Client Case Study: Why Swyftx Deprioritized a Crypto Trading Feature After Consumer Testing

Background

As part of its strategic growth initiatives, Swyftx—a leading Australian-based crypto exchange—was exploring a new crypto exchange trading feature designed to enhance user engagement, retention, and customer lifetime value (CLV). While the concept aligned with broader long-term goals, it also needed to deliver immediate, measurable business impact to justify resource allocation.

To validate the concept, Protocol Theory conducted a large-scale consumer research study, utilizing our proprietary Concept Testing methodology and global benchmarking data to assess market demand, feature appeal, and commercial viability.

Challenge

Before investing in development, Swyftx needed to determine whether the proposed trading feature would drive real user engagement and retention while also supporting short-term profitability objectives. Critical business questions included:

• Would the feature meaningfully increase user engagement and trading activity on the Swyftx platform?
• Which specific aspects or features of the offering resonated the most, both with existing Swyftx users and non-Swyftx users (i.e., crypto users generally)?
• What specific aspects or features of the offering might limit its overall appeal or uptake, and how could they be mitigated?
• How would the feature impact user acquisition vs. retention?
• How does user interest in this feature compare to other competing product initiatives?

Additionally, given the importance of objective, unbiased insights, the research was conducted unbranded to eliminate brand recognition bias and ensure pure evaluation of the concept’s standalone potential.

Solution

Protocol Theory conducted an online consumer survey among 558 Australian crypto users, split into two key groups:

• N=351 Swyftx users – To evaluate the feature’s potential for driving retention and increasing customer lifetime value.
• N=207 non-Swyftx crypto users – To assess the feature’s ability to attract new users and support customer acquisition.

This sampling approach was critical to understand the feature’s effectiveness for both acquisition and retention strategies, while controlling for selection bias effects (i.e., Swyftx users may be systematically different from non-Swyftx crypto users in their overall demographic, psychographic, or behavioural profiles, which may otherwise skew results if not accounted for).

The study assessed a variety of attitudinal and behavioral intent metrics to evaluate interest and demand, including:

• Overall appeal & engagement likelihood
• Product relevance, uniqueness, and comprehension
• Key motivators and feature preferences
• Potential user concerns and usage barriers
• Comparative performance against other market offerings

Key insights

The research revealed that although the concept was appealing in principle, it required some refinement to ensure commercially sustainable product-market fit. In particular, overall user interest and engagement intent was moderate, but was generally lower amongst Swyftx users as compared to Swyftx non-users—suggesting the product feature was unlikely to drive the long-term user retention, engagement, and CLV outcomes that it was intended to achieve.

Additionally, an econometric analysis of user demand and willingness-to-pay revealed that the product feature offering was unlikely to achieve Swyftx’s short-term commercial objectives—particularly in driving immediate user retention, engagement, and revenue uplift.

Ultimately, several alternative product opportunities within the Swyftx roadmap showed stronger potential for achieving near-term impact on engagement and CLV.

Impact

The insights enabled Swyftx to make a data-driven decision to deprioritize the feature in the short term, reallocating resources toward higher-impact initiatives with clearer near-term revenue potential.

Specifically, the research:

• De-risked product investment – Ensured development efforts were directed toward commercially viable opportunities.
• Optimized feature roadmap – Identified more strategic initiatives better aligned with business objectives.
• Informed future iterations – Provided insights to refine the feature’s execution and positioning for potential future launch.

By leveraging Protocol Theory’s Concept Testing methodology, Swyftx avoided investing in a feature that, while potentially promising in the long-term, would not deliver the immediate business impact or existing user outcomes required to justify development.

“Having a team of crypto natives who have industry context is a massive advantage, particularly in the interest of market research. The Protocol Theory team were outstanding throughout the whole process. They provided multiple options while also sharing their expert insights and recommendations. They delivered the survey results promptly, along with a detailed and easy-to-digest breakdown of the findings. I would highly recommend Protocol Theory to anyone working in the industry.”

Why Swyftx chose Protocol Theory

• Deep expertise in Web3 & crypto product research – Specialized insights tailored to the unique dynamics of digital asset markets.
• High-quality, verified crypto audience – Real, engaged respondents from ProtocolPanel, ensuring reliable, actionable data.
• Global benchmarking for better decision-making – Comparative insights to assess competitive positioning and optimize strategy.
• Unbiased, best-practice methodology – Unbranded monadic testing ensured clear, data-driven insights Swyftx could trust.

By partnering with Protocol Theory, Swyftx gained clarity and confidence in its decision-making—ensuring its resources were allocated to the right opportunities for sustainable growth.

Let's build smarter crypto products—together.

At Protocol Theory, we help digital asset and Web3 companies validate product concepts, optimize feature development, and prioritize high-impact innovations—ensuring every investment is backed by real consumer demand.

Contact us to learn how ProtocolPanel and our Concept Testing methodology can help your team identify the right product features, maximize engagement, and drive long-term retention. ◼️