Private & Descreet Crypto OTC Procedures
Starting With A Few Smaller Test Transactions:
Transaction History, Trust & Transparency
At Obsidian Capital Management, we're more than just a conventional OTC platform. Recognizing the importance of discretion in financial matters, we believe that the foundation of every new partnership lies in mutual trust, especially when it comes to significant transactions. For this reason, we recommend our new clients considering long-term contracts to initiate with smaller trades then build from there. This approach not only allows them to establish a transparent transaction history with us but also helps in building the trust essential for more substantial deals along with establishing a high comfort level and understanding of our processes.
At OCM, our three pillars are Transparency, Transaction History, and Trust. Our commitment goes beyond just facilitating transactions. Whether you're looking to liquidate or acquire digital assets, swap digital assets, safeguard your holdings, employ leverage, or explore tax-efficient strategies within the USA, our aim is to support your wealth growth aspirations. Our mission is to ensure every transaction is seamless, reinforcing the trust and transparency our clients expect and deserve." --- I hope this suits your needs! Let me know if you have any other changes or feedback.
PROCEDURES & STEPS TO TRANSACT
Step 1:
Initial Discovery Call
The initial step, Step 1, begins with a discovery call to understand the requirements and intentions of the buyer or seller and ensuring they understand our procedures and how we will transact. For our US-based clientele, it's crucial to recognize the significance of strategic planning when buying or selling Digital Assets. Implementing a comprehensive Wealth & Tax plan can potentially minimize your tax obligations to as low as 0%, fortify your assets, and introduce various passive income opportunities. While entirely optional, without the proper framework, you could face capital gains taxes ranging from 15% to 20%. However, with the right asset protection and tax planning structure, these taxes can be fully mitigated. Our sister company Https://DoWhatTheWealthyDo.com can help with mapping out the right plan. Click To Schedule your Discovery Call Below.
Step 2:
Register Online & Complete KYC/AML
Step 2, At this stage, you'll undergo the onboarding process. This involves signing a NDA, submitting all necessary documents and completing the KYC/AML procedures to attain full approval. As a licensed entity, we operate within WY and MT. For our USA based clients, you must have a LLC or operating entity within WY or MT for us to be able to legally work with you. Our sister company Obsidian Wealth Management, LLC can set you up with a WY LLC or you can get one setup on your own if you don't have one. They can be setup same day or within 48 hours depending on who sets you up for it. For our international clients this step is not needed, KYC remains mandatory, provided you or your business is based in one of the approved countries. This includes, but is not limited to, Canada, Mexico, UK, India, Japan, Dubai, Chile, Denmark, and Switzerland.
Step 3:
Service Agreement
Step 3, After obtaining all the documents in step 2 above and successfully passing KYC/AML, we then send out a Client Service Agreement outlining the terms of service based on discovery call and LOI (optional to client), which will include length of trades, tranche amounts, along with consistency and volume of trades. It will also include a few test transactions so that everyone is comfortable with the process.
Step 4:
Transfer of Digital Assets or Cash
BUYER: As a regulated OTC, the Buyer shall bank wire USD (United States Dollars) to our dedicated client bank account in exchange for agreed upon spot plus pricing for what ever digital asset they are buying. Once USD is obtained, we will secure the digital assets and then do a small test transaction to the wallet provided from buyer. Once the buyer confirm via signal app that the small test transaction has been received then the remaining amount of digital assets will be delivered to them immediately.
SELLER: As a regulated OTC, the Seller shall send a test transaction to our dedicated client wallet. Once we confirm via Signal app that the test transaction was successful, then seller sends remaining digital assets to us as agreed in the Client Service Agreement and then we liquidate those digital assets. Once we liquidate, and we receive funds from our Liquidity providers, we will immediately bank wire funds over to Seller's dedicated chosen account after verifying their bank account details one last time for the first major transaction. After that our bank has it locked into the system and will be immediately transferred over after every transaction.
SWAPS: If you are looking at doing a digital asset swap from one coin to another, the process is the same except instead of fiat we settle out in your new digital asset.
*Any Coins not sold for whatever reason will always be sent back to Seller unless agreed otherwise for larger consistent transactions.
Step 5:
Settlement
BUYER: After step 4 above is completed, the Client Service Agreement has been executed and digital assets are in OCM custody, then we will close by sending your digital assets less our fee directly to your wallet of choice AFTER we conduct a small test transaction to that wallet to ensure safe delivery. Then an invoice will be sent to you as paid.
SELLER: After step 4 is completed the spot price trade amount has been communicated, USD funds are in OCM custody, then we will then close by sending you your USD less our fee directly to your bank account of choice less our fee via bank wire . Then an invoice will be sent to you as paid.
