TRM Labs Joins Crypto Unicorns Amid Blockchain Shakeup

In the ever-evolving world of blockchain technology, the start of 2026 has brought a whirlwind of developments that are reshaping both the technology’s capabilities and its role in society. From the rise of crypto unicorns like TRM Labs to major upgrades in foundational networks such as Bitcoin and Ethereum, and even government-led explorations into the technology’s potential, blockchain is cementing its place at the heart of global innovation—and controversy.

TRM Labs, a San Francisco-based startup founded by Esteban Castaño and Rahul Raina in 2018, is now the latest to join the exclusive club of crypto unicorns. On February 4, 2026, the company announced a $70 million Series C funding round led by Blockchain Capital, with heavyweight backing from Goldman Sachs, Bessemer, Brevan Howard, Thoma Bravo, and Citi Ventures. This round values TRM Labs at a staggering $1 billion, a testament to the growing demand for blockchain analytics in both the public and private sectors, according to Fortune.

But what’s driving this surge in interest? For one, the explosion of digital assets and their use in global payments has created a massive web of transactions that need to be monitored for risk and compliance. Castaño and Raina’s early bet was that as billions of people began moving money through digital channels, the world would need sophisticated intelligence tools to manage the resulting data. "The world would need intelligence to make sense of that data to ultimately manage risk, and thankfully, that turned out to be true," Castaño told Fortune.

TRM Labs’ blockchain analytics software is now a staple for law enforcement agencies worldwide, as well as for private companies navigating the often-turbulent waters of crypto finance. The company’s path to success wasn’t always clear-cut, especially given that its main competitor, Chainalysis, had a four-year head start. Yet, TRM’s decision to track multiple cryptocurrencies and blockchains early on, coupled with its recruitment of former government investigators, gave it a crucial edge as both governments and industry players recognized blockchain’s staying power.

As the use of artificial intelligence in scams and fraud has soared—TRM Labs reports a 500% increase in AI-enabled fraud—its tools have become even more vital. Ari Redbord, a former federal prosecutor who joined TRM as an early employee and now serves as global head of policy, described the threat as "civilization-level" and emphasized the company’s commitment to building for this moment.

Government agencies have come to rely on blockchain analytics to tackle everything from dark web marketplaces to terror financing. Jarod Koopman, a veteran IRS agent who will soon become chief of criminal investigation, explained to Fortune that tools like TRM Labs are indispensable: "Without third-party tools, it would be infinitely more time-consuming and inefficient." The IRS began working with TRM Labs soon after its launch, complementing its use of Chainalysis to avoid putting "all of our eggs in one basket," particularly as cybercriminals diversified beyond Bitcoin.

The FBI’s involvement in crypto cases has grown exponentially, from just a handful in 2015 to thousands by 2026. James Barnacle, assistant director at the FBI’s New York field office, highlighted the agency’s collaboration with TRM Labs in the wake of the October 7, 2025 Hamas terror attacks in Israel, where crypto donations played a role in funding. "TRM, and other companies as well, came forward and said, ‘We’re seeing this issue,’" Barnacle told Fortune. "The partnership between the FBI and the private sector is critical for us to be successful. There’s nothing the FBI can do all on its own."

Yet, this close relationship with law enforcement has at times put TRM Labs at odds with the broader crypto community, which often champions decentralization and privacy. Some in the sector were incensed by reports linking Hamas’s crypto wallets to blockchain analytics firms like TRM, especially when politicians such as Senator Elizabeth Warren seized on the revelations to push for stricter regulation. Castaño counters that TRM’s mission to bring security to digital assets is aligned with the industry’s long-term interests: "There’s a real brand issue for crypto and digital assets."

TRM’s willingness to partner with companies associated with illicit finance, such as Tether and Tron, has also sparked debate. For years, TRM highlighted the use of the stablecoin Tether on the Tron blockchain by cybercriminals, before launching a joint task force with both entities in late 2024. Despite accusations of hypocrisy, Redbord defends the move, stating, "Our mission is to stop bad actors. You don’t stop bad actors working only with the most regulatory-compliant places where there’s no illicit activity."

Meanwhile, TRM’s business continues to boom. The company has grown to 350 employees, and its revenue has increased by about 50% annually for the past four years. Around 40% of its customers are now from the private sector, a share that’s only expected to grow as financial institutions explore tokenized assets and as AI becomes more deeply embedded in compliance and analytics. "If you’re operating in a world where there’s trillions of transactions, how in the world do you find the needle in the haystack without using AI?" Castaño asks.

Of course, the blockchain landscape is much bigger than any one company. On the technology front, January 2026 saw the Bitcoin Core development team promote TheCharlatan, an anonymous developer, to Trusted Keys maintainer, expanding the core team’s capacity. Ethereum, meanwhile, is preparing for its Glamsterdam upgrade, with founder Vitalik Buterin pledging to address past compromises in privacy and decentralization. The upcoming ERC-8004 standard aims to enable AI agents to interact across organizations, unlocking a global interoperable market for AI services.

Other networks are also pushing forward. Ethereum Layer 2 solution Starknet recently resolved a mainnet outage caused by state inconsistencies, while ZKsync unveiled a roadmap focused on privacy, orchestration, and developer experience. The OP Stack’s "Post-Quantum roadmap" proposes a 10-year migration away from traditional cryptographic signatures, a nod to the looming threat of quantum computing.

Security remains a pressing concern. Researchers have uncovered vulnerabilities in tools ranging from IDEs to staking protocols, while phishing attacks and social engineering schemes continue to target unsuspecting crypto users. The pace of innovation is relentless, but so is the ingenuity of those looking to exploit it.

Governments, too, are taking blockchain seriously. Back in 2016, the UK’s Government Office for Science launched a project to explore blockchain’s potential, establishing a cross-government Community of Interest and producing a widely praised report that explained the technology’s science and use cases. By 2018, the UK was recognized as a global leader in blockchain understanding, helping to build early awareness and encourage innovation in public services.

With all these moving parts—startups reaching unicorn status, foundational networks undergoing major upgrades, governments studying applications, and security experts racing to patch vulnerabilities—the world of blockchain in 2026 is as dynamic and contested as ever. For those watching from the sidelines, the question isn’t whether blockchain will shape the future, but just how profound that impact will be.