All about the White label cryptocurrency exchange software you need to know before starting your crypto business
Cryptocurrency is the center of talk in digital finance. It is even getting hot, as the price of bitcoin and other cryptocurrencies are rising in their value. So, the entrepreneurs are very interested to start a cryptocurrency exchange. But they do not have prior knowledge about the software and its development. As it is an emerging technology, it is gaining traction right now. In a few years, DeFi and Blockchain will be ruling the entire world due to their technological marvel. Without worrying about unnecessary laurels, it is best important to know about digital finance in a 360-degree fashion to have a clear picture of the white label cryptocurrency exchange software.
In this blog, let us have a complete roundabout of the white label crypto exchange and its benefits, features, types, and services related to the marketing and legal solutions. Let us jump into the article.
What is a white label cryptocurrency exchange?
White label crypto exchange is a readymade, instant, and off-the-rack cryptocurrency exchange software. It is different from those clone script-based software that resembles the similarity of any popular exchanges. White label cryptocurrency exchange would be created with a common template with all the basic essentialities with it. It comes up with customization features along with some additional security features.
If you are an entrepreneur or a startup, then starting a white label crypto exchange will be the best choice. It is because of its immediate market entry and successful business strategy development. I am not saying that being an entrepreneur, you cannot build your cryptocurrency exchange from scratch. It involves a huge pile of coding techniques and multiple varieties of technology tools to develop them. In that sense, white-label draws you to the market on an immediate basis.
There are several other factors that can make your white label cryptocurrency exchange development more unique. But before that you should know why you should choose the white label cryptocurrency exchange over the clone script software and why would you need it?
Why should you prefer White label cryptocurrency exchange over a clone script?
Compared to the clone scripts, white-label has a unique script language and design that does not showcase imitation or plagiarism. The only similarity between the white label and the clone script exchange software is their customization techniques. No matter, whatever the stage of the development of the software is, you can modify the software as per your business requirements.
Below indicated points showcase why you should choose the White label cryptocurrency exchange software over the clone script exchange software:
- Configuration - The configuration of the white label software is more cozy compared to the clone scripts as they come up with various modifications to prevent any plagiarism. Why will you need a white label crypto exchange?
- Unidentified demand of combination of factors - Entrepreneurs become excited when they talk about clone scripts and they often produce some illegitimate act of mixing the special features of different clone scripts that make their exchange software clumsy. A white label does not do that. They do provide many legitimate features along with some additional features.
- No uniqueness - There is no uniqueness in starting a clone script exchange software with a different name on it. Despite the user feels very easy to operate, they would easily identify the similarity which would be the greatest defect in user management. But, in the case of the White label, it is a unique built customizable exchange software that does not resemble any kind of popular exchange software.
Types of Cryptocurrency trading platform:
The cryptocurrency exchange platform provides the users with various trading types to choose from. This will help the user to choose the desired trading type based on the financial strength and earn huge profits. This will also help you to generate more revenue from the users for trading in cryptocurrencies. In that aspect, let us see the types of cryptocurrency exchange trading types below:
- Leverage Trading (Margin Trading) - If your user is running short of funds, then you can provide this option to the user so that he can leverage funds either from the admin himself or from an angel investor or hedge investor to invest in a particular cryptocurrency. This is to help all forms of investors who would like to invest in cryptocurrency and earn huge profits in the near end. Leverage trading helps your user to invest more that he can be capable of. This is a financial discipline that your users can use. To be short, it is the leverage trading that can boost the user engagement for your crypto exchange platform and encourage the users to invest in cryptocurrencies irrespective of their financial capability.
- Futures Contract - It is an investing or trading type in the crypto exchange platform that will allow your users to trade in future assets that can increase in value. It is an asset to a crypto investing platform where you can trade with crypto with fiat or any form of assets. This contract comes with a solid timeline. This covers all kinds of cryptocurrency investments and staking options. For instance, if your user wants to trade on a particular cryptocurrency two weeks or two months later due to the prediction that the prices will go up or down, then using the futures contract features, the admin will help him to schedule the trade accordingly. This is Future’s contract. Either the price rises or lowers, it is a win situation for your platform because the trade has happened.
- Perpetual contract - The entire trade happens based on the perpetuation of the user. The user can either withdraw the trade or deposit for a trade whenever he wants as it does not carry a particular timeline. It is a crypto to crypto medium where you can transact or exchange any of the major cryptocurrencies to another. Here, assets are not allowed and do not carry a timeline for the transaction. Its functions are similar to the futures contract as both of them belong to the derivatives trading category.
- Copy Trading - Either your user is a newbie in the crypto market or a veteran, the copy trading features will help him to survive in this volatile market. Copy trading is the feature that helps the new trader to learn some skills in the crypto market so that he can learn some new techniques that the veteran does during the market fluctuations. You can use this feature in your cryptocurrency exchange platform to enhance user engagement.
- Spot Trading - If you want your cryptocurrency exchange platform to perform like popular exchanges like Binance or Coinbase, then you should include a spot trading feature in your platform. It has a high TPS and high liquidity that numerous transactions can be flown over in a matter of seconds. And imagine the transaction fee for such transactions. It can truly make your business a profitable one in a short interval. Spot trading does not include other forms of revenue generation from your website.
- Over-The-Counter Trading - Trading revenue can be multiplied using the OTC feature. Over-The-Counter trading helps you to generate trade swiftly with efficient transaction fees, and efficient P2P payments. OTC trading is one of the greatest revenue generation sources for both the users and the exchange platform owner.
- Peer-to-Peer Trading - This is a decentralized transaction feature where the user can transact without the interference of the exchange platform owner. It does not mean that the admin is completely devoid of interference unless there is a problem in the transaction and it needs a resolution. Either you are building a centralized or a decentralized platform. Adding the peer-to-peer feature in transactions will help you to generate more revenue than you do in either way.
