In the modern world, where cryptocurrency is developing rapidly, there is a need on the market to come up with new unique features that will make digital transactions more seamless and less stressful. One of the most overlooked yet powerful mechanisms in white-label crypto wallets is the integration of custom tokens.
But what exactly are custom tokens, and why are they essential for modern crypto wallets? In this article, we will give brief yet informative answers to these questions to set you all armed with all the needed insights.
What are custom tokens in crypto?
In simple words, custom tokens are digital assets created on existing blockchain networks, using specific standards, and referred to manually added tokens that are not pre-listed. Unlike native cryptocurrencies, custom tokens are programmable assets that businesses and developers can design for specific use cases, such as exchanges, payments, rewards, etc. Another difference is that this type of token can be added by the user for their needs.
Why are custom tokens important for crypto wallets?
Why do we even need to use custom tokens, if we already have some basic and well-known tokens in the wallet? Well, while well-known tokens like BTC, ETH, and USDT dominate the crypto space, custom tokens provide unique advantages, especially for businesses and crypto projects, such as:
- Increase of loyalty level among users: here, custom tokens can serve as loyalty points, incentivizing users with some exclusive access or staking rewards
- Additional revenue stream: custom tokens can be bought and used within the platform’s ecosystem by the users to receive additional unique opportunities, which allows the owners of the platform to earn additional income
- Decrease of costs: users can avoid high fees and receive a discount on transactions by using the platform’s internal blockchain or sidechain-based tokens
- Ecosystem control: businesses can issue their own tokens to create a branded ecosystem, rewarding customers and ensuring engagement within their platform or white-label wallet
The next question that can pop out in your head is “Is it a useful and important tool for the white-label wallet?”. Well, the answer is simple – yes.
More narrowly, the opportunity of adding custom tokens allows users to manually add tokens that aren’t automatically listed by the wallet. This is especially useful for new tokens, niche assets, or tokens from smaller projects that the wallet doesn’t recognize by default. And, of course, integration of this feature can bring some amazing benefits for wallet users:
- Enhanced flexibility: users can interact with more tokens, including new and lesser-known ones
- Streamline token conversions: users can reduce the number of steps needed to swap between assets, and the costs of these swaps, as well, and directly receive and store custom tokens in their wallets
- User empowerment: users have more control over their wallet contents, making their experience more personalized
- Broad asset management: users can manage a wider range of tokens in their portfolio
Additionally, by integrating custom tokens, a crypto wallet can simply attract more clients by allowing them to add and manage the tokens they need within a familiar platform. As more users bring their custom tokens into the ecosystem, liquidity increases, leading to a higher number of transactions. In turn, this drives greater revenue from transaction fees, creating a sustainable growth cycle for the wallet provider. More supported tokens mean broader adoption, higher engagement, and a steady increase in cashback income.
How can you integrate a custom token in the wallet?
As we have already explained, integrating custom tokens into your crypto wallet can significantly enhance its functionality, liquidity, and user engagement. Whether you want to support branded tokens, loyalty rewards, or exclusive payment assets, seamless integration is key to unlocking their full potential.
This is where EvercodeLab steps in! With our white-label solutions, your business can quickly deploy a secure, scalable, and fully branded non-custodial wallet that supports any custom token you need. Let Evercode Lab help you optimize your wallet for custom tokens and next-gen crypto payments – contact us today!
Why multi-chain wallets are crucial for custom token adoption?
As businesses continue to integrate custom tokens into their operations, secure and flexible wallet infrastructure becomes a priority. Multi-Chain wallets play a crucial role in the adoption and management of custom tokens. About the overall importance and benefits of multi-chain support, and how it transforms the white-label wallet solutions, you can read here.
In reality, most businesses issue their custom tokens on specific blockchains (e.g., Ethereum, Solana, Polygon, etc.). However, as crypto adoption grows, users need wallets that support multiple blockchains for seamless cross-chain transactions. And here the multi-chain wallet comes into play. Such wallets enable:
- Support for various custom tokens: users can store and transact with tokens across different networks
- Cross-chain swaps: businesses can facilitate token exchanges between different blockchains
- Compatibility between DeFi platforms: multi-chain wallets enable users to engage in DeFi activities such as staking and lending without switching from one platform to another, because it’s accessible in one place at users’ fingertips
Therefore, by adopting multi-chain wallets, businesses can ensure maximum security, seamless token management, and cross-chain compatibility, leading to wider adoption of custom tokens.
Conclusion
The integration of custom tokens in white-label crypto wallets is revolutionizing how businesses engage with customers and manage transactions. As the crypto industry continues to evolve, businesses that adopt custom token-enabled wallets will gain a competitive edge on the market.
Don’t waste your time – contact EvercodeLab today to learn more about all the possibilities of custom token integration into your wallet solution. We are ready to make your baldest crypto-dream come true!