the cryptocurrency world is a trendy industry nowadays, many people are entering this industry in a hope of earning benefits. The fast popularity that this industry has earned among people has also raised the demand for crypto exchange websites. this has made clever entrepreneurs think of developing crypto exchanges websites. the crypto exchange websites not only have huge financial benefits but also help to change human life.
But if someone is thinking of developing an exchange website, where should he start? what are the steps? how much money does he need?
It may look like a hard and complicated process but at the end of this text, you will understand the steps and you will find a clear view of what this process is going to be like and what you should do in this journey.
What is a crypto exchange?
A crypto exchange is a marketplace where you can buy and sell and exchange cryptocurrencies, like Bitcoin, Ether, or Dogecoin.
If you look at the ethereum or ether, you will find a completely different blockchain network. Although the Ethereum network has conceptual similarities with the Bitcoin network, these networks use different flavors of technologies.
The transaction is not allowed on the ethereum network with Bitcoin. You will need Ether to transact on the ethereum network, so these two networks are not compatible.
Well if they are not compatible then how people are supposed to trade? So here is a bug but the cryptocurrency exchanges were developed to solve this bug.
The cryptocurrency exchange is completely different from the blockchain network. While cryptocurrencies like Bitcoin or Ethereum use decentralized blockchain networks, a cryptocurrency exchange is just a centralized website.
Why develop an exchange website?
The first question may be why do I need an exchange website? You are not the only one to have this question.
You see, a cryptocurrency like Bitcoin has its own blockchain network. Bitcoin uses the P2P network, a protocol, and encryption software.
While launching an exchange website is a hard process, there are potentially huge financial rewards.
With the speed of the development of the cryptocurrency world, it’s not so far that in the future there might be no banks left and there are no central authorities to control our transactions.
With cryptocurrencies, we will be able to directly pay for goods and services via cryptocurrencies.
In these years cryptocurrency is becoming widespread, the demand for a cryptocurrency exchange to facilitate transactions is rising.
Launching an exchange platform is not only about the money but also about helping this industry to improve and change the world in a better way.
How to start the cryptocurrency exchange website development process?
Thinking of developing an exchange website, in this field, there are millions of opportunities in the market.
Other than the huge sums of money to be made, the cryptocurrency exchange platform is a way to the future.
With any new software, there are a lot
of work to be done before starting the programming process.
Before creating your Bitcoin exchange, having a clear understanding of your target market is a must.
To build a cryptocurrency exchange you have to go through some steps:
1. Look through the competitors
A really great place to start is to do wide research on the exchange’s website that exists in the market. We have listed some of the most successful and popular exchanges in the following.
We suggest you do the research to find exactly how these exchanges came to be successful as they are now. This process will give you a lot of ideas on how to build your own bitcoin exchange website and provide it to the market.
after you had your market research, do not follow the same strategy, you better think of providing better techniques and methods than your competitors. By providing these features you can stay in this market. Many factors can make you shine among all the competitors such as transaction speed, dashboard feature, the user interface, more security measures, and level of transparency.
2. Decide on where your business will work
Is your exchange going to provide crypto-related services only to a few countries or it is going to provide services globally?
The answer to this question is an important part of planning a new Bitcoin exchange. If your exchange is going to be active globally must be accepted the laws of each country that is going to be active in it. Working globally will bring a large amount of money but it also needs plenty of paperwork.
3. Know your target market
Knowing your target market will ultimately determine how successful your site will be. Being familiar with the target market will determine the type of product and marketing strategy that will allow your site to flourish.
4. Choose the way of developing
There are various ways available for developing an exchange platform such as
- Developing from scratch
Developing a website from the ground is a hard process from gathering a team of experts to launching it to the market this method will cost more money and time but the backend and the front end can completely be customized and developed the way that the business owners prefer.
- White label exchange development
This is the best way for startups to develop their exchange website, it cost lower money, and also the time for an exchange website, with the white label solution is so low because it is pre-developed software that doesn’t need all the time and money to develop it from scratch the front-end is completely customizable.
5. Choose the best cryptocurrency exchange development company
There are ways to find the best and most reliable cryptocurrency exchange software development company to develop a secure and robust company
First of all, read their previous customers’ feedback on social media and check their reviews on different platforms.
Check their field of expertise and the number of their employees
See if they provide customer support
If possible see and search for their previous exchange projects
This will give you a clear view of how this company is working and providing services.
6. payment processing
finding a bank or another payment processor is not an easy step. some banks don’t accept cryptocurrency. so to find a payment processor you have to jump into the process a little earlier.
it is recommended not to open a personal bank account. because it may get shut down immediately because the cryptocurrency exchanges need immediate transactions for the high amount of assets. for the payment process, speed and frequency are two important factors.
7. Connect your exchange with others for added liquidity
One of the main factors that make the exchange platform successful is the high liquidity. at first in any new exchange, the lack of liquidity may be an issue, we can connect your exchange to older exchanges that have liquidity and connect to their liquidity pools. Keep in mind that an exchange with larger network of exchanges, has less problem with lack of liquidity.
8. testing step
At the completion of the website before launching it to the market, it’s time to test if the functionalities are working correctly. If any problem was founded it should be checked and solved.
9. Pick up your marketing strategy
Even before launching your exchange website to the market, you should have started the engine of your marketing strategy. Such as the social media account, writing blogs and posts to inform people of your exchange website features and functions.
A good market plan will promote the unique facilities and features of your exchange website and create a good reputation among people who are active in this field.
how much does it cost to develop an exchange website?
one of the important factors for developing the cryptocurrency exchange website is the price of the development process. I can’t mention a specific price because the cryptocurrency exchange script development cost varies for each website according to the method of development, features, and design of each exchange website. adding some functionalities may increase the cost of the crypto exchange development.
Some of the best crypto websites
Factors like supported cryptocurrencies, pricing, withdrawal options, and security – which is the most important one and we have focused on it for gathering these websites- define if a crypto website is good or not.
Continue reading this article, to learn more about which cryptocurrency exchange could be the best for you.
Everything started with the invention of Bitcoin, a cryptocurrency without a central authority and without government control.
Coinbase makes buying and selling cryptocurrencies very easy with strong security. Additionally, coinbase offers coinbase pro with the same fee structure but significantly more features in terms of charts and indicators.
Binance offers a very long list of currencies beyond the most popular digital coins. Binance has lower fees than commonly used exchanges and it has a large variety of cryptocurrencies and trading pairs.
Crypto.com is one of the largest and fastest-growing crypto exchanges. It’s based in Hong Kong, but offers a ton of support for US-based customers.
Kraken is one of the original crypto trading platforms and they have a good selection of coins and tokens to trade and invest in it. They also allow margin trading. However, it’s a real exchange, and not as easy to use as some of the top platforms on the list.
Talking about the sheer amount of available coins, Kucoin provides access to a wide range of altcoins with low fees. Automated and margin-based trading is available.