When to outsource blockchain project development: top reasons

Crypton Studio
Coinmonks
10 min readMar 11, 2024

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If you have an idea for software creation, the main question is how to implement it.

You can develop the project from scratch with an internal team, but be prepared to face many obstacles: there may be a lack of necessary specialists, a key developer unexpectedly leaves the team, and it takes time and resources to find and hire an experienced professional. All of this delays the development and market launch of your product.

In the article, we will consider an alternative to developing projects from scratch with your own team: outsourcing.

We have been in the IT outsourcing market and developing custom blockchain projects for almost 8 years. Over these years, we have collected a large number of cases from our clients. Based on their examples, we will analyze situations when outsourcing a project to a professional team is much more effective and reliable for business than creating a project with in-house employees or hiring freelancers.

Blockchain development in progress

What is outsourcing?

In the broad sense, this term refers to the transfer of work to an external contractor.

You find a company that provides development services, describe the project idea and requirements, and they take care of the rest.

Although this doesn’t mean you’re letting things slide: a good outsourcing team, interested in the success of the client’s project, will regularly provide you with updates and maintain communication on every process in real-time.

In the blockchain industry and in the development market as a whole, outsourcing a project is one of the most common ways to create digital products.

This method has become so popular due to the following benefits:

- no need to maintain an entire team of employees (especially relevant if the project is one-time or if your company wants to enter a new direction and try a stack that is atypical for them);

- the contractor company takes care of all tasks related to hiring and onboarding specialists;

- an efficient way to focus on key expertise and business strategy, entrusting technical issues and development to professionals;

- quick access to a large pool of talents, unavailable in the local labor market;

- a remote team, which reduces operating costs (office rent, infrastructure provision) and can work in different time zones.

Advantages of IT outsourcing

All this is especially relevant for blockchain development: talented specialists are not always available for hiring in your city, and even if they are, maintaining an in-house team can be very costly. Even if your employees are not busy with projects, you are obliged to pay them a salary and other social benefits.

By delegating development to an external company, you successfully address your business tasks, saving significant resources.

Do you want to know how IT outsourcing can help your web3 business? Contact us and our specialist will consult you for free!

Which blockchain companies are definitely suitable for outsourcing?

But which blockchain companies are definitely suitable for such a collaboration model as outsourcing? Let’s see, based on Crypton Studio’s experience. We compiled this list based on which clients most often turn to us for outsourcing services for blockchain development.

Startups

Blockchain startups often face limited resources and deadlines: after all, they need to create a full-fledged product as soon as possible, the launch of which will justify the investments of investors. Searching for suitable specialists and building a team can take a lot of time. In this case, outsourcing development may be the optimal solution. Crypton Studio has experience working with such startups. We help them create MVPs and launch products on the market in the shortest possible time. For example, we collaborated with a DeFi startup that received part of the investment to create an MVP of a decentralized application for managing digital assets. Thanks to the fact that we quickly developed an MVP for this client, the startup owners demonstrated the viability of the business model in practice and convinced investors to allocate a large amount for project development.

Medium-sized companies that find it unprofitable to hire a large team to bring a product to marketuct to market

For medium-sized companies that want to implement blockchain technologies but do not want or cannot hire a large team of developers, outsourcing is the preferred solution. Crypton Studio works with companies of various sizes, helping them create and implement blockchain solutions without the need to expand their own team of developers. Not long ago, we helped a company in the financial sector develop and implement a crypto payment gateway for secure transactions.

Which companies benefit from IT-outsourcing?

IT companies without expertise in blockchain development

For IT companies that want to develop new directions and implement blockchain technologies but do not have sufficient expertise in this area, outsourcing can be a key success factor. The web3 sphere is developing rapidly, and we regularly receive clients from the web2 world with a request to implement blockchain projects. Crypton Studio assists such companies in developing and implementing blockchain products. For example, we collaborated with a logistics company that wanted to use blockchain to improve the transparency and efficiency of deliveries.

If it seems that your story fits the examples above, then it’s not just your imagination! Contact us to discuss the details of your project. We will conduct a full assessment of the timing and budget, as well as answer any questions.

Why outsourcing is better than in-house team development?

1. Flexibility and scalability:

In case of changes in workload or the need to involve additional specialists, an outsourcing company can quickly scale the team. For example, we have a pool of regular developers whom we can engage in a project if needed. Moreover, we have worked on projects of different levels, so we can accurately forecast the required workload and team size.

2. Risk reduction:

Outsourcing helps to mitigate risks in development. For instance, lack of experience working with a specific tech stack, lack of understanding of how to best implement functionality, shortage of specialists with the required skills, or the possibility of a key team member unexpectedly leaving the project. Delegating tasks to professional outsourcing teams helps avoid many mistakes and inefficient decisions: such developers are aware of industry trends and know how to implement the client’s idea in the most optimal way.

Delegate your blockchain project development to professionals

3. Time and resource savings:

Outsourcing allows saving time and resources thanks to optimized processes and ready-made developer teams. You won’t have to spend time and resources on recruiting, training, and retaining employees. This will allow you to focus on core business tasks and ideas for your product. Technical issues will be handled by development specialists while our experienced professionals handle the development.

By working on the IT outsourcing model, we have completed over 100 blockchain projects for clients worldwide. Check out our portfolio to learn more.

