TRM Labs, which offers blockchain-based platform to monitor digital asset transactions, has raised $4.2m in fresh funding from multiple investors.
PayPal Ventures, Initialized Capital, Y Combinator and Blockchain Capital invested in the startup, bringing its seed capital to $5.9m.
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The company said that it will use the money to expand engineering and data science teams, foray into new markets, and develop new products.
TRM platform helps financial institutions measure, monitor and reduce cryptocurrency fraud and money laundering. The platform can be used to risk-score crypto-related transactions, customers or alliances.
Leveraging multiple blockchains, the platform analyses digital asset transactions to identify signs of fraud and financial crime in real-time.
It comes with solutions for cryptocurrency KYC/AML, transaction monitoring, wallet screening, entity risk scoring and threat intelligence.
TRM Labs co-founder and CEO Esteban Castaño said: “At TRM, we are fuelled by a fundamental belief that cryptocurrency and blockchain can democratise access to financial services and empower billions of people.
“By building solutions to prevent cryptocurrency fraud and financial crime, we enable this vision and build a safer financial system for billions of people.”
Currently, the TRM platform is being used by banks, brokerages and exchanges, among other financial institutions in the US, Latin America, Asia and Europe.
Blockchain Capital general partner Spencer Bogart added: “TRM provides a solution that every financial institution needs today because they are either establishing plans to directly engage with crypto or because they inevitably have customers or partnerships that are in some way exposed to cryptocurrency transactions.”
