In 2023, building a crypto trading website or a mobile app with appealing functionalities is the optimal move to enter the crypto space and earn profits. However, the crypto exchange development cost is a mystery for all ambitious crypto startups. If you are one among them and excited to know the exact cost to create a crypto exchange platform, Don’t worry! You can get the perfect answer to your query in this article. (Split the para here)
At this current time, cryptocurrencies and crypto exchanges are at their highest peak. The usage of virtual currencies is increasing day by day. As a result, there is vast user traffic in reputed centralized exchanges and DeFi-based decentralized exchanges. So on the flip side, the demand for crypto exchange platforms is also increasing in the crypto industry.
The demand and need made many startups, entrepreneurs, and other business magnets start a crypto exchange business in 2023. On the other hand, some people believe they won’t be able to carry it into practice. Because they are imagining that the cryptocurrency exchange development cost is too high. But the truth is, the development cost is low and it depends on various factors.
In this article, I’m going to reveal the stuff on factors that determine the cryptocurrency exchange development cost. Also, How prolonged will it take, and how much it would exactly cost to build a cryptocurrency exchange?
Essential Factors that Determine the Cryptocurrency Exchange Development Cost
As we know, crypto exchange is the best online business idea that one can kickstart to reap more profits. Now, you might have a question about how to start a cryptocurrency exchange business in 2023. Building a Cryptocurrency exchange platform from scratch can be a dare and hard task which wants to be satisfied with the audience to gain the top result. Also, it consumes more time and will be more expensive.
In this case, you can get the best-class cryptocurrency exchange software from the reputed crypto exchange script from the reputed cryptocurrency exchange software development company – coinsclone. After buying this script, you just need to install this script on your web server, execute it, and launch your crypto exchange platform easily.
Well, you might ask us: how much does it cost to build a Crypto exchange using the script?. Some crucial factors determine the cryptocurrency exchange development cost. So, let us see them…
Budget and Time constraints
It is important to know the exact duration within which you need your crypto trading platform to be built. Because the development cost will vary according to the time needed to develop the exchange. For example, if you need your exchange platform within three days or a week then the cost will be quite high as many resources will be involved.
The next essential thing is, you need to have a maximum budget and financial support to start a crypto exchange. Also, all of your business’s long-term goals ought to fit into your budget. For instance, if your exchange faces any errors or bugs after deployment, you should have some backup amount to rectify and manage them. Additionally, you need to spend some funds on general factors. such as
- Legal compliance for your exchange platform
- Due diligence
- Providing wages to the employees
So ensure that you have adequate funding to start and run the cryptocurrency exchange platform.
Type of Crypto Exchange that you choose
Choosing the type of cryptocurrency exchange will also shape the cryptocurrency exchange’s development cost. Each type of crypto exchange platform has a different development cost. As of now, multiple types of cryptocurrency exchange platforms are available in the blockchain industry. such as
- Centralized crypto exchange
- Decentralized crypto exchange
- Hybrid crypto exchange
- Orders book crypto exchange
- Peer-to-peer crypto exchange
- Ads-based crypto exchange
Thus, choose your desired type of crypto exchange before leaping into the crypto exchange business.
License for Running a Crypto Exchange
Currently, many governments across the world charge high fees for granting licenses for running a crypto exchange business. But there are some exceptions, such as Kazakhstan, which gives the crypto exchange platform license at a low fee. Thus, discuss your needs with our team experts regarding where you can get the crypto exchange licenses quickly and at a lower fee.
You have to compete with other prominent crypto exchanges. So that you can work with an efficient payment processing service. The payment processing system must comply with PCI DSS to safeguard your exchange against cyber threats. Sure, the instant processing time and compliance will impact the crypto exchange development cost. But this feature is going to play an essential role in the success of your crypto exchange platform.
Networking with other Exchanges to Improve Liquidity
If your users didn’t find an order book and trading activity (i.e. liquidity) in your exchange, They will see your exchange with atheism. To overcome this, you need to link your exchange with any popular crypto exchange platform. Partnering with the larger crypto exchanges will result in enhanced liquidity. But boosting the liquidity of your exchange will upsurge the development work and simultaneously the crypto exchange development cost.
Implementing a High-Security Mechanism
To reduce the development cost, some startups and entrepreneurs are making mistakes in security aspects. When you are building a crypto exchange platform, you can not neglect security mechanisms like two-factor authentication, data encryption, and more. From recent reports, crypto exchanges have been the main target of cyber attacks. So, have an eye on security modules for your crypto exchange development
On the flip side, enabling security features will also shape the cryptocurrency exchange development cost. Here we list the powerful security features that you must enable in your crypto exchange platform.
- HTTPs authentication
- Biometric authentication
- Jail login
- Data encryption
- Two-factor authentication
- SQL injection prevention
- Anti Denial of Service(DoS)
- Cross-Site Request Forgery(CSRF) protection
- Server-Side Request Forgery(SSRF) protection
- Escrow services
- Anti Distributed Denial of Service
These are the must-have security features that you need to incorporate into your crypto exchange. These features will protect your exchange from hacking and other fraudulent activities.
