Our corporate-focused B2B division generates revenue from three key activities.

1. OTC Services
2. Market-Making & Cross-Exchange Arbitrage
3. Regulatory Licensing Cover

1. OTC Services

We support FX desks, corporates, brokerages, HNWIs, digital asset exchanges, and financial advisors with crypto-to-fiat and fiat-to-crypto transactions. We generate transaction fees on our transaction volume. Our Private Wealth web page here.

The following diagram illustrates our OTC ecosystem, showing client and partner connections.

Overview of OTC Clients

Our OTC desk serves a diverse client base, each with specific needs for high-value transactions and bespoke services. We've segmented them into four key groups:

1. Corporates, FX desks, Payment Providers, and Brokerages

   • These clients require deep liquidity and precise execution for large trades.
   • Our STORS system allows them to execute significant volumes without impacting the market, a critical advantage in volatile markets.
   • We offer tailored setups, including segregated custody accounts, ensuring security and operational efficiency.
   • We also connect with other OTC desks, acting as a key liquidity provider for other OTC desks, executing transactions when they lack internal liquidity. By providing this service, we ensure optimal execution for our partners, even during periods of market stress.
   • Insight: This segment represents a core revenue driver, driven by the need for reliable, high-volume execution in a complex market.

2. Financial Advisors

   • They seek to diversify client portfolios with digital assets and alternative investments, working directly with our OTC desk. They’ve had a key interest in our ready-made Crypto Bundles to passively track the broader market.
   • We operate in a unique niche, offering a fully licensed platform for both digital assets and security token alternative investments – a service most platforms don't provide.
   • This comprehensive offering meets their regulatory needs and expands their investment options.
   • Attractive referral incentives strengthens these partnerships.
   • Insight: This segment is a small percentage of our overall OTC activity, however, it has significant potential as it’s a big underserved market. We’ve experienced organic growth to date, with very hardy any business development. This segment is also key to scaling our access to high-net-worth individuals, leveraging the advisors’ existing relationships. We expect significant growth in this area as we expand our investment products and scale our business development efforts.

3. HNWIs & Funds

   • These clients demand a premium, white-glove service for large transactions.
   • Insight: This is a high value client base, and the service we provide, builds trust and encourages repeat business.

4. Crypto Exchanges

   • International exchanges like Bybit and Yellowcard rely on our local banking rails for on/off-ramping South African Rand.
   • We enable them to serve their corporate and HNW clients in the South African market.
   • Insight: This segment demonstrates our strategic importance in bridging international crypto markets with local financial infrastructure.

Why Clients Choose Altify For OTC?

We've carved out a distinct position in the OTC market by focusing on high-touch service, robust regulatory compliance, and cutting-edge technology. We focus on building strategic partnerships with clients who demand precision and reliability.

Here's a breakdown of the key factors that set us apart:

• Bespoke Solutions and Long-Term Relationships: We move beyond one-size-fits-all solutions. Our team invests time to understand each client's unique objectives, supporting them with tailored setups, including segregated custody accounts, ensuring security and operational efficiency.