How does Jivestore work?

Colin Baseman

Many people associate the sphere of Finance and trading with bureaucratic difficulties and delays, but there is a technique to bypass the formalities and launch your company in a financial niche in 10-15 days. This method is legal and relatively inexpensive, contrary to what most readers now think.

We will talk about opening a business using the white label model from Jivestor. Many of you have heard this term, but don't fully understand how the system works, especially in the financial environment.

The principle is simple: a company with a proven product and a proven business model provides other companies with a ready-made solution to launch a similar business. At the same time, the company receiving the service operates entirely under its brand and its customers do not even suspect that a third party supports the product.

The platform allows sellers to track the performance of their trading account and automatically announce your outcomes on your premium-level branded webpage. The solution is developed to provide exact statistics of user’s exchange activities to financiers. 

What type of business are we talking about?

When talking about business activities in the financial markets, what occurs in mind first is opening your brokerage firm. The problem is that the competition in the market is too high and people mostly trust old brands.

Fortunately, there are many other ways to gain profit in the field of FINTECH. Amid the rapidly developing comparatively new market segments is copy trading. Several analysts predict that in the future, the volume of the sector may surpass directly trading, from which it grew.

The fact is that all trading participants can be separated into two categories: expert investors and retail clients (usually seekers of quick and easy money). The latter are much more numerous in the financial market.

These people are usually not experienced enough to take profits from the markets on their own, or simply want to earn income by minimizing personal involvement.

Automatic transaction copying platform

Copy trading-a system for automatically copying transactions from the experienced traders’ accounts of - provides them with this opportunity. You don't have to learn how to trade on your own, there is no need to follow the rapidly changing market, you just need to choose the right trading strategies and observe them while taking a passive part.

The transaction copying service is free of charge, so this concept is highly appealing to investors.

How does the business scheme work?

An individual or legitimate entity enters into a partnership agreement with a reputable brokerage company. After that, the provider of white label solution integrates the copy-trading platform with the stockbroker's exchange platform.

Thus, a consumer who wishes to use the trader copying service must register an account with the most respectable brokerage company (or can connect a current account).

The scheme is as comfortable as possible for financiers since funds are transferred to the fin. An institution that has the necessary license and the state controls it. Alternatively, the procedure for organizing and setting up a business is simplified, since everything is created based on a ready-made ecosystem.

Commissions from clients’ trading turnover generate the income of the owner of a white label license. The brokerage company withholds Commission from clients who copy transactions or trade independently, and after pays a portion of this Commission to partners.

At the same time, as already mentioned above, no additional charges are required from the investor — you do not have to pay a subscription fee for a subscription or a piece of the earned turnover.

How much money can you earn on this?

By Relying on internal average data, we can build the next economic scheme:

If there are 100 financiers with a $ 1,500 average Deposit along with the Commission per trading lot is $ 5, the monthly fee will be approximately $20,000.

The numbers can be studied in more detail using the returns calculator.  

What and whose deals will these people copy?

You may offer investors a ready-made database of trading strategies that are delivered with the white label solution by default.

If you have your base of experienced traders, you can offer them to become participants of the project and receive additional remuneration for this (share a certain part of the Commission with them).

Besides, you can only provide your trading strategies for copying to investors ' accounts.

Transaction costs

A significant benefit of working with a white label is low operating costs: since partners are provided with a ready-made product, the supplier of software is fully responsible for operating support. You do not need to pay for product development, maintain staff, or have your servers.

The companion immediately obtains a functioning product along with a business scheme that has already been tested on tens of hundreds of customers, as well as answers to their questions about starting a business and finding clients. At the same time, it is quite realistic to start a business in two weeks, instead of 6-12 months, which will take to create and test your platform with basic functionality.

The only thing you will need is customer support. However, at first, it may consist of one person.

How do I promote the product?

Now that we figured out the procedure of launching a white label copy-trading platform, the question arises: where is it possible to find the initial 100 users to earn a sum of nearly $ 20,000 a month?

Two methods are considered the most effective today:

  • attracting thematic traffic (users who like trading) through marketing on the trading resources, social networks, forums, and search engines;
  • attracting general traffic by advertising a free training program where the trader can turn his audience into customers.

Yandex statistics show 4,204 requests per month for the following keywords - "trading signals "( a facility for delivering trading signals is essentially called copy trading), and the indicator of requests for" copying transactions " has almost doubled through the year. Google receives 20,000 daily searches of the same terms. While the indicator of people looking for "where to invest" in different variations exceeds 150,000 people in a month.

Moreover, we have given figures only for the Russian market, but you may use a multilingual package and enter international markets.

For comparison, in the English-language Google, users make more than 20,000 queries every day for such terms as" copy trading ", as well as " trading signals", and" social trading".

Currently, the Jivestor platform is translated into various languages including English, Russian, French Chinese, and Arabic. New localizations are added regularly.

White Label is both a convenient as well as an economical option for a monetary startup, but if the firm continues to grow, traders can move to the next stage and think about launching your brokerage company. The good thing is that you don't have to start from scratch, because you've been working under your brand since the launch.