Features of white label crypto exchange software:
- High level of transactions per second - In order to enhance the trading experience for the users, the white label crypto exchange software helps you to boost user engagement through faster transactions.
- Impeccable trading engine - If your user’s trades are matched perfectly with a robust trading engine that can boost the trading experience of the user.
- Wallet integration - Apart from the white label cryptocurrency exchange software the cryptocurrency wallet would be integrated so that the transactions would be stored in the crypto wallet in that particular coins address. A multi-cryptocurrency wallet would be great for an active crypto trading platform as there would be a series of transactions in a minute’s time.
- Liquidity - White label cryptocurrency exchanges are highly liquid to support crypto trades and transact them immediately. The higher the liquidity, the higher will be the reach of the white label crypto exchange platform among the users. It will also enhance user engagement and frequent trades leading to higher ROI for the exchange owner.
- Security features - Apart from the blockchain technology, there are additional security features that even the popular clone scripts would not be having. This kind of multi-security feature will prevent the site from being hacked and provide encryption to all kinds of transitions and communications.
- Transaction of digital assets - If your user has to exchange or trade, the white label crypto exchange platform helps him accordingly. In this platform, you can either change the fiat to crypto or vice versa or even crypto to crypto. In addition, if you want to decentralize your trade without the interference of the admin, then you can prefer the p2p exchange option in your platform. But make sure that there is no issue regarding the transaction exchange. As when the dispute arises, the admin interferes and resolves the issue immediately.
- KYC and AML - This is a trading platform and not a money-laundering site. So, it is important to set your KYC norms and allow users to trade only if they have satisfied the admin based on the KYC and AML details. Prepare proper AML guidelines so that you and your platform can create any future mishaps.
- Trading Bot - As manual labor is done with, it is the era of trading bot that can precisely bring you perfect trades for your users based on their capitalization limit. They carefully analyze the market changes and bring out effective trades for your users that engage them with your cryptocurrency exchange platform.
- Interactive analytic charts - It is all based on graphs. The entire trading universe comes to a decision to buy or sell based on what the charts say. And we provide them with updated information every second that reflects in the user’s dashboard. This helps the users to engage with the platform and do trades based on the charts and their market variations and impact. The traders can take a look at the real time charts and conduct trades accordingly.
- Forgery prevention and protection - This is one of the security features that would be inducted into the white label crypto exchange software. With the induction of CSRF (Cross-Site forgery protection) and forgery prevention mechanism, there is no available way of conducting fraudulent activities in the platform.
- Admin panel - With a stunning admin panel on the white label crypto platform, the admin can take a look into the user’s transactions, the trades that he conducted and the bank statements and other details, etc.
- Customer support - To address the customer queries, you can provide 24/7 customer support to your users.
- Referral program - Through a referral program, you can benefit from your users to expand your crypto exchange platform to more people. A contribution in the referral trade or a reward will encourage the user to go for referral sign-ins.
- Crypto payment gateway integration - Integration of crypto payment gateway with the white label bitcoin exchange platform for cross-section transactions.
- IEO module - This is a token sale place where your user can sell the token and generate the capital for his business.
- Staking - The white label crypto exchange platform provides an opportunity for the users to stake cryptocurrencies for a particular lock-in period where one can withdraw the funds after the lock-in period is over.
- Escrow - It is a service where a trusted third party ( in this case - the admin) will have to manage the transaction or exchange of funds between the transacting parties.
Benefits of white label cryptocurrency exchange platform:
There are various benefits of starting a white label crypto platform. Some of them are discussed below:
- Saves enormous amounts of time - Creating a white label exchange software and deploying it takes very much less time than customizing a clone script and bringing it to live. In that case, a white-label cryptocurrency exchange platform takes minimal time in production, customization, and deployment and you can bring it to life instantly.
- Cost-effective - White label bitcoin exchange platforms are easily manageable and come with a low investment. It is because of the readymade exchange software that the white label product provides. A client who wants to start a white label crypto software development can spend very little and add on any other security and additional features to make it unique and effective. It is purely based on the business requirements of the clients. But to be specific, despite those customizations, white-label software comes with a low cost compared to software from scratch.
- Personalizing the requirements - In the white label cryptocurrency exchange software, you can personalize the requirements based on the business needs. You can check over the essential features that adopt your country's regulations and set in your white label crypto software to make your platform unique and effective from others.
- No technical expertise needed - For crafting a white label cryptocurrency exchange software, you do not need any kind of technical knowledge. It is a ready-made software with updated features along with customizations.
- Multiple payment methods - This is one such benefit of the white label bitcoin exchange software where the user can trade or exchange on the platform with the best available payment option without any restrictions. This has made both the traders and exchange owners happier as the traders can trade without any hassles and the exchange owners get the revenue for each trade that is happening on the platform.
- Multiple device access - Be you are using a mobile phone or in your pc, the user interface adapts itself to make your user experience more reliable and effective. The white label cryptocurrency exchange software can operate on various devices without any technical glitch.
Cost to develop a white label cryptocurrency exchange software:
It varies based on the additional features and the business requirements that you want to add. If to be said approximately, the range relies between $8k - $15k. Make sure that you reach the best white label crypto exchange software service provider to get the perfect platform for your cryptocurrency business.
Kickstarting a white label cryptocurrency exchange software is the best crypto business option right now. Make sure that you have reached the best white label crypto exchange solutions provider to create your exchange platform. Through this blog, you would have known about white label crypto exchange, its features, and benefits. So, why waiting. Initiate your crypto business with white label software.