SWAPS: We do a small test transaction from your digital asset wallet to the new dedicated wallet created for you, once we confirm the transaction successful, then you would send us the agreed upon test amount of coins that you wanted swapped. We would exchange and swap the coins for you and then we send you the exchanged digital assets to your new wallet after a test transaction is completed. We will send you the total amount less our fee. Then an invoice will be sent to you as paid.
SETTLEMENT DISCLAIMER:
BANK WIRE SETTLEMENT: If settlement is by bank wire, as long as digital assets are in our custody before 9am PST, then bank wire will happen same day and will arrive either same day or if trade is a Friday, then same day or Monday the next business day depending on bank with a full wire confirmation provided via signal app.
DIGITAL ASSET SETTLEMENT: If it's a digital asset settlement, then all transactions shall be completed same day or within several hours as the size of each transaction will have its own delays based on the banks and digital currency transfer times. However, we are striving to improve our settlement times to be within several hours of the trade, or same day.
SWAP SETTLEMENT: If its a digit asset to digital asset settlement it will be settled same day or within several hours as the size of each transaction will have its own delays based on the coin types and the amount of confirmations it may take to hit your wallet.
*STANDARD SETTLEMENT: Our standard settlement happens same day as long as we obtain USD or Digital Assets by 9am PST that day. All transactions have receipt confirmation and paid invoice once transaction is completed.
OCM'S AVAILABLE CRPYTOCURRENCY OPTIONS
Aave (AAVE)
Basic Attention Token (BAT)
Bitcoin Cash (BCH)
Bitcoin SV (BSV)
Bitcoin (BTC)
Binance USD (BUSD)
Cardano (ADA)
Chainlink (LINK)
Compound (COMP)
DAI Stablecoin (DAI)
Dogecoin (DOGE)
Ethereum Classic (ETC)
Ethereum (ETH)
Filecoin (FIL)
Litecoin (LTC)
Maker (MKR)
Paxos Standard (PAX)
PAX Gold (PAXG)
Polkadot (DOT)
Polygon (MATIC)
Ravencoin (RVN)
Stellar (XLM)
Sushiswap (SUSHI)
Tether (USDT)
Uniswap (UNI)
USD Coin (USDC)
Wrapped Bitcoin (WBTC)
0X (ZRX)
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What it takes...
Terms and Eligibility
1. Minimum order size is $75,000 or more.
2. Buyer/Seller must follow our regulated OTC Procedures above.
3. Eligibility for OTC transactions and other services are subject to KYC/AML and other requirements.
4. Service Fee is tiered based on the volume amounts & trade history.
MANDATES/ ATTORNEYS/ INTERMEDIARIES
Mandates
When it comes to working with Mandates, many times we see they want to control everything and tell us as a regulated OTC how we should transact and use their procedures. We do NOT verge off from our proven and compliant way of closing transactions.
We can work with Mandates as long as they are willing to follow our procedures and actually get us in direct contact with their seller/buyer. As a regulated entity we can't work with anyone who hasn't been fully vetted including all parties involved in transaction or whom is receiving a commission. You can see our disclosures below by clicking the Disclosures & Disclaimers link at bottom of this page.
We always do NCNDA's and communicate with both buyer/seller and its mandate via signal app. We can act as paymaster for their commission if they choose. If Mandate is being paid by the seller/buyer directly then we will need to see a Agreement of sort that outlines how Mandate is to be compensated.
Power Of Attorney (POA)
If a buyer or seller has legal representation and the Attorney or POA is holding the assets of the buyer or seller (crypto or USD) then the attorney/lawfirm or entity that has the POA must sign a NDA, then pass KYC/AML and provide all required documents which are the following but not limited to:
1. A signed NDA, Notarized Legal Power of Attorney
2. A Client Engagement Letter or some proof they are legally representing the client and have completed verification on behalf of that client.
3. We will still need the WalletID the coins are coming from (if Attorney or entity, then it must be the Attorneys or Entitys custody wallet.)
When working with OCM, an Attorney or POA entity will not be providing any sort of "Escrow" service. We as a regulated OTC already act as escrow as we are a liquidator/supplier and buy or sell those coins through our liquidity providers and settle out the transaction for each client. We can pay the attorney or entity their fee or commission or they can get it directly from the seller/buyer.
Intermediaries
We work directly with customers and do not do daisy chains. If an intermediary comes to us and wants to bring us a seller or buyer, but they have 2 other people to get through before they are direct to the buyer/seller or its Mandate, we will only work with the Mandate and the customer directly. Its on the intermediaries to ensure they have their end covered.
OCM can act as paymaster if need be for 20% of the total commissions being sent out to each individual. Otherwise if we are not designated as paymaster, then we pay the Mandate directly if not being paid out directly by Buyer/Seller and the Mandate pays the intermediaries.
1712 Pioneer Ave Suite 2485
Cheyenne WY 82001
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