Many business people are praising cryptocurrency exchange business, for a vast amount of profit they yielded through a crypto exchange. Having witnessed their real-time success from the cryptocurrency exchange business. Business people started recommending to many budding startups and also to other investors’ communities.
Bitcoins and altcoins are the most talkable assets in the cryptocurrency industry right now. Because cryptos made a huge impact on the marketplace. This made many people trade major cryptocurrencies in the crypto exchange websites. There is an increasing number of crypto users in the trading platform. This instigated many budding startups and entrepreneurs to start a cryptocurrency exchange business.
Developing a crypto exchange platform from scratch takes more time and the cost of development will be so high. So, most of the crypto entrepreneurs are using Bitcoin exchange software for starting a cryptocurrency exchange business. If you are new to this then your mind will be popped with a lot of questions. In this blog, we have answered all your questions. Also, we have mentioned some easy steps that will make you create your own crypto exchange platform.
Just keep on reading….your first question will be…
What is a Cryptocurrency Exchange?
A cryptocurrency exchange is a trading platform where you can buy and sell Bitcoins and other major crypto coins. Such as Ethereum, Ripple, Litecoin, Dash, and other prominent cryptos. Also, investors can list their new crypto coins in the IEO module to earn more profits.
(image source: bitcoin exchange guide)
The cryptocurrency exchange platform has all the cryptocurrencies listed for trading. This is similar to the stock market exchange where all the global companies are listed as shares for trading. Here most of the business people used Bitcoin exchange software for starting their own secured Bitcoin trading platform. The Bitcoin exchange script is ready-made software. Our software has all the desirable features and security systems like popular cryptocurrency exchange websites
With this Bitcoin exchange script, you can customize based on your requirements. Buying one such Bitcoin exchange software will make startups launch their own cryptocurrency exchange in a flash with a resemblance to their desired Bitcoin trading platform.
In the crypto industry, Crypto is prevailing across the globe which has become everything. Now you might think of starting a new crypto exchange business that will lead you to become an investor giant. There are some steps involved in developing a secure crypto exchange platform. I will guide you with a detailed explanation of every stage involved in the process of crypto exchange development.
Steps to Develop a Secured Cryptocurrency Exchange Business
#1 Select the type of crypto exchange
Deciding the type of cryptocurrency exchange platform is more crucial before leaping into the Bitcoin exchange business. There are two different types of Bitcoin exchange in the crypto industry. They are
- Centralized cryptocurrency exchange
- Decentralized cryptocurrency exchange
Centralized crypto exchange: it is a traditional crypto exchange. Here users can trade a wide variety of digital currencies in a hassle-free manner. But there will be an admin or middlemen for every transaction. When a user successfully completes their trading, the admin of the exchange will charge fees as a commission. Here users do not have control over their funds. Also, user transactions and crypto wallet balance will be monitored by the admin of the exchange. Order book exchange, binary trading options, and a user to admin exchange are part of the centralized exchange.
Decentralized crypto exchange: it is a peer to peer crypto exchange. Here the exchange functions without the admin and any third parties. In this type of crypto exchange, user privacy is highly protected and they have control over their funds. So only most of the crypto traders prefer a decentralized exchange rather than a centralized exchange. Also, security aspects are high compared to centralized crypto exchange platforms.
So decide the type of crypto exchange before developing your own Bitcoin exchange business.
#2 Go through market research
When you have thoughts to establish your own crypto exchange business, you also need to do the market research. you need to understand the crypto market, like how it functions and what are all the types of tradings that take place in exchange.
Also, you need to understand the price movement of cryptocurrencies in the market. With many social, trading, and economical reasons the price of the cryptocurrencies may fluctuate according to that. you need to make a final analysis of whether this would be the right time to get into the market. If everything falls into the right place you can proceed to the next step.
#3 Identify the location where you have to launch your crypto exchange
You need to plan which would be the perfect place for launching the cryptocurrency exchange business. Because, countries like Russia, Bolivia, Pakistan, Ecuador, Bangladesh, and Nepal are saying “No” to cryptocurrency which means it is considered to be illegal. So you cannot launch here to make more profits.
Some countries are having legal rights to use cryptocurrencies. Such as
- The United States of America,
- European Union countries
#4 Legal feasibility
When it comes to legal feasibility, you need to cross-check with the jurisdiction of the country in which you are about to launch your cryptocurrency exchange business.
