How to become a cryptocurrency broker?

How to become a cryptocurrency broker?

written by John Murphy | January 16, 2023

The cryptocurrency market is full of potential. If you have reached some Jedi level with crypto trading and want to fluster your wings to jump onto the next level – become a crypto broker. So you might wonder – how to become a cryptocurrency broker.

Becoming a crypto broker is somewhat simple and complex at the same time. If you carry the right technical knowledge and have successfully traded multiple cryptocurrencies, I believe you stand on the right side of time to take your next step.

Furthermore, since the crypto market is self-managed, there are limitless opportunities for investors and brokers to keep testing their knowledge and luck with new ventures.

However, being equipped with the right strategy is key to becoming a successful crypto broker, as the best crypto exchanges do. 

In this guide, we will ornate you with an easy-by-step guide to answer the question of how to become a cryptocurrency broker.

Perquisites For A Cryptocurrency Broker

Firstly, you need to know whether you are even eligible to become a crypto broker. Well, it may seem apparent that anyone can become a broker, but the reality is different.

Since brokerage implies a great responsibility for managing other people’s money, thus only highly-professional, experienced, and well-qualified individuals should adopt this line of service.

So, here is the basic must-have package to become a cryptocurrency broker.

  • Professional level expertise, knowledge, and years of experience in crypto trading
  • A sophisticated team capable of handling technical aspects
  • Top-notch fast and secure tech infrastructure
  • Handsome trading capital
  • Marketing and business development capabilities
  • High tolerance level
  • High ROI network

In addition to having the right mindset and skill set, many countries require brokers to register themselves. For instance, you need to get a money transmitter license in the U.S. and a CASSP (crypto asset secondary services provider) in Australia. Therefore, it normally takes about a year to get your registration, and we recommend hiring a professional to pass through this phase smoothly.

A Step-by-Step Guide To Become A Cryptocurrency Broker

There are 3 main means of starting your brokerage journey.

  1. Regulate stand-alone crypto broker
  2. Brokerage franchise
  3. Liquidity network broker

Let us discuss each one of these in detail.

Regulated Crypto Broker

One toughest routes to take when it comes to brokerage is to launch a regulated crypto brokerage setup. Since all top brokers in the world fall under this category, thus you will face severe market competition to make yourself a name.

Here are the key challenges you will face while starting a regulated crypto brokerage.

  • Capital sufficiency (generally, large capital is required)
  • Office presence 
  • Professional team with the core knowledge, experience and qualification
  • Insurance
  • Reliable security infrastructure, especially for your crypto wallet
  • Implementation of KYC and financial policies

Now imagine that if you have fulfilled all of the above requirements, you still have to fight for your market position. Since the crypto market is always under surveillance, it is tough for new brokers to win investors’ trust.

Let us now have a look at the pros and cons of the regulated crypto broker.


  • A real cash-generating machine
  • Regulated and secured by rules and regulations
  • Perfect long-term business venture
  • Opens more business avenues
  • High commission fees rates
  • Shared liability among partners


  • Complex registration process
  • Cash-burning business
  • Time taking the registration process
Crypto Broker Franchise (Crypto Sub-Brokerage)

It is easier to obtain a brokerage franchise than to set up a regulated exchange. However, it lacks a few key ingredients of a full brokerage house.

Not only a franchise acts as an agent but also performs on behalf of the parent brokerage house. Thus, decision-making rests largely with the parent brokers. That’s why the sub-broker takes home a part of the profit.

In short, a broker is a middleman between an exchange and a buyer/seller, while a sub-broker is the middleman between an investor and a broker. 


  • Less legal complexities
  • No qualification requirements
  • Less financial risk
  • Ease of winding-up
  • No extensive investment
  • No registration requirements
  • Limited liability


  • Fixed profits
  • Limited decision making
  • Limited market scope
Liquidity Network Broker

It is the best form of crypto brokerage since it offers the highest effort/outcome ratio. Since crypto liquidity fragmentation is one of the biggest bottlenecks for crypto finances, thus liquidity brokerage can easily solve this problem.

The idea is not to launch another exchange but a platform aggregating crypto liquidity from desynchronized resources and providing cheap, safe, and instant cross-blockchain transactions.


  • Aggregated price feeds
  • High return ratio
  • Large market access
  • Interconnection between small and large investors
  • Interoperability between heterogenous blockchains


  • Complex operations
  • Sophisticated infrastructure requirement
  • Sturdy and boring

Frequently Asked Questions

How do I start a crypto trader?

You can become a crypto trader by following these steps.

  • Acquire necessary trading knowledge and experience
  • Pick a cryptocurrency like Bitcoin or Ethereum
  • Open a CFD account
  • Identify trading opportunity
  • Place your trade 
  • Monitor and close your position

Do I need a license to start a crypto brokerage?

Yes! Almost all countries, including the U.S., require brokerage houses to obtain a prior license to start brokerage services. It also includes digital currency.

How much does a crypto broker earn?

There is no limit. The better services your offer, the better your returns are. You can earn millions through your brokerage services if you apply an educated strategy. For instance, the annual pay for a crypto trader in the U.S. is $ 112,836 a year.

What is the cost of obtaining a crypto broker license in the U.S.?

The following are details of obtaining a brokerage license in the U.S.

  • Local AML officer compliance 
  • AML/KYC policy, company extract, contact person details
  • The cost is $6,900
  • It will take around 2 weeks to get your license

Parting Thoughts

There are three main routes to start your cryptocurrency brokerage business – Regulated crypto broker, brokerage franchise, and liquidity network broker.

Since each one of them has its pros and cons, and it depends on your plan and available finance to make a selection. One important thing is that the crypto brokerage market is not yet saturated in major countries. Thus, you can gain an early-mover advantage by setting up your brokerage house and enabling investors for staking in cryptocurrency.

Additionally, a broker can access all new and already established crypto projects, including Ethereum and Bitcoin. Thus, you develop unbeatable knowledge and experience.

However, it is not that simple, and you need prior assessing of your resources as it is a daunting task. So, only establish a crypto brokerage if you have the required skills and finance.

So, we hope we have satisfied your query about how to become a cryptocurrency broker. Please leave your feedback in the comments section.