White label crypto solutions: Pros and cons

If you want to build a profitable crypto business or enhance an existing one with new yield-generating features, you can avoid putting much effort into development. Instead, you are free to leverage white label solutions – ready-made software that you can customize and use under your own brand. This will save you hundreds of thousands of dollars and months of time, allowing you to focus fully on promotion. However, as with any other business approach, this one has its benefits and drawbacks. 

Why use white label solutions – And why now 

White label tools allow you to build a crypto service using infrastructure constructed by another company. This is a ready-to-use, customizable product: you only need to implement your own design and branding or embed it in an existing platform. The development costs are minimal, and less technical expertise is required. 

Most crypto white label solution providers are established projects in their niche whose infrastructure has been thoroughly tested over the years. They use their expertise and software to help other businesses enter the market quickly and profit together. 

We are now still in the crypto winter phase when the market is hibernating. However, the following crypto summer seems inevitable. Using white label solutions helps test business hypotheses fast and prepare to make the most of the upcoming bull run. 

What white label solutions are there? 

Here are some of the most widely used tools allowing you to implement crypto features with little to no development: 

• Digital currency exchange: Within just a month, you can create a customized branded platform without having to build it from scratch. This allows for a quicker market entry.

• Crypto wallet: A solution to store, send, and exchange crypto that usually generates most of its yield on crypto swap fees. 

• Crypto bank: A versatile crypto platform allowing users to buy, sell, and exchange crypto, as well as earn passive income on their earnings. Yet crypto banks often offer an APR higher than regular banks, the competition in this niche isn’t too high so far. This opens an opportunity for everyone willing to build a lucrative crypto business. 

Crypto-friendly bank under your brand in a month – Real or not? 

While being one of the most promising crypto products, crypto banks are one of the hardest to build. To launch this type of business, you need a license to operate as a financial service – and there’s a separate one for each country or region. In the case of crypto banks, getting a license requires no less time and effort than software development. 

Fully licensed white label solutions for crypto banking are still a rare find today – and Vault is one of them. This is a solution made by Choise.com – a crypto platform offering crypto interest accounts and other crypto-powered investment tools that legally operates in 170+ countries. Over 6 years, it has served 1 million clients and now shares its infrastructure to allow others to leverage it. 

Choise.com has spent $60 million on developing crypto banking features since 2017 – and now, it costs merely tens of thousands of dollars to build a crypto bank app with Vault. Additionally, you save a few years of tedious licensing. 

Vault API and SDK will allow your customers to: 

• Buy, sell, store, and exchange crypto.

• Enjoy a VISA Crypto-Powered Card — The Ultimate Solution for Convenient and Secure Payments.

Vault offers full-cycle technical and customer support. Using a white label solution relieves you of worries related to maintenance. 

Pros and cons of white label solutions 

White label tools allow you to launch fast with minimal expenses. Nevertheless, they may not be suitable for everyone. 

The pros

• Time and Cost-Efficient: One of the primary advantages is the time and cost savings. White label solutions provide a pre-built infrastructure, reducing development time and costs significantly.

• Speed to Market: White label solutions enable businesses to enter the crypto market quickly. Timing can make a significant difference in gaining market share.

• Wise approach to business: During the first year of any new project, the business model can undergo significant changes. Developing complex solutions from scratch might be impractical. Instead, white label solutions create an opportunity to test hypotheses quickly.

• Reduced Technical Expertise Required: Utilizing a white label solution often requires less technical expertise than creating a custom solution. This makes it accessible to a broader range of businesses.

The cons

• Limited Customization: White label solutions come with pre-defined features. Even though those can be added or removed at your discretion, some white labels may not be tailored to your needs as much as you’d like. 

• Limited Control: Using a white label solution means relying on the provider's infrastructure and technology stack. This means if you want to have an opportunity to fine-tune every feature and work with the core code, white labels might not cater to your needs. However, this opportunity requires a costly development team. 

A quick start 

A white label solution is a great way to enter the market quickly. Even if you feel like building your own infrastructure, you can use a white label tool to jumpstart your project and start testing business hypotheses fast. This will help you achieve a positive net profit a few times faster compared to building and licensing your product on your own.