2022-8-24 11:39 |
The worldwide expansion of crypto markets present a great opportunity for institutional investors to diversify into digital asset trading ventures. The driving factors have fueled adoption leading to over 300 million crypto owners worldwide. In comparison, there are just a little more than 500 exchanges. Crypto broker platforms are the easiest and most affordable way to offer services in digital asset trading and gain attractive commission intermediating transactions. This article puts the spotlight on the benefits of availing a self-branded crypto exchange through a white label crypto broker program, and how to use it to leverage maximum business opportunities.
What is a Crypto Broker Platform?A crypto broker platform empowers participants with the ability to offer trading facilities available across crypto exchanges. Variations exist depending upon the types of features or available services. The nominal monthly subscription charges offer an affordable solution for institutional investors seeking to make a foray in crypto trading services.
A crypto broker platform bypasses initial processes like R&D and setup- letting enterprises gain an edge and leverage growth by offering services in digital asset trading. This allows them to prioritize and allocate higher resources towards other aspects of business development, marketing and promotion. There are multiple additional advantages as well.
Why do Enterprises Prefer Crypto Broker Platforms?In addition to reducing the hassles and time taken for setting up a crypto trading service, crypto broker platforms offer the following benefits:
a) Compliance with Legal FrameworksReputed crypto broker platforms are mostly built by cryptocurrency exchanges operating on a global scale. Their market exposure enables them in building platform products and solutions that are compliant with the ever-growing crypto rules and regulatory frameworks..
b) Dedicated Support and MaintenanceFirms providing crypto broker platforms offer round the clock support and maintenance to their clients. There are dedicated assistance teams, often with multi-lingual support.
c) Efficient KYC/AMLKYC and AML requirements are mandatory for all institutions offering financial services, and even more so for crypto. Though witnessing rapid integration across countless domains, the underlying architecture behind cryptocurrency i.e. blockchain is fairly new and facilitates efficient data validation offering real time visibility across the entire network.
d) Liquidity AdvantageLiquidity remains a big concern across the crypto community being a relatively new market and asset class. Crypto broker programs imbibe the parent exchange’s liquidity features, which participants can further present to their customers.
Features to Check in a Crypto Broker ProgramBusinesses seeking a competitive edge in crypto markets need to ensure several things. The notable areas include:
1) Multi-Currency SupportCompatibility with multiple fiat currencies in addition to digital assets stimulates business growth. Offer clients the power to transact in denominations of their choice- be it fiat or crypto. Cutting-edge crypto broker platforms like PayBito offer integrated crypto-forex solutions with trading options in more than 20 leading currencies and all leading cryptocurrencies.
2) Technical Aspects and CompatibilityIn addition to KYC/AML and legal registration requirements, crypto broker platforms should confirm the availability of technical features such as SegWit, BIPS, Firebase, ERC20 compatibility and more. They should also look out for machine engines with order books, wallet management and customer management solutions. It is essential to ensure the application’s compatibility across multiple devices(Desktop/laptop, mobile devices) and platforms(Windows, Android, iOS).
3) TradingA higher number of available trading features may not necessarily reflect greater sales. Platform UI/UX and ease of use are key contributing factors to sustained business growth. Crypto broker programs offer multiple order types, trading modules, algorithmic trading, additional fiat integration and reports- depending upon their subscription amount.
4) SecurityRapid crypto expansion has unfortunately led to a huge increase in cybercriminal activity including ransomware, hacking, phishing, spamming, and more. Safeguarding client assets is thus of paramount importance. It is vital to choose platforms that provide institution grade cybersecurity features such as Three-Point Architecture, Two Factor Authentication(2FA), IP tracking, DDoS mitigation, API-key Permission and more.
Business Opportunities in Crypto Broking PlatformCrypto brokerage platforms offer several additional features as well, including:
a) Crypto LoansSeveral crypto trading platforms offer crypto collateralized lending options, backed by cryptocurrencies. It is an essential way to get fiat denominations in times of need. The digital asset most commonly accepted as collateral is Bitcoin.
b) Crypto TradingCryptocurrencies have become synonymous with trading in the capital markets sector, alongside stock equities and forex. A high number of crypto owners express interest in regular trading in addition to seasoned investors. Crypto markets are volatile, capable of reaching atmospheric highs and abysmal lows all within the span of a day. Several asset management powerhouses have already allocated capital in the crypto markets.
c) Crypto BankingCrypto banking refers to digital banking solutions provided by digital asset trading platforms, backed by cryptocurrencies. They provide higher yield returns than conventional bank interest rates. Clients can also open and maintain Savings and Current Bank A/Cs.
d) Crypto Payment GatewayAlmost 60% of the world’s top 250 business organizations and financial institutions utilize at least one type of cryptocurrency. Cross-border payment transactions and remittance are the main uses of crypto payment gateways, which offer instantaneous payment transfer solutions at charges fractional to legacy processing services.
Wrapping UpThe rapid proliferation of crypto markets is boosting the adoption of crypto brokerage platforms around the world. Businesses willing to stand out and leverage growth opportunities prefer PayBito’s white label crypto broker platforms. The US-based digital assets exchange offers 1-month free trial, access to over 400 global crypto markets, and trading options in over 20 fiat denominations. Enterprises get instant access to a branded crypto exchange along with state-of-the-art blockchain technology and unmatched liquidity.
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