SBLC / MT760 Procedure BTC
1. Seller and Buyer Mandates sign NCNDA
2. Memorandum of understanding on the process between authorized mandate
3. Buyer issues LOI to the seller to initiate the ATV/POC
4. Introduction call between both parties
5. NCNDA will be signed by all involved parties
6. KYC and AML will be exchanged and validate by the respective banks during ATV
7. The seller representative will provide the sales & purchase agreement (SPA) and IMFPA for signing
8. Buyer initiates a pre-advice MT998 sub MT760 message with an agreed expiry date. The value of the bank guarantee dictates the size of the coins delivery tranches. The minimum tranches should be between 20 and 50 Million EUR
9. Seller’s bank will confirm good reception of the MT998 and return a RWA SWIFT message to buyer’s bank
10. Seller will transfer the coins to buyer’s bitcoin wallet for the MT998 face value first tranche amount
11. Buyer after receiving the coins and accepting them will pay the coins through a SEPA or SWIFT transfer to seller’s account
12. After payment is received seller will initiate the next transfer of coins as per the agreed tranches.
13. Steps 10 to 12 are repeated until the contracted volume is reached
14. The MT760 is returned/canceled unencumbered according to the terms in the verbiage
a. Coins are effectively sent upfront to the buyer, the bank guarantee act as a collateral for the transaction. The buyer pay for the coins only after receiving them!
b. The costs of issuing the MT 998 sub MT760 is of about $€£100.00. If all tranches are closed before the MT760 is repealed (about 3 weeks) no further costs are expected. Should the MT760 be issued (as not all tranches were finalized) the seller will be pay for the MT760 issuing costs in full (typically between 0.50 and 1.00% of the MT760 face value).
c. The minimum order is 10’000 coins. At current time the amount of coins available is of +/- 200’000 BTC