Circle Taps TRM Labs for Risk Management
Posted by Colin Lambert. Last updated: October 25, 2021
USD stablecoin operator Circle is implementing a full suite of risk management tools developed by TRM Labs, a blockchain intelligence provider. The relationship allows Circle to further enhance its ability to detect and defend against fraud and financial crime the firms say.
TRM Labs combines raw blockchain data with advanced analytics to help customers identify “on-chain” indicators of money laundering or other illicit activity and trace the flow of cryptocurrency funds to their ultimate source or destination.
The relationship is the latest in a series of actions by Circle that the firm says demonstrates a commitment to collaborating with industry and government on the appropriate future supervisory standards, and to maintaining or exceeding those standards to create reliable, trusted, secure and compliant infrastructure.
Circle will use TRM’s risk management platform to conduct digital currency transaction monitoring, a process for detecting unusual activity and investigating alerts through integrated case management.
“We believe the TRM platform gives us the most accurate, comprehensive picture of financial crime risk across all of the assets we need to monitor,” says Mandeep Walia, chief compliance and risk officer at Circle. “We are fully equipped to comply with existing regulatory obligations, and the addition of TRM’s capabilities will help us scale and adapt our risk management needs as the regulatory landscape continues to evolve.”
Esteban Castaño, co-founder and CEO of TRM Labs, adds, “Circle brings an innovative, collaborative ethos and a first-rate team of compliance experts to the TRM user community. Having their input as users will be hugely valuable as we continue to develop forward-thinking solutions for the entire ecosystem of TRM customers and partners.”