The path to establishing your own exchange for cryptocurrency trading can be time-consuming and riddled with technical difficulties.
You need to develop a crypto trading engine, platform, liquidity aggregator, electronic wallets, and a personal account. Building a platform from scratch can be expensive and take up to a year — plus additional time for fixing issues.
This is why many savvy entrepreneurs opt for turnkey crypto exchanges. These pre-built platforms give you impressive performance and security features for the crypto market. They also offer a user-friendly interface, Know-Your-Customer (KYC) verification tools, dedicated wallets, and strong trading capabilities.
In this article, we’ll dive into the advantages of using a turnkey crypto exchange for entrepreneurs and explore some of the top solutions in the market.
What Is a Turnkey Crypto Exchange?
A turnkey crypto exchange is a pre-built, ready-to-use ecosystem that can be customized to meet your specific requirements.
It simplifies the setup process, allowing you to launch your exchange quickly and generate revenue from digital currencies sooner.
It also comes with useful integrated features, including:
- User management
- Exchange matching engines
- Order books
- Advanced trading tools.
Launching your own turnkey crypto exchange means following a few steps:
- Choose a reliable provider.
- Customize the platform to align with your brand and business goals.
- Ensure regulatory compliance.
Selecting the right turnkey crypto exchange can also save you time and effort when it comes to maintaining your platform. Many solution providers offer ongoing support, maintenance, regular updates, and improvements to the software.
Turnkey Crypto Exchange vs. Building an Exchange from Scratch
At some point, you’ll have to decide whether to use a turnkey solution or build your own platform from scratch.
A turnkey exchange is a pre-built platform that can be customized to your needs, saving you development time and resources. On the other hand, building from scratch gives you complete control, but can be complex and costly.
A turnkey crypto exchange has several key advantages:
- Quicker time-to-market: Your exchange can be up and running in a matter of weeks rather than months or years.
- Cost-effective: The overall investment is typically lower than building your platform from scratch.
- Continuous updates: You benefit from regular updates to the cryptocurrency exchange software, ensuring your platform remains up-to-date and secure.
- 24/7 support: When you opt for a turnkey solution, you receive ongoing support from experienced professionals, reducing the chances of encountering problems.
Developing a platform in-house might seem most cost-effective at first glance, but it can come with many challenges:
- Hidden costs: You may need to invest in additional resources, like hardware purchases or security measures.
- Ongoing maintenance: It’s up to you to keep your platform secure and up-to-date.
- Scalability concerns: As your user base grows, you’ll face the challenge of scaling your platform to meet increased demand.
That being said, two main benefits exist for building in-house:
- Full control and customization: Developing a platform from scratch gives you complete control over the source code and all the rights to it. So you can customize every aspect of the platform according to your specific needs and preferences.
- Unique design: You have the freedom to create a unique design, interface, and user experience that can stand out in the market, potentially offering features or workflows that are not available in turnkey solutions.
Building a crypto exchange in-house may be the preferred route for some. Keep in mind though that undertaking this approach means considerable time, expertise, and resources.
But the potential payoff is a completely custom-built solution tailored to your unique requirements and preferences.
Bottom line: While both options have their merits, choosing a turnkey crypto exchange saves time, money, and resources because you’re opting for a ready-made solution. You also gain the advantage of expert support and a platform built on proven technology.
Benefits of a Turnkey Crypto Exchange
Overall, a turnkey cryptocurrency exchange is an all-inclusive, ready-to-use platform that allows you to launch and manage your exchange with ease.
As you learned in the last section, you can enjoy several benefits when choosing a turnkey solution instead of building in-house. Below, we’ll explore more of these benefits in detail.
Time is often the most critical factor in establishing a new crypto exchange in this fast-paced market.
A turnkey solution accelerates the launch process, allowing your exchange to go live in a matter of weeks or even days.
Building from scratch involves many technical stages and needs a deep understanding of blockchain technology. Some of these stages include architecture design, backend development, frontend development, and security implementation. You don’t need to worry about developing these yourself with a turnkey solution.
This rapid deployment helps your business enter the market much faster than developing a platform from scratch, increasing the return on investment (ROI) and generating revenue sooner.
Reduced Technical Complexity
Starting your own cryptocurrency exchange involves several complex tasks, including setting up the infrastructure, ensuring security measures are in place, and developing user interfaces.
A turnkey exchange simplifies these tasks by providing a ready-made, customizable platform that meets your specific needs. You won’t have to worry about technical complexities or hiring dedicated experts — all saving time and resources.
Access to Liquidity
Liquidity is a crucial factor in any successful crypto exchange — it ensures a smooth and efficient experience for crypto traders.
Turnkey exchanges come equipped with built-in liquidity pools to facilitate seamless transactions. They also offer integrations with established market makers and support for multiple trading pairs, further enhancing your exchange’s liquidity.
A turnkey solution provides you with a basic structure that’s flexible and customizable. You can tailor the design, user interface (UI), trading options, and security features to align with your brand identity and meet the specific requirements of your exchange.
