Crypto white label solutions: A game-changer for businesses

Innovation is the bedrock of technological evolution. While it is often expressed as the creation of new tools or methods, innovation can also be the improvement of existing tools or methods. In other words, you do not necessarily need to create something new to participate and profit in the ever-evolving technological sphere. In some cases, all you'd require is a customized improvement on an existing product— a white label solution for your business.

Overview

 A white label solution refers to a ready-made, ready-to-use product or service that can be rebranded and used by a company even though it wasn't developed by them. Generally, one company develops the productand then sells it to another company that rebrands it and passes it off as theirs. Take, for example, a plainly bland stainless water bottle, repainted and refurbished for sale under a new brand. 

In a similar vein, white label blockchain/crypto solutions are applications built on a blockchain but are available for other businesses to customize according to their needs. These solutions offer businesses the opportunity to enter or expand into new markets with little to no extensive development or infrastructure cost.

So far, white label solutions have found application in various sectors such as:

• Electronic payment services: Now, companies that offer payment services integrate unbranded components into their payment infrastructure to facilitate B2B and or B2C payments.
• Digital currency exchange: This is one sector where white label solutions have found great use. As we will see later, crypto companies are adopting white label ideas to create services for their users to interact seamlessly with crypto assets. 
• NFT marketplaces: With the NFT market expected to hit $80 billion by 2027, similar unbranded solutions have become a go-to for companies to enter the market and compete favorably with giants like Opensea and Blur. Marketplaces like AppDupe, INORU, and Turnkeytown have used white label products to provide customized, cost-effective, and secure NFT marketplaces.   

Growing Demand for White-Labeled Products

The popularity of white label products is tied to their versatility and potential for customization. For instance, a Forbes article noted that white labeled products attract adtech and martech entrepreneurs. This is because brand marketing requires big data to recommend customer-specific products—and big data relies on technology. So, it is easy to deduce that these entrepreneurs readily embrace white labeled solutions since they are easy gateways into the world of marketing/advertising technology. 

Forbes also reported that as of 2020, 77% of marketers use and customize martech tools for in-house operations. Statista goes further to shed more light on this, stating that the number of white label martech tools available for professionals has been constantly increasing throughout the last decade – from 150 in 2011 to 9,932 in 2022.

A graph showing the number of martech solutions available globally from 2011 to 2022 (Source: Statista)

White Label Solutions: The Crypto Angle

The increasing adoption of white label solutions extends greatly into the blockchain/crypto space. Reasons for this include: 

• They are the fastest method to deploy or migrate to a blockchain: Once a business chooses a blockchain application and a white label provider, all they need to do is customize the app to suit their offerings.
• They don’t require any technical knowledge: Unlike building a blockchain application from scratch, white label blockchain apps have all the technical aspects taken care of, thus all that would be required is customization and deployment.  
• They are cost-effective: Deploying a white label solution saves time and cost. A crypto exchange built from scratch may cost up to $100,000. However, a white label crypto exchange costs between 10% and 30% of that amount. 
• They are secure and reliable: Aside from the flexibility and customization offered by white labeled products, they also address security – a vital issue in the crypto space. Reputable white label providers often incorporate robust security measures into their products. Measures put in place include encryption, multi-factor authentication, and compliance with industry regulations. With these, crypto brands and businesses can assure their customers of the security and trustworthiness of their platforms.

White label crypto solutions cover a range of offerings, including cryptocurrency exchanges, wallets, payment gateways, crypto cards, and trading platforms. Thus, they are valuable to institutions such as exchange operators, brokerage firms, OTC desks, liquidity providers, and automated market makers. 

In fact, aside from the growing trend of exchanges offering white label services, there is also the new rise of dedicated white label staking platforms. On these platforms, token holders have their validator node created and managed by a third-party operator. This staking method is helpful to companies who want to offer staking services to customers without dealing with its complexities. Hence, companies can launch their own staking services without getting familiar with the processes required to set up, operate, and maintain validator nodes. 
 

The Future of White Labeled Crypto Solutions

The evolving crypto market coupled with the demand for customizable tools makes the future of white labeled solutions quite promising. In the near future, white labeled products will expand their utility by riding on the waves of key industry trends such as:  

• The continued growth of the blockchain/crypto industry: With increasing adoption and regulatory clarity in the crypto industry, more businesses will look into entering the market. This trend would increase the demand for white labeled solutions since they are shortcuts into the market.
• Rise of niche markets: As the space matures, there is a proliferation of niche markets and specialized industries (e.g. NFT Finance, Layer 2s, Bitcoin Ordinals, etc.) that require tailored solutions. And as expected, white labeled products will be a go-to in these markets.
• Integration with emerging technologies: The future of white labeled solutions will likely involve integration with emerging technologies such as artificial intelligence (AI) and virtual reality. AI-powered customization can enhance the capabilities of white labeled solutions, providing more advanced and seamless user experiences.

Final Thoughts 

In summary, white label products will continue to revolutionize the crypto/blockchain market through their customizable, cost-effective, and time-efficient solutions. They will empower businesses to enter new markets, expand their offerings, and deliver innovative financial technology services without the need for extensive development. This will enable businesses to stay competitive, compliant, and agile in meeting the evolving needs of their customers.

---