Given how the blockchain and cryptocurrency sectors are all the rage at the moment, it is perhaps the most opportune time for entrepreneurs looking to enter this sector. Blockchain-based businesses can provide innovative solutions to companies and private customers, with the industry improving and continuing to grow over the next few years. It is expected that there will be some level of integration of blockchain and cryptocurrencies in all aspects of society, including governments, business, finance, the economy, banking, healthcare, marketing and e-commerce. A striking example of sectors which have taken the lead in embracing blockchain and cryptocurrency comes from the gambling industry. One example is casino Winz, which has positioned itself primarily as a cryptocurrency casino. There are quite a few others similar to this as well, showing how the industry has already embraced this technology. Thus, this is the best time to look to start a blockchain business, and this article will provide some tips and tricks to get started.
First of all, any budding entrepreneurs need to have more than just an idea in place. There will need to be a detailed business plan, including the proposed product or service, how it will work, its purpose, the target client base, and the ultimate aim of the company. All of this will be necessary to provide a clear vision right from the start, as well as attract potential investors, who will need to see a proper plan to be convinced of putting in their money into a new venture. Entrepreneurs will need to work out the pricing for their offering, along with the revenue model as well as estimates for growth over the first few years. There will also be a need to come up with a name, a logo, the overall branding and the web address. Finally, you will need to evaluate the competition, both existing as well as the potential for new entrants, as this is vital to identify any gaps that are not served by the market at the moment to take up as the product.
Given how blockchain is still largely unregulated, picking a jurisdiction to locate the business is also important. Some areas have created legal and regulatory frameworks to deal with blockchain, while others have not, and so it will be down to the entrepreneur as to which jurisdiction is picked, based on its pros and cons. After this, costs will need to be estimated. There are significant costs which will have to be incurred right at the start, including licensing fees, registration, incorporating the company and market research. Capital costs such as buying/renting an office, hiring staff, and setting up utilities will also need to be incurred at the beginning of the business. This is true for any startup, and there will also need to be a recognition of the various ongoing costs that will come due as the business progresses. Examples of these include salaries, rent, hosting fees, supplies and so on.
Further tasks which need to be done include opening a bank account and payment processing options, as well as registering for taxes. Payment processors are important, as you will need to decide the types of payments you will accept, as well as the currencies. Keeping this as broad as possible will give you more access to clients, but it will also be more expensive. Tax registration is also important, as some jurisdictions have more lenient tax regimes than others, and therefore being tax-optimized is crucial to making the business successful.
These are just some of the opening steps needed to start a crypto or blockchain-based business. There is quite a lot of work which needs to be put in before any such venture can get off the ground, and any potential startups should look to hire a corporate service provider with a track record in this sector to guide them through the initial steps.