#5 Analyze Your Requirements
As a crypto exchange owner, you need to know the requirements of your exchange. Never fail to document your requirements as a Business Requirement Specification document. This will help you to track what your exchange will hold with. The crypto exchange solution providers will take your Business Requirement Specification (BRS) document and they will analyze the feasibility of the project.
#6 Project Feasibility
The project feasibility will be based on the cost, time, and resources needed for the exchange development. Also, another in-depth analysis will be done by the crypto exchange solution providers like the following topics:
- ECONOMIC – Whether the project can be completed within the allotted budget
- LEGAL – Whether we have the potential to handle this project as cyber law and other regulatory compliance.
- OPERATIONAL FEASIBILITY – Whether we can create operations as per the client’s expectations and requirements
- TECHNICAL – Need to check whether the current computer system supports the advanced technology that is involved in the project.
- SCHEDULE – Decide whether the project can be completed within the given time.
#7 Identify the outstanding cryptocurrency exchange solution provider
It is the most crucial part of developing a crypto trading platform. Because there are more crypto solution providers in the crypto industry. But everyone doesn’t provide quality outcomes in their product. You can develop a crypto exchange either from scratch or by using the premium Bitcoin exchange software. But most of the people choose software to develop their exchange. Because it is cheap, fast, and secure with all the desirable features. So choose the first-grade Bitcoin exchange software in the market to begin your crypto exchange business.
In the deployment phase, you will get your fully furnished, ready to go live crypto exchange platform. Once your exchange gets deployed and you need to market your exchange through promotions.
The working process does not stop with the deployment. Maintenance has to be done periodically for your crypto exchange platform. Because there will also be some attackers who will look for some security hole to inject threats. This is not to intimidate you, this is just a word of caution. Make sure whether your crypto exchange is maintained with upgraded security features.
These are the stages involved in developing a crypto exchange. The only part that lies in your hand is preparing your requirement document and reaching out to a genuine crypto exchange solution provider.
Benefits of Launching Your Own Crypto Exchange Using Bitcoin Exchange Software
- If you are an admin in the exchange, you can charge fees for every successful transaction
- If you are integrating the IEO module you can earn separate money through listing fees.
- You can charge fees for transactions of each user.
- You can easily customize the theme, logo, name, and other designs according to your business requirements
- You can establish your brand in the market quickly
- Startups and entrepreneurs can gain more profits in a short period.
- instant and safe crypto transactions.
- You can eliminate spending more money and time on creating your own exchange.
- Deploying the Bitcoin exchange software will be quick and simple
- You can get reliable 24*7 customer support from the cryptocurrency exchange solutions provider.
Why Coinsclone for Starting Your Cryptocurrency Exchange Business
Coinsclone is the leading top-rated cryptocurrency exchange solutions provider. We have crypto exchange developer experts with 5+ years of experience. We have far offered 60+ Bitcoin exchange software to our international clients so far. Coinsclone is one of the early birds in the cryptocurrency industry. We have good years of experience in offering cryptocurrency exchange software and white label solutions. Our team of experts will guide you to launch your own crypto trading business. Also, we provide 24/7 customer support through the internet.
Outstanding features of our Bitcoin exchange software
- Margin trading
- IEO launchpad
- Security Token Exchange
- Liquidity API
- Atomic swaps
- Trader console
- Admin console
- Trading bot
- Cryptocurrency wallet
- Order matching engine
- KYC/AML solutions
When coming to security aspects, it also plays a crucial role in crypto exchange platforms. Coinsclone enables advanced tightened security features in order to avoid hacking and scams. They are
- HTTPs authentication
- Two-factor authentication
- Data encryption
- SQL injection prevention
- Anti denial of service (Anti-DoS)
- Escrow security
- Biometric authentication
- Jail login
- Anti Distributed Denial of Service (Anti-DDoS)
If you are the person looking to start a crypto exchange business, then use our unique bug-free Bitcoin exchange script. So that you can launch your own Bitcoin trading platform within a few days at a reasonable price. Also, Coinsclone offers exclusive popular crypto exchange clone scripts that are available in the marketplace. Such as
- Binance clone script
- Paxful clone script
- LocalBitcoins clone script
- Coinbase clone script
- Remitano clone script and more clone scripts
Get a live demo of Bitcoin exchange software now….!