These are the essential factors that decide the cryptocurrency exchange development cost. Now, let us see…
Salient Features that Shape the Cryptocurrency Exchange Development Cost
Order Book System
Supports the users to easily track & check all open orders, transactions, and history in a hassle-free way. All the buy and sell orders are recorded in the cryptocurrency exchange platform.
KYC (Know Your Customer) Integration
Validate the originality of your users with their government ID cards. Thus, this feature is integrated with the crypto exchange platform to check and verify the originality of the user.
AML (Anti Money Laundering) Integration
It assists you to stay away from money laundering and to prevent the flow of illegal money into your exchange platform. It is a worry-free way to refrain from illegal actions in the cryptocurrency exchange platform.
Cryptocurrency payment gateway integration
A Crypto payment gateway is a digital payment network where businesses can accept payments in digital currencies. It is a kind of software tool that facilitates the payment relationship between the seller and the buyer to transact cryptocurrencies.
Mobile Application for IOS & Android
We develop a cryptocurrency exchange software that supports the crypto trading mobile application. Therefore, your user can trade instantly with major platforms like Android and iOS devices.
Unlimited currency exchange pair
Our cryptocurrency exchange script permits your users to transfer the cryptocurrencies with fiat currency / traditional currency or any other digital asset.
In case, if there is no liquidity in the market, our Market Making feature will serve as a counterparty to place an order between the buyer and seller. Hence, your users will get a seamless and ideal cryptocurrency trading experience.
Liquidity is the most essential factor to consider while building a cryptocurrency exchange platform. Your exchange platform will be enhanced with our Liquidity API feature by dragging external providers.
Our bug-free cryptocurrency exchange script comes with margin trading functionality and with that, your users can now borrow and trade virtual cryptocurrencies to reap a good amount of profits.
Cryptocurrency Wallet development & integration
Crypto wallets play a paramount role while developing a crypto exchange. It helps your users to store, receive, and transfer cryptos & other digital assets securely. We implement high-end security features to develop a secure crypto wallet.
IEO Integrated Module
Initial Exchange Offering is the trending crowdfunding model in the crypto industry. It is the token sales platform, where all the newly released tokens will be sold to raise the funds. If you are an exchange owner, then you can select the IEO projects to be listed on your exchange platform.
Third-Party API integration
API (Application programming interface) is a group of functions and it allows the application to access the features of the operating system or other external services. So you can implement an API to improve the functional operations of your crypto exchange.
White Labeling Services
White label cryptocurrency exchange solution is the complete cryptocurrency exchange business package. Here you can provide another name for the actual industry product name i.e(RE-BRAND). This service helps you to modify your logo, functionalities, and theme style for your crypto exchange platform. Also, by using white labelling service, you can launch your feature-rich crypto exchange quickly.
Customized admin panel integration
Admin panel is a responsible part of the crypto exchange. Here admin can monitor the trading fees and able to access user details. Such as email, contacts, and other parameters. This admin panel assists you to control the crypto exchange platform from end to end. As an exchange owner, you can customize all the settings and other functionalities from your end.
By integrating these exemplary features into your exchange, you can easily succeed in the crypto space. But these features also impact the cryptocurrency exchange development cost.
Now, you might ask…
What will be the Exact Cost to Build a Cryptocurrency Exchange?
The cryptocurrency exchange development cost will be actually based on the crypto exchange development company that you have chosen to develop an exchange. But it also depends on the trading features that you want to enable in your exchange. which we’ve discussed above.
There are three essential things that you must consider when planning to create a crypto exchange platform, which also influences the exchange development cost. Such as
- The volume of crypto that you want to integrate
For developing a crypto exchange, you need to have an in-depth experienced team on blockchain and cryptocurrency. So this also impacts the crypto exchange development cost.
Here is the exclusive table that describes the number of developer experts with an hourly rate(USD) for developing a crypto exchange.
Apart from this, personal customization also makes a difference in the development cost of an exchange. However, as discussed earlier in this article, crypto exchange script is comparatively more cost-effective rather than developing an exchange from scratch. The price of a cryptocurrency exchange script with the essential features, security modules, and more will range from $8500 to $14,000. But it will slightly differ from customer to customer based on their business requirements and the location.
We hope we have answered your question: how much does it cost to build a cryptocurrency exchange? The only thing you need to do from your side is, connect with a professional cryptocurrency exchange development company in the industry. One such best professional development firm in the industry is Coinsclone.
Coinsclone is an experienced and well-known cryptocurrency exchange development company in the crypto industry. We are masters in offering first-class cryptocurrency exchange scripts. Our ready-made script helps you to launch a top-notch crypto exchange within a few days. Our cryptocurrency exchange scripts are bug-free and extremely responsive without any latency. If you are planning to launch your own cryptocurrency exchange with advanced trading features at an affordable cost. Then get in touch with our team of experts and we are happy to collaborate with you!
If you still have queries on the crypto exchange development cost, then contact us right now!