In recent years, cryptocurrency trading platforms are the hot talk of the town. As for now, the usage of digital currencies has exceeded expectations. Moreover, digital currency is prevailing across the world which has become everything in payments. Even small startups are showing their interest in adapting virtual cryptocurrencies for payments. Entrepreneurs are looking to earn huge revenue by investing in Crypto exchange software development. So most of the startups and business class people have also started to march towards cryptocurrency exchange development to raise more profits in a short period.
“Cryptocurrency Exchange Development” what is that?
Crypto exchange development is a process of building a unique crypto exchange as per your business requirements. Then what is a crypto exchange?. It is a crypto trading platform that anyone can access only through the internet. This platform helps users to buy, sell, and trade all reliable cryptocurrencies and digital assets. Such as bitcoin, bitcoin cash, ripple, litecoin, ethereum, and the list goes on. Here crypto exchange owners permit investors and startups to list their newly released token through the IEO module. If you are an exchange owner, then you can earn money by collecting a small amount of fee. There are a lot of ways to earn money by launching a crypto exchange. Such as trading fees, deposit fees, listing fees, and more.
You can launch an ideal crypto exchange by choosing the finest cryptocurrency exchange software development. There are some essential factors involved in developing a successful crypto exchange platform. I will guide you with a clear explanation of every process involved in building a sustainable crypto exchange platform.
Now let us look at
Factors to Consider when Deciding to Involve in Cryptocurrency Exchange Development
- Determine the Method of purchase
Some popular cryptocurrency exchange platforms accept deposits from users through different methods. Such as bank transfer, Paypal, debit cards/credit cards, UPI money transfer, and other payment methods. There are still some users who do not have any digital currencies before joining an exchange. So those users can utilize fiat currency or traditional currency to enter the crypto market. You must take note of the time involved to complete single transactions. because some crypto exchanges complete transactions within a few minutes. but other exchanges take a few days or weeks.
- Support for Tokens
Currently, most of the crypto exchanges are adaptable to popular cryptocurrencies. Such as Bitcoin, Ripple, EOS, Litecoin, and Ethereum. While other crypto trading platforms support a long list of altcoins. Whereas some crypto exchanges are keeping up with the trend by offering stable coins to guard against the volatility. Also, it is common in the crypto market.
- Charging Fees
The revenue of a crypto exchange is mostly determined by the types of fees it charges. Crypto exchange owners make money in different ways. Such as by collecting transaction fees, withdrawal fees, deposit charges, and fees for executing orders. Also, they can earn money by conducting crypto-based campaigns. The total fees charged in the exchange can judge whether the user is compatible with this platform. Some exchanges offer discounts on charging fees. Only if the user utilizes their own token to complete transactions. Sometimes, they collect only on sales leaving purchases free of cost.
- Determine the type of crypto exchange
Presently, there are three kinds of cryptocurrency exchanges in the marketplace. Choose either a centralized, decentralized, or hybrid crypto exchange. These are considered as major types of exchanges in operation. Centralized crypto exchanges perform like a traditional marketplace for buying, selling, and trading cryptos. Here there will be an admin to watch all user transactions. Admin will collect fees for every successful transaction. This kind of exchange offer enhanced high liquidity but security systems are still a major concern.
When coming to Decentralized exchanges, this exchange offers more freedom to crypto users. Also, it eliminates the control by a centralized authority. Here user funds are not stored on the server and it is under the control of users. Though liquidity is less, they have top-notch security mechanisms to avoid cyber attacks and scams. Hybrid exchange is a combo of the traditional exchange and DEX. This kind of exchange gives a secure and trustful environment for trading cryptocurrencies. Also, it avoids network congestion and drawbacks which are common in a centralized exchange and DEX.
- User interface
The user interface plays one of the vital roles in the crypto exchange. It refers to the ease at which users can perform the basic operations. Your exchange user interface must be suitable for both newbies as well as professionals. It is abstract and varies from one user to another. So only those crypto exchanges which have an ideal user interface will witness immense growth in their trading volume. It will also help to gain a more crypto user base for your crypto exchange.
- Enable high-end Security Features
If you want to earn more profits in a hassle-free manner then the safety of your exchange is essential. Hence, your crypto exchange should have all top-notch security measures. such as
- Two-factor authentication
- encrypted database
- password-protected user access
- SSL integration
- Multi-signature vaults
- Biometric authentication
- DDoS mitigation
- Browser detection security
Additionally, you can integrate cold wallet storage to protect your funds from cyber attacks.
- Presence of capable liquidity
It is an ability to quickly convert an asset without influencing the prevailing market price. Tolerable liquidity helps in making the huge trading volume. Also, it helps in managing the various risks involved. An increase in the number of new purchasers and sellers will boost liquidity in your crypto exchange. Tying up with other popular cryptocurrency exchanges in the market will uplift liquidity easily.
Also, there are some notable points to take into account before starting a crypto exchange. They are
- Analyze and do market research
- Identify and fix the crypto-friendly countries
- Complying with the regulations
- Hire a competent legal team
- Finally, select the outstanding cryptocurrency exchange development company in the blockchain industry.
Must-have features for your Cryptocurrency Exchange
We integrate some desirable trading features in our cryptocurrency exchange software development. This might provide a better user experience for your users. Also, it helps to uplift your user-base and helps to enter the market quickly. They are
- Matching engine
- Cryptocurrency wallet integration
- Margin trading
- Liquidity API
- Payment gateway integration
- Support multiple cryptocurrencies
- Firebase and firewall implementation
- Referral program
- Pending transactions handling
- Multiple payment methods
- Atomic swaps and trading bots
- Top-notch user dashboard
- Effectual admin panel
Why Choose Zab Technologies for Cryptocurrency Exchange Development?
Zab Technologies, the first-class cryptocurrency exchange software development company in the blockchain domain. We have great years of experience in blockchain development. We so far offered 60+ blockchain products to 100+ global customers across the world. The unique quality of Zab Technology is providing the most essential features of a cryptocurrency exchange at a reasonable cost.
People look for Zab Technologies because of the latest security features we provide for the cryptocurrency exchange that will resist any type of cyber attack or threat. We use some advanced technology stacks for building your crypto exchange. This maintains the swiftness and efficiency even during the peak hours of trading. It is absolutely pointless to look for different blockchain development companies when you have a golden opportunity to collaborate with a blockchain development giant, Zab Technologies.
Start your blockchain business journey with Zab Technologies. We are here to assist you and provide all kinds of blockchain development services.
Shake your hands with Zab Technologies and talk to our experts now!