We have recently completed the licensing of one of Cytta’s proprietary technologies to a 3^rd party spinout which has completed an OTCQB liquidity event. This initial spinout venture was done through semi-independent 3^rd parties, and generated a tremendous return from the equity Cytta received. However, while successful, we concluded the venture would have benefited from our hands-on expertise and accordingly we created Cytta Labs to directly incubate our licensed technologies within SPVs. We are now managing, financing and ultimately bringing these SPV entities to list and trade on the OTCQB.

Elements of the Process

1. The OTCQB trading platform. This is the only market in the US where stocks can list and trade other than NASDAQ, NY or AMEX. And while not a “recognized exchange” like the others, it has all the same elements and allows listing and trading far earlier in a corporation’s lifecycle. An S1 Registration statement or a Reg A allow listing on the OTCQB. This is the perfect choice for the SVP’s we are creating, and we have years of expertise here.
2. Each of the House Portfolio SPV Companies we are creating will have Cytta Corp’s proprietary technology licensed into it. We will provide early-stage management and expertise from our extensive advisor network. Since we own the technology through Cytta Corp, the initial equity position to Cytta will be large, and the technology mature (either MVP or MMP).
3. In addition to our House Portfolio SPV Companies, we have sourced and/or been presented with various extraordinary technology projects, our Partnered Portfolio SPV Companies. In each Partnered Portfolio SPV Company we are partnering with other people’s technology ventures. These Partnered Portfolio SPV Companies include several extraordinary projects brought to us exclusively because of our lifetime of relationships. Having so many extraordinary technologies available is one of the main reasons we are opening our private process to other investment partners through TrueWealth.
4. We will finance the SVP’s themselves directly through multiple mechanisms. There are five principal routes we will utilize. These are for each SVP separately: SAFE Notes, Reg D 504, Reg A, Reg CF, and now Tokenization of private company shares. The mechanism conducting these capital raising ventures on behalf of the SVP’s will be Verisage Partners.
5. The timeline for each SVP to list on the OTCQB can be very quick. Initially the SVP begins raising money using the methods above. Funds are expended on developing its business model and the product is developed and readied for monetization. The SVP can then prepare and file a Form S-1 registration statement which is generally a two-month approval process. Once it is approved the SVP is now a Reporting Issuer under the SEC rules and can list and trade on the OTCQB. From the start of financing the SVP to listing can be done in one to one and a half years.