In the past few years, cryptocurrency and blockchain technology have been trending among institutional investors, businessmen, and other firms. With the emergence of crypto trading, demand for exchange platforms has been under the limelight attracting various institutions to build their trading platforms.
There are more than 300 million crypto asset holders, and 300 crypto exchange platforms are present in the world. White label crypto exchange solution enables users to customize a readymade platform and deploy it within minimum time. However, is it better than building the platform from scratch? In this article, we discuss the prospects of the two in detail.
What is White Label Crypto Exchange?
With the rise in cryptocurrency adoption, various entrepreneurs are looking forward to avail of white label solutions at affordable prices. However, before investing in the software, it is important to understand, what a white label exchange is, and how it will make your trading platform ready for traders.
White label crypto exchange is a readymade software that helps entrepreneurs quickly launch the platform with minimum customization Thus, saving a lot of time and money. The platform provides all the necessary features required to run a marketplace. This includes selling, buying, staking, trading, holding, and converting digital currencies. PayBito offers extensive features and customizable white label crypto exchange solutions which is a perfect opportunity for businesses to start their trading platform.
Building A Crypto Exchange Platform From Scratch
Building a crypto exchange platform from scratch is not only time taking, but has a huge budget of a minimum of $350,000. Many entrepreneurs consider building it this way as a viable option, considering the growing competition in the market, and incorporating new features. However, making your platform too advanced is not recommended, as customers are accustomed to intuitive trading platforms. Moreover, the majority of the white label solution providers allow you to customize the features and add new functions as recommended.
When a platform is built from scratch, a lot of risks are associated with it. When doing something new, it is hard to avoid errors, which end up in delays. This results in spending extra money and a delay of eight to twelve months to get the platform ready for users. Therefore, according to experts, building a trading platform is a gamble, which is best only in certain circumstances.
White Label Crypto Exchange Vs Building From Scratch
Here are some of the distinct differences between white label crypto exchange and building from scratch.
● Building Cost
For building an exchange platform from scratch, you will need to pay different parties including front-end developers, back-end developers, lawyers, designers, experts, etc. The majority of the designs require a development from scratch including building modules, designing the landing pages of the exchange, testing, and deployment, which increases the cost.
On the other hand, in the case of white-label crypto exchange solutions, you only need to pay one provider. Moreover, the platform is ready-made and tested from starting like the design of the landing page. You can add new features, make a few changes in design in minimum time, and make the software ready for launch. Thus, saving a lot of time and extra costs.
● Launch Time
Building a crypto exchange from scratch takes a lot of time, unlike white-label solutions. The initial development of the platform will take a lot of time, and once done, there are various tests to be conducted, which will give rise to several issues. In case, any bugs come up during the tests, the platform will require to change.
It is essential to launch an error-free platform that requires testing in functionality, usability, design, and user experience. On the other hand, the white label crypto exchange software can quickly deploy and launch the platform in the market. Even with customization, and additional features, the exchange
gets ready quickly.
● Wallet Security And Safety From Frauds
When you are building a site from scratch, the security of your user’s fund against fraud and malicious attacks is your responsibility. This will require a reliable cold and hot wallet provider, and design policies that will relate to how the funds will be transferred and accessed.
On the other hand, the majority of the white label solution providers offer wallet options and storage, depending on their package. To access the current funds, and transfer them, one can benefit from the present policy framework.
● Customization Opportunities
Building a website from scratch enables you with the opportunity of flexible customization. Investors can incorporate any new feature into their trading platform. However, in the case of white label solutions, there might be a compromising situation in a few cases. Although, various white label solution providers provide full customizable opportunities.
Building a new crypto exchange provides you with ownership of a new source code. However, in the case of white label solutions, you need to check if the service providers are offering a source code.
Wrapping Up
With the following points discussed above, it is wrong to suggest that white-label solutions are better than building from scratch. Enterprises with enough time and resources can avail of building from ground zero. However, white label solutions are comparatively a secure option, save time, and are affordable.