Debunking the major myths about outsourcing

Myth №1: Outsourcing means losing control over the project

Development through outsourcing requires active involvement from the client, and a good outsourcing team establishes communication in a way that keeps the client informed about project progress. At Crypton Studio, we understand that project success depends on client trust. Therefore, our project manager maintains constant communication with the client, regularly provides updates, and offers feedback. Additionally, clients can track progress using our task tracker to see what has been accomplished and how many hours the team has worked.

We employ only the most skilled developers

Myth №2: The quality of work from outsourcing companies is lower than that of in-house teams

Employees of outsourcing companies have a high level of expertise and can deliver work quality equal to or sometimes better than internal teams. However, much depends on how seriously the outsourcing company approaches staff selection and assessment of their professional skills. At Crypton Studio, we have a meticulous employee selection process. We evaluate soft skills and technological development skills, conducting technical interviews with tech leads. Additionally, we regularly conduct grading and ensure all our specialists are proficient in current technology stacks. We also invest in training our developers and other specialists involved in client projects, organizing meetups, paying for courses, and expanding our library of specialized literature.

Crypton Studio invests in training of specialists

Myth №3: Outsourcing is more expensive than internal development

Outsourcing is often a more economical option, especially for small companies and startups. Maintaining a full team requires significant financial resources. You need to rent an office, provide each employee with a full workstation, and pay social contributions, taxes, and insurance, in addition to employee salaries. Moreover, hiring staff for an internal team requires an HR department, accounting, and established document workflow. These are hidden costs that should be factored into the project cost if you opt for an internal team. Therefore, outsourcing allows cost optimization by paying only for the work actually performed. However, it’s essential to note that blockchain development is a complex service requiring modern security measures and deployment. Therefore, it cannot be too cheap. If you encounter a company with significantly lower prices in the market, it’s a reason to be cautious.

Myth №4: Outsourcing leads to leaks of confidential information and vulnerabilities

This can only happen if you choose an unreliable partner, and the outsourcing company does not invest in ensuring all cybersecurity measures. Experienced and reputable outsourcing companies provide confidentiality guarantees and take security measures to protect their clients’ data. For example, before starting development, we always sign an NDA (non-disclosure agreement) with the client. This measure protects both clients and us. Additionally, we always enter into a legal contract that outlines all the obligations and responsibilities of both parties. Working within a legal framework is essential to us, and our clients appreciate it.

How to choose a reliable outsourcing company?

If you understand that entrusting the development of a blockchain project to an outsourcing company is the most promising strategy for your business, then the question arises: what criteria should be used to choose a company to avoid disappointment and not waste time and money?

Here’s what to pay attention to:

1. Company reputation and reviews

A good outsourcing company has nothing to hide. Reviews from previous clients are posted on open platforms such as Clutch.co or GoodFirms. The company actively engages in social media, such as having a LinkedIn page, and shares content demonstrating its expertise or discusses development nuances. A good company always has a portfolio, which can be found on its website.

A good outsourcing company has testimonials and an active social media presence

2. Projects in the portfolio

There’s no point in outsourcing the development of a decentralized application to a team with little experience in blockchain. Look at the team’s portfolio and reviews. What projects do clients most often approach them for? For example, clients usually come to us from the fintech sector, wanting to launch products for decentralized finance, a crypto exchange, or integrating a payment gateway for accepting cryptocurrencies.

Additionally, clients come to us with platforms for tokenizing real assets or with requests to develop their own project tokens. While such projects dominate our portfolio, they are far from the only ones we’ve worked on. Clients aren’t always ready for their project to be included in the development team’s public portfolio, fearing that competitors might notice their unique idea. Therefore, you can always clarify with a manager what other projects the company has worked on. For example, if our clients want to see more case studies, we always provide them with additional information.

3. Communication speed and openness

If communication is opaque or significantly delayed only at the acquaintance stage, what will happen during project work? Prompt feedback not only saves your time but also demonstrates respect for you. We understand how important openness in communication and prompt resolution of issues are for our clients. Therefore, we always respond quickly and fully engage in communication with the client to understand their needs or clarify any questions that arise.

Open communication is crucial

4. Post-release support

Will the outsourcing company help fix bugs after the product release? For example, at Crypton Studio, we always offer this option to our clients. We understand that supporting the viability of a project lays the foundation for long-term relationships with the client. For example, we have clients with whom we have been working for several years. Although the project we developed for them has long been successfully functioning, there are sometimes minor issues. The client contacts us, and we promptly fix everything without requiring additional payment. The client knows they can rely on us. It is precisely this type of trusting relationship with clients that we strive for.

We’ve discussed the main situations where outsourcing development proves to be a more effective and reliable strategy compared to in-house development teams or hiring freelancers. The main advantages that IT outsourcing offers include reducing costs for staff recruitment and onboarding, the ability for the company to focus on business tasks and product promotion, and delegating technical issues and development to professionals.

The Crypton Studio team has been successfully working in the field of IT outsourcing and blockchain development for over 8 years. Our experienced specialists are ready to take on the development of your project, ensuring not only high quality and reliability but also minimizing risks in terms of budget and deadlines. We are proud of our portfolio, which includes over 100 successfully implemented blockchain projects for clients worldwide.

If you are looking for a reliable partner to implement your idea in the field of blockchain technology, contact Crypton Studio. Trust our experience and professionalism to make your project a successful and innovative solution in the market.

We will provide a free assessment of your project and tell you what you need for its implementation. Contact our specialist to schedule a consultation.

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Crypton Studio
Coinmonks

Exploring the potential of blockchain technology through development and real-world applications. Join us on this journey! https://crypton.studio