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Patent Pending  ·  AWS Lambda Live  ·  624 Tests · 0 Failures

Every AI action,
governed before it executes.

Control Before Consequence

GRACE is the pre-execution AI enforcement kernel. Every agentic AI action is intercepted, evaluated against policy, and cryptographically sealed before it runs — in any industry, on any platform.

624Tests Passing
0Test Failures
T‑24Theorem Proven
Dec '25Priority Date
Policy Action Packet · PAP-2026-09142
agent_idbsa-triage-agent-v3
action_typeSAR_DISPOSITION
proposedFILE · Case #TXN-44821
policy_versionBSA-POL-2026-Q2-v4
threshold✓ $38,200 > $10,000
authority✓ BSA_OFFICER · L2
state✓ ALLOW
decision_ms43ms
Sealed · ML-DSA / FIPS 204 · Post-Quantum
Institution-owned · Examiner-ready · Tamper-evident
Six enforcement states — every decision
ALLOWMODIFYABSTAINDENYSHADOWOBSERVER
“If your regulators ask you tomorrow to provide the name of the individual accountable for the ongoing performance of every AI agent currently running in your institution’s critical business processes — not the committee, not the function, the human — could you answer without making a phone call first?”
American Banker · June 1, 2026
The Enforcement Gap

AI agents act.
Nothing stops them first.

Every governance tool available reports after the fact. GRACE intercepts each AI action before it executes — the only moment enforcement is possible.

SR 26-2 · Footnote 3 · April 17, 2026

“Generative AI and agentic AI models are novel and rapidly evolving. As such, they are not within the scope of this guidance.”

The Federal Reserve named the gap. GRACE closes it.

978%
growth in GenAI lawsuits
2021–2025 · Gallagher Re/MIT
79%
lack mature agentic AI
governance · Deloitte 2026
40%
of enterprise apps embed
AI agents by 2026 · Gartner

The action comes first

Agentic AI executes in milliseconds. No existing platform intercepts at the individual tool-call level before execution.

The record belongs to the vendor

Vendor audit logs are vendor property. A defensible governance record must be institution-owned and produced before the action executed.

Insurance now excludes GenAI

ISO GenAI exclusions became effective January 1, 2026. Coverage requires demonstrated enforcement infrastructure — not a policy statement.

Where GRACE Applies

Every regulated industry.
Every AI agent that acts.

GRACE is not a banking product. It is the enforcement layer wherever an AI agent makes consequential decisions in a regulated environment.

🏢
Regulated Lending

ECOA, fair lending, SR 26-2. Every AI credit recommendation sealed before it reaches decisioning.

🔍
BSA / AML

SAR disposition, FinCEN accountability. AI-recommended filings sealed before they execute.

🏥
Healthcare AI

HIPAA, prior authorization, clinical decision support. Patient-impacting AI actions governed before execution.

⚖️
Legal & Insurance

Claims adjudication, coverage decisions. Every AI determination sealed with its policy basis.

🏛️
Federal Contracting

CMMC, FIPS 204, air-gapped enforcement. Software-only, zero cloud dependency.

⚙️
AI Platforms

OEM enforcement layer for any platform. The proof layer no platform produces for itself.

“Gartner projects that 40% of enterprise applications will embed task-specific AI agents by the end of 2026, up from less than 5% in 2025. The gap between deployment velocity and governance maturity is where agentic AI risks take root.”
Gartner / Strata Agentic AI Risk Report · April 2026
The Architecture

Intercept. Evaluate. Seal.
Before the action executes.

1

Intercept

The AI agent attempts an action. GRACE intercepts it synchronously. Nothing executes. The agent waits.

2

Evaluate Against Policy

Authority, thresholds, scope — all verified deterministically against current policy. Median decision: under 50ms.

3

Assign Enforcement State

One of six states: ALLOW, MODIFY, ABSTAIN, DENY, SHADOW, or OBSERVER. Deterministic — same input always produces the same state.

4

Seal the Policy Action Packet

Sealed using ML-DSA / FIPS 204 post-quantum cryptography. Tamper-evident. Institution-owned. Examiner-ready from creation.

SHADOWZero-Risk Entry

Deploy in parallel. No vendor notification. No integration change. Zero operational impact. PAP archive builds from day one.

Zero changes to existing AI systems
Full PAP archive from activation date
Examiner-ready before your next cycle
624
Tests Passing
0
Failures
125
Build Phases
T‑24
Theorem Proven
“FINRA’s 2026 Annual Regulatory Oversight Report classifies AI agents as a distinct supervisory risk category and recommends institutions implement complete audit trails of all agent actions, and human checkpoints before execution.”
FINRA Annual Regulatory Oversight Report · 2026
The Cost of Inaction

These are not hypothetical penalties.

Documented FinCEN enforcement figures — public record. Not GRACE customers or endorsers.

$1.3B
TD Bank
FinCEN BSA Enforcement
$390M
Capital One
FinCEN BSA Enforcement
$140M
USAA
FinCEN BSA Enforcement
EU AI Act · Article 99 · August 2, 2026
Up to €15M or 3%
of global turnover

For high-risk AI system non-compliance. Covers financial AI: credit scoring, AML, insurance underwriting. 22,000+ EU financial entities in scope.

ISO GenAI Exclusions · January 1, 2026
Standard insurance
no longer covers it

Carriers now specifically exclude generative and agentic AI incidents. Coverage requires demonstrated enforcement infrastructure.

“Every agent authentication event, tool invocation, delegation handoff, and policy decision needs to be captured in a format that supports real-time monitoring and compliance audits. Governance for agentic AI must operate at runtime — not as a periodic review.”
Strata · Agentic AI Governance · April 2026
Two Ways to Engage

Start the right conversation.

For Regulated Institutions

Deploy GRACE in your environment

Start in SHADOW mode — zero operational risk, zero vendor notification, full PAP archive from day one.

  • SHADOW mode: parallel, no production impact
  • Institution-owned PAP records from day one
  • SR 26-2, BSA/AML, EU AI Act, HIPAA alignment
  • Examiner-ready on activation date
See the Demos
For IP & Platform Partners

License or acquire the enforcement layer

GRACE defines the pre-execution AI enforcement category. Patent pending — priority date December 2025.

  • Outright IP acquisition
  • Option-plus-license with milestone triggers
  • OEM platform licensing — per-deployment royalty
  • Standards body reference implementation
Contact for Licensing