How crypto OTC settlement works

OTC settlement is the completion of the agreed exchange of funds and digital assets. Its timing and sequence depend on the transaction terms, funding method, banking process and blockchain network. An accepted quote and a completed transfer are different stages.

What needs to be agreed before settlement?

Confirm what each party sends, where it is sent, who sends first and what counts as receipt. Ask about funding deadlines and what happens if a bank or network delay prevents the expected timing. Keep the instructions and the accepted trade terms together.

Do not infer settlement arrangements from another provider’s marketing. A trade settled within a provider’s account can follow a different path from one involving an external wallet or bank account.

What should you check for a bank transfer?

• The beneficiary, account details and settlement currency.
• The exact amount and required payment reference.
• The approved sending account and any restrictions.
• The deadline and how receipt will be confirmed.

Your bank’s limits, checks and processing can affect a transfer. Confirm the process with both your bank and the desk where relevant. A payment initiated in an app is not, by itself, confirmation that the desk has received cleared funds.

What should you check for a digital asset transfer?

Verify the exact asset, destination address and blockchain network. Where a tag or memo is required, confirm it too. Do not assume that two tokens sharing a ticker use the same network or that a receiving account supports every version.

Confirm the number or standard of confirmations required by the receiving party. Network conditions and transaction fees can affect timing. Ask how you will provide or receive the transaction reference.

What if the instructions change?

Pause before sending. Verify the change through a previously trusted contact channel, rather than relying only on the message containing the new instructions. Check the beneficiary or address again and confirm that the change applies to your specific transaction.

Do not share passwords, seed phrases or private keys. Identity and account documents belong in the approved onboarding channel, not in a general website enquiry.

Which records should you keep?

Retain the accepted quote, trade confirmation, bank or blockchain reference and confirmation of settlement. A business should connect these records with its approval and accounting process.

Include settlement questions in your enquiry. Our team will confirm what applies to your proposed trade; this guide does not promise an instant or fixed completion time.