Cryptocurrencies are going through a correction period. But the overall industry is still worth more than $1.7 trillion. Partly responsible for that is the overall popularity of crypto. As new crypto exchanges emerge, it gives traders options.
If you’re thinking about launching your very own crypto exchange, we’re here to tell you all about the benefits of going with a white label software.
White label means a company designs and develops a solution and sells it to another company. The company that buys the solution can then add their logo, brand colors, and make it appear as they’ve done all the work.
White label is a fairly common practice in eCommerce, manufacturing, software development, and even FinTech. It’s also a trend that’s catching up in crypto. So, here is why you should go for it.
1. Companies Reduce Development Costs
Developing a crypto exchange is no small task. Tons of small things need to be taken into account for the exchange to work seamlessly. In addition, you need to put a strong emphasis on security and functionality.
In short, you can’t launch a crypto exchange in a month – it’s a long process that can take up to a year to get done. To develop such a complicated solution, you need to have an in-house development team. This team will be made out of programmers, designers, UX/UI experts, testers, etc. Considering that it will take you some time before the product can go live, it will require a sizable chunk of funding to pull off. The money will go on salaries, equipment, licenses, and many other things.
Why go through the trouble of all that when you can purchase an already-made white label solution? The money your company will save by going down the white label route will benefit you greatly. For smaller companies, it means preserving resources. For startups, it means not burning through the initial investment.
Considering that both startups and smaller businesses don’t have huge budgets, a white label software solution will allow you to work with a limited budget while still achieving your goals.
2. Get It On the Market Much Sooner
A white label software means a shortcut on the market. While it will take you months to design and develop a crypto exchange, an already-made solution can go live much sooner.
When developing your own software, you will need to take into account the length of the testing process. The testing process is a period where companies test their software for bugs. Since we’re talking about a crypto exchange, the last thing you want is for the exchange to go live with a faulty code.
Your main priority is to focus on safety and security. If your customers lose their funds because of an error your team didn’t spot, it will mark the end of your journey.
According to www.whitelotto.com, with crypto exchange white label, the majority of testing is already done. What you’ll need to do is go through a much shorter round of testing. In most cases, this will take a couple of weeks or a few months at most.
3. Receive Post Launch Maintenance
One of the many perks of white label solutions is the support you’re getting once the exchange goes live. This is massive for any company that designs complicated software such as a crypto exchange. While we can assume that anything in crypto is complicated, maintaining and running the software is an even bigger task. You might think that using a crypto white label solution leaves you dry. But the opposite is the truth.
The white label industry ensures that all customers receive maintenance after launching their products. Since the purchasing company needs time to get to know the software, they rely on the goodwill of the company designing the software to maintain their software.
When determining the right white label software company to develop a crypto exchange, you have to take into account how long they’ll support your project. It’s not uncommon for white label solutions to offer continuous support, updates, and maintenance for more than ten years.
Scenarios Where A White Label Solution Is the Right Choice
With all that said, a white label software doesn’t work for everyone. But we’ll tell you about the unique scenarios where hiring a white label company for a crypto exchange does indeed work.
• If You Need To Enter the Market Quicker
The crypto industry is rapidly growing. As more people get into crypto, it becomes a race against time to develop your solution and put it on the market.
We already mentioned that developing a crypto exchange is a long process that can take months if not years. In most cases, the latter is the truth. So for a quick market entry, consider going through a white label solution.
• If You Need A Replacement For An Existing Solution
It’s not uncommon for crypto exchanges to rebrand or go through a series of critical updates that change everything from the interface to the coins supported.
Such changes are time and resource-consuming. Why go through the painful process of doing that when you can hire a white label company to work on your crypto exchange.
• If Your Exchange Is Missing Key Tools
It’s safe to say that the crypto industry is a dog-eat-dog world. Competition is high and everyone is desperate to design the latest tool that will revolutionize the industry.
If your exchange is missing some of the latest tools, you can turn your attention towards a white label company. Not only will they fully design these features, but they’ll also integrate them into your exchange.
That means white label solutions can work on an existing exchange instead of developing a brand new one to implement missing tools and features.
Some of the most important features every crypto exchange must have includes KYC (know your customer) integration, AML (anti-money laundering) integration, an order book system, liquidity mining and APY, a wallet, referral program, and more.
Conclusion
Launching a crypto exchange is as complex as software gets. With a focus on usability, safety, and security, any small mistake will result in complete failure. Why go through the process of hiring developers and designers when you can hire a white label solution to take charge of the development and maintenance processes?
