e-Pocket financial technology
BETWEEN FIAT AND CRYPTOCURRENCY
e-Pocket OTC Overview
e-Pocket Pty Ltd is an Australian financial technology (fintech) business offering a range of financial products and technologies to the global market.
As part of its service offering, e-Pocket offers an over the counter (OTC) service for several well-established Cryptocurrencies including Bitcoin and Etherum. e-Pocket OTC has processed $AUD30 Million as at September 2019 in institutional and retail trades and operates across many countries and jurisdictions.
What is OTC?
OTC trading is cryptocurrency trading that takes place away from digital currency exchanges.
Hedge funds, private wealth managers or high-net-worth individuals utilise OTC to buy a range of assets including bitcoin and other digital assets.
OTC trades are facilitated in several different ways, including the following:
Via brokers. Brokers who specialize in large transactions handle them via OTC trades either done face to face or remotely. These platforms offer a personalized service to help high-volume traders execute large block trades and avoid problems with slippage by accessing funds through liquidity providers that hold large amounts of cryptocurrency
Through various chat rooms or online portals. These are effectively businesses buy from liquidity providers on your behalf or exchanges depending on the amount purchased. They make sure you have parted with your money and complied with KYC and AML rules and report to the Authorities all transactions.
Face to face retail
Bitcoin ATM’s allow customers to convert their fiat currency into digital coins without needing to go through an online exchange.
What's different unique about e-Pocket?
What makes e-Pocket OTC different is that it facilitates a seamless movement between fiat and cryptocurrency. It is essential to understand that modern users need access to an array of payment types, whether they are at home or travelling. e-Pocket provides not only access to purchase crypto on an as-needed basis, but a payment system across thousands of merchants.
OTC retail customers
Retail customers looking to buy and hold small amounts of Cryptocurrency need not look further than the e-Pocket online portal (e-Pocket.com.au) and app.
The benefit here is that the user can buy and hold Cryptocurrency and even move it over into a ‘PayPass’ type wallet to use at retailers in Australia. As with all our services, this is a fully compliant and risk-managed service via the OTC business arm e-Pocket.io.
Institutional & High Net Worth Customers
Unlike regular cryptocurrency exchanges, a Bitcoin OTC market executes trades via private dealer networks. Investors looking to purchase or sell Bitcoin, meet up and exchange these assets without the need to inform the market. The Bitcoin OTC market is popular with institutional investors because cryptocurrency exchanges lack the technical infrastructure and liquidity for large orders. Many exchanges also have a daily cap or trading limit.
Breaking up larger orders into small batches might send a negative signal to the market and cause slippage. Structurally, for many institutional investors, Bitcoin OTC is the only approach they can use to trade the most liquid asset.
This type of investment has counterparty risks and relies heavily on trust and the visibility of the OTC business. Are they well known and established as a business in the financial services industry. At times these trades may use escrow services or other tools to offset counterparty risk.
Customer Identification Requirements
As a service provider, we are required to ‘know our customers’; this is known as KYC and complies with anti-money laundering regulations (AML) and Counterterrorism financing (CTF) regulations. The following is what you will be asked for to KYC you with e-Pocket Pty Ltd before we can provide services to you.