In recent years as the digital world is growing, the digital money will be the future currency. The demand for the digital exchange platform will be increased, many business owners are investing in developing a cryptocurrency exchange website to earn benefits from this revolution but starting a new business brings its own challenges besides the advantages that it has. Are you thinking of developing an exchange website but you don’t know which method is better and suits your business requirements more? stay with us because we are going to talk about one of the challenges in the process of developing a website to help you to make the best decision with complete knowledge over the different factors, challenges you may face, and different features. Deciding between developing from scratch and choosing the white label exchange software is a hard decision for the one who has decided to develop an exchange website.
what will you achieve by reading this article?
In the following text, we will investigate both of these methods, all of their pros and cons to help you make the proper decision with a clear view of both of these methods.
White label exchange definition
A white label crypto exchange platform is ready-to-deploy software that has the core, backend, and database ready to be used. And the front end can be easily customized.
Now, what does developing from scratch mean?
Developing a cryptocurrency from scratch refers to doing every step of the development process from the beginning. Like choosing the best technology, deciding the features, testing the platform, deployment of the platform, and many more actions to do. This method needs a lot of time, effort, and money.
White label exchange development VS. Develop from scratch
Develop from scratch
The crypto exchange development cost is higher in developing from scratch because you have to pay different people such as the UI/UX designer, back-end developer, front-end developer.
The development Time:
Developing crypto exchange from the ground will need a longer time in comparison to developing a white label exchange. The development itself will take months and after that, it should go under testing process.
Developing a crypto exchange from the ground will give you unlimited flexibility and customization opportunities. You can add any features to your exchange based on your requirements. In this method, you can get ownership of the source code but with white label exchange, you have to find out if the owner offers the source code or not.
White label exchange development
The software has some fixed and basic features that cannot be changed, but the owner can make changes in the platform and make it the way he wants, he has the ability to change the front-end design, the UI/UX and rebrand the software. You can easily change the logo, name theme based on your business needs. But there will be some limitations in the customization compared to developing from scratch. Although some companies offer full customization on their white label exchange.
The white-label software comes with in-built solutions and patches which helps to fix the issues very quickly. You will provide a faster and more secure crypto transaction.
These platforms are pre-made and developed so they can be developed and launched quickly. So the result is saving plenty of time and energy. Hit the road to launching a crypto exchange by the white label without wasting a single second. Depending on the customization the exchange can be prepared to be launched in a short time.
Saves money and time:
Talking about white label advantages it still continues; white labels are much more time-saving as well as cost-saving. Also, they are already tested to work with zero bugs. Because it is pre-tested and developed, one doesn’t need to go through all of the phases of developing software. You can establish your brand in the market instantly.
No need for technical expertise:
The factor that makes white label solutions popular is that this exchange platform doesn’t need any expertise to run and manage it. Anyone can handle it without processing technical knowledge.
Developing an exchange website using white-label platforms will be risk-free. Even if you face any problem the cryptocurrency exchange software development company will provide the support service for its clients.
We have talked about the advantages of white label exchange but that’s not the whole story, stay with us to be aware of the rest of it.
Like everything else in the world that has its advantages and disadvantages developing an exchange platform with white label software has some advantages and some disadvantages. We have mentioned the advantages above now let’s see what the disadvantages are
Disadvantages of white label exchange:
Need for upfront short-term capital
Lack of in-depth customization
Lack of researched solutions
The license types are different from monthly to annually
Most parts of the exchange software are outsourced
That’s not finished, there are more things to know about white-label exchange;
If a person is thinking of developing a white label exchange, should be aware of:
In-depth research and regulations: before you develop your exchange platform and before choosing your developing company, you have to do deep research. You have to be aware of all the challenges you may face and all the regulations of the region you want to run the exchange website and also you must have a clear view of the regulation of the location of your exchange.
Software modules and features:
There are different modules and features that must be implemented in the platform. There are things that must be considered before developing such as the exchanging motor, UI, and wallet which are the most vital highlights that will influence the clients.
It’s the ability to buy or sell assets without influencing the market.
High liquidity is one of the factors that any exchange platform must-have. It will give them better yield at the expense of arrangements.
Type of exchange:
There are different types of exchange platforms for users. You have to decide which one you want to develop the centralized, decentralized p2p or Hybrid exchange.
A robust payment method must be integrated into the platform. Multiple methods such as credit card, debit card, PayPal, and many more. These methods vary based on the exchange type (CEX, DEX, and Hybrid exchange platform), plus there can be extra features like chaining fiat to fiat or fiat to cryptos. Also partnering with the bank and financial institution can help improve the popularity of the white label exchange.
Steps to launch your white label exchange
- Have unique business requirements and new and useful ideas for developing the crypto exchange.
- Check the regulation of the place where you want to launch the white label cryptocurrency exchange software.
- Find the best and reliable cryptocurrency exchange developer company, so they can assist you to launch your own cryptocurrency platform in a hassle-free manner. Because they are more experienced.
- Choose the type of exchange you want to launch
- Develop a new blockchain system according to your business demands.
- Connect your blockchain network with your white label crypto exchange software
- Implement high-security levels to protect your exchange platform from hacking and suspicious activities
- Think of some unique and advanced trading features in your white label crypto exchange software. Unique and useful features will attract more clients to your software and it means more transactions and more beneficial for your business.
- At the end launch your bug-free and pre-tested exchange website with the guidance of your white label service provider company.
must-have features for Your white label exchange app
- Margin trading
- IEO Launchpad
- Security token exchange
- Liquidity API
- Atomic swap
- Admin dashboard
- User dashboard
- Trading bot
- Crypto wallets
- Matching order engine
- KYC/AML integrations
The security system that the white label exchange must include:
- Two-factor authentication
- Jail login
- Encrypted data
- Escrowed wallet
- HTTP authentication
- Anti DDoS