The list of investors includes the founder of Reddit (Alexis Ohanian), the SF Blockalin Capital and, not particularly relevant, PayPal Ventures; but let's go with order, as we know the companies that operate with cryptocurrencies are exposed to different risks ranging from the management of possible errors to the bureaucratic obligations (see the TON case), passing through the possibility that the reference legislation changes suddenly, until arriving to more difficult issues such as, for example, the risk of someone using the network to launder money. The risk analysis is fundamental to access the liquidity of the large institutional investors, TRM Labs is well aware that it has decided to make this sector its core business coming to collect, as the title suggests, the beauty of 4.2 million dollars funding that is added to the almost 2MLN of dollars collected during the incubation phase. The news is relevant because it shows that PayPal's interest in blockchain technology did not end after the terrible experience with libra (the stablecoin project strongly desired by Zuckerberg that seems to have run aground), but continues despite this mishap. This is obviously not the first blockchain analysis company, however it is one of the first cases that sees the analysis focused on financial investments as its main core business; other companies operating in this sector, such as Chainalysis, tend to collaborate mainly with institutions and their work is concentrated in the search for phenomena such as money laundering and fraud.

However, when we talk about financial institutions (banks, investment funds, companies active in the credit world) the main concerns that these express concern mainly customer due diligence and compliance with regulatory requirements; none of the companies, just to be more explicit, which assesses the possibility of a partnership with a blockchain company would like to deal with someone who does not comply with anti-money laundering legislation because this would end up having potentially disastrous repercussions for the company itself, before than for the partner offering its blockchain services. Esteban Castaño, co-founder and CEO of TRM Lab, said in a recent interview that:

"We are helping financial institutions reflect on the potential of cryptocurrencies and mitigate the associated risks, allowing them to assess the risk associated with cryptocurrency transactions, clients or partnerships, helping them to simplify compliance checks and meet regulatory requirements, a matter essential to enable the adoption of cryptocurrencies to continue to grow "

What happens, in practice, is that the startup scans over a dozen blockchains, analyzing billions of transactions looking for signs of possible fraud and money laundering; Castaño has always highlighted how there is an increasingly widespread awareness that blockchain technology represents the future, through TRM, therefore, companies have a tool that will allow them to adapt to technology and interact with blockchain companies, reducing the relative risk to a minimum. the failure to comply with existing rules and regulations regarding the monitoring of the origin of customer funds.