TRM Labs raises $70 million and reaches a $1 billion valuation

TRM Labs, a blockchain analytics and crypto crime-prevention startup, has raised $70 million in a Series C round, pushing its valuation to $1 billion. The round was led by longtime investor Blockchain Capital, with participation from Goldman Sachs, Bessemer, Brevan Howard, Thoma Bravo, and Citi Ventures – a rare mix of top venture and financial institutions.

Founded in 2018 by Esteban Castaño and Rahul Raina, TRM built its business on the premise that widespread adoption of digital assets would create strong demand for tools that help public and private organizations assess risk and prevent abuse. The prediction proved accurate: TRM has become one of the most sought-after platforms for law-enforcement agencies and financial institutions worldwide.

While TRM competes with Chainalysis, it made an early strategic bet on multi-chain analytics at a time when most firms focused primarily on bitcoin. The company also assembled a team of former federal investigators – including specialists from the IRS and FBI – which accelerated its integration into government workflows.

TRM’s global head of policy, Ari Redbord, said the surge in criminal activity amplified by AI has become a serious warning sign: “We’re seeing a 500% increase in the use of AI in fraud and scams. It’s a threat of civilizational scale.” The report notes that TRM plays a critical role in investigations involving terrorist financing through crypto, including cases linked to Hamas.

TRM’s deep cooperation with government agencies often sparks criticism within parts of the crypto community, which views blockchain analysis as a violation of decentralization principles. Tensions escalated after reports on the role of crypto in funding the October 7 attacks, where TRM’s analytics were cited by lawmakers pushing for tighter oversight. The company maintains that transparency strengthens the industry’s legitimacy.

TRM also works with infrastructure providers including Tether and Tron, despite historical reports of illicit use on their networks. The company argues that it is impossible to “fight bad actors” by working only with fully compliant platforms.

Investors see TRM as a core pillar of future digital-asset infrastructure. According to Blockchain Capital, the company’s revenue has grown roughly 50% year-over-year for four consecutive years. Around 40% of its clients are in the private sector – a share that continues to rise as banks and financial firms explore tokenized deposits, equities, and other assets.

TRM heavily leverages AI and is preparing for dramatic increases in analytical load. Castaño noted that without AI it would be impossible to analyze the “trillions of transactions” generated across the global digital-asset ecosystem.

As the team expands to 350 employees, TRM is accelerating product development and solidifying its role in the architecture of the emerging financial landscape. Its founders believe their original prediction – that blockchain would dominate the global economy over a 20-year horizon – may materialize much sooner.