> For the complete documentation index, see [llms.txt](https://singularityzk.gitbook.io/singularity/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://singularityzk.gitbook.io/singularity/singularity-privacy-layer/private-otc-settlement.md).

# Private OTC Settlement

Zero counterparty risk & zero on-chain footprint

Enables **anonymous OTC transactions** between institutions or high-net-worth individuals, protecting trading strategies and portfolio allocations.

Through Singularity, the buyer and the seller can settle their OTC trades without counterparty risk or an on-chain footprint.

This is a non-custodial solution without the need for a third-party escrow service.

* Users agree the price and terms offline, then settle atomically via Singularity with full transaction confidentiality.
* No transaction data (asset, price, amount) can be seen on explorers or on-chain.

**Benefits:**

* Secures trading strategies and token allocations
* Prevents market impact from on-chain visibility
* Maintains regulatory compliance without revealing sensitive information

**Example:**\
An investment fund wants to sell a large amount of tokens to another investor without affecting market prices. The transaction is executed **off-chain** but can settle on-chain if necessary, remaining **anonymous**.

<figure><img src="https://2751050393-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2Ff6EQvA4XvzP6lbBUdJhM%2Fuploads%2FZ8GLHG5aThAeDrUphRBU%2FScreenshot%202024-10-30%20at%204.28.22%E2%80%AFPM.png?alt=media&amp;token=9fabf2f4-f91f-4562-bd4c-e7ffd4c5de83" alt=""><figcaption></figcaption></figure>