Table of Contents
What is cryptocurrency? Why is it trending in the market today?
Cryptocurrency, as the term is coined, gives a fair idea of its origin – it is a digital currency, trading which involves high encryption for extra layers of safety and security. Unlike traditional currencies, cryptocurrency is terrifically decentralized making it zero-vulnerable to hacking or playing malware; hence, this digital currency is now getting recognized and used as the most secure way for financial transactions – cryptocurrency in banking, for instance.
The trend of using cryptocurrency is surging like never before and, therefore, this business is catching everybody’s eyeballs. All you need is the best cryptocurrency development company to build a customized product to kickstart this most prolific venture.
Cryptocurrency for various trading and other financial transactions has been immensely popular these days, and the trend is likely to increase in the coming times. The research firm giants such as Polaris, Statista, and CNBC have predicted skyrocketing growth in cryptocurrency exchange for trading and investment in the future. The numbers tell the tale –
The research hints that it is a perfect time to venture into the cryptocurrency business. You can opt for a cryptocurrency exchange app development that would prove to be a digital weapon for you to win the competitive market battle.
How to start a crypto exchange business app?
The massive growth in cryptocurrency exchange is by dint to the immensely increasing number of users worldwide. Not only do experienced traders invest and rely on crypto exchange but also novices and young entrepreneurs with crypto business ideas are also sincerely investing in the digital currency business.
Typically, if we define the cryptocurrency exchange business, it means providing a powerful platform to customers who can buy and sell cryptocurrencies instantly.
Using the cryptocurrency exchange platform, users can trade one digital currency for another; for instance, Bitcoin or Litecoin for Ethereum or vice versa. Here are the steps to follow –
Handle legal affairs
Though popular, the cryptocurrency exchange business is still under the scrutiny of many governments. The cryptocurrency trading platform should have the necessary licenses and permission to stay legal and avoid any statutory hassle. From a ‘know-your-customer’ procedure mandatory to several taxes by the governing body and reserve banks should be made clear before you start a cryptocurrency app development with any tech partner. It is always advisable to hire a crypto attorney for legal advice.
Depending on the type of cryptocurrency exchange app type, the application development cost would vary from minimum to maximum price. You also have several funding or finance options to obtain capital such as crowdfunding, angel investors, and bootstrapping.
Get the best app development company
For cryptocurrency app development, you need to head toward searching for the best mobile app development company that is up to the mark in delivering customized solutions using the latest tools and technologies. However, for buyers, it is always recommended to go through a mobile app development guide so that you gain some basic knowledge and can discuss your project better with your tech partner.
Build a network within the app
The Cryptocurrency app business requires a solid network of traders, brokers, and other exchanges to add liquidity and maintain it. Using different popular APIs, you can create a powerful network for business partnerships.
Collaborate with payment processors
For the overall cryptocurrency app growth, collaborating with payment processors is quite an important factor. Industry specialists recommend that you may have the lowest transaction rates and fee structures, and try to stay clear so that users don’t feel betrayed. Staying away from hidden costs and offering them crypto exchange with necessary compliances will create your brand value.
Assure optimum security
Implementing the best practices assuring security is the core of any cryptocurrency exchange business. