moves to the Pending Actions section of your Liminal Vaults homepage. The transaction history panel is updated accordingly.