Security and Scalability
Security and scalability are paramount concerns for any crypto exchange. Turnkey solutions often include robust security features as standard, such as two-factor authentication (2FA), cold wallet storage, and anti-money laundering (AML)/KYC compliance.
Each of these features is challenging to develop from scratch, so if you’re looking for a streamlined process then a turnkey solution is your best bet. Turnkey solutions also give you access to insurance, physical and virtual separation of keys, enterprise-level fraud prevention measures, and SOC2 compliance. These large-scale security solutions are often cost-prohibitive when building something brand new.
Turnkey platforms also support rapid growth, allowing you to accommodate increasing user demands and manage your exchange efficiently as it expands.
As a turnkey crypto exchange user, you can benefit from a dedicated support team. These specialists help with platform setup, updates, and troubleshooting, ensuring your exchange runs smoothly and any issues are promptly addressed.
Technical support allows you to focus on growing your business without worrying about the platform’s day-to-day management.
5 Turnkey Crypto Exchange Solutions
In this section, we’ll introduce six turnkey crypto exchange solutions for starting a cryptocurrency exchange — including the option of building in-house.
AlphaPoint provides white-label solutions for cryptocurrency exchanges, brokerages, and the tokenization of assets. The company has a comprehensive set of tools aimed at institutional operators to give them access to digital assets and cryptocurrencies on a global scale.
AlphaPoint has several key features that set it apart from other turnkey crypto exchange providers:
- Customizable trading platform: AlphaPoint’s white-label platform allows clients to launch their own cryptocurrency exchanges, offering full customization and functionality to align with specific needs and branding.
For example, you can customize the UI/UX tool set, order management system, matching engine, and order routing. You also have fully customizable remarket depth, thresholds, and equations to independently price orders.
- Efficient order matching: The platform ensures trades are executed efficiently and accurately through advanced order matching and execution algorithms, maintaining market integrity and providing a seamless user experience.
- Risk management: A comprehensive suite of cutting-edge risk management tools to monitor and manage risks, such as regulatory compliance, market manipulation, trade abuse, and money laundering. This ensures secure and sustainable platform operation.
- Secure wallets: AlphaPoint ensures the security and accessibility of users’ assets with secure digital asset wallet and custodian solutions, safeguarding against unauthorized access and potential breaches. AlphaPoint’s custodians function across countries worldwide and offer single-click access to supporting documents.
- Liquidity solutions: The company promotes smooth trading and price stability on its platforms by offering liquidity solutions, including automated market-making software and managed liquidity options.
- Regulatory compliance: AlphaPoint’s technology is used by customers overseen by dozens of regulatory bodies worldwide, in support of platforms adhering to relevant legal and regulatory requirements, including AML and KYC processes
Learn more about AlphaPoint’s cryptocurrency exchange software and get started with a demo.
B2Broker is another solution for businesses looking to launch a cryptocurrency exchange. With their white-label crypto exchange platform, you can offer your users the option to trade various cryptocurrencies.
However, many of their advanced features (such as a staging environment and client-side hosting) are only available for large enterprise customers, which may make B2Broker less-than-ideal for startups and mid-sized organizations.
Their turnkey solution includes essential services, such as:
- Enterprise wallets
- Robust CRM system (B2Core Trader’s Room)
Scalable’s turnkey crypto exchange platform focuses on providing an all-in-one solution with elegant branding and customization options. However, at this time Scalable is only available for European users.
Their main features make Scalable an attractive option for businesses aiming to create a unique and memorable trading experience:
- Payment processing
- An accessible management dashboard
- User-friendly navigation
4. Hashcash Consultants
Hashcash Consultants specializes in providing excellent encryption security measures and white-label cryptocurrency exchange solutions to help you administer your exchange. However, their white-label platform operates through a third party, without some of the same liquidity solutions as other options on this list. Their features include:
- Extensive list of supported cryptocurrencies
- Efficient payment system
- Comprehensive management interface
Onez is a FinTech and software development company that specializes in IT and software development for crypto businesses. They provide a host of ready-made blockchain solutions for multiple industries, including casinos, web3 and crypto startups, neobanks, crypto exchanges, and metaverse startups. Their offerings include:
- Limitless swaps and cross-chain swaps
- Secure, non-custodial system
- Fixed or floating rates
Launch Your Crypto Exchange Seamlessly With AlphaPoint
Not all turnkey crypto exchange solutions are created equal. Even after making the choice to avoid the time and cost of building from scratch, be sure to choose the right provider.
With over 150 clients across 35 countries, AlphaPoint offers a secure, scalable, and customizable crypto assets trading platform. We also offer compliance with regulatory requirements, established liquidity providers, a user-friendly experience, and optimized security features.
Ready to launch your own seamless, compliant, and secure crypto exchange? Don’t hesitate: Request a demo from AlphaPoint and accelerate your project’s success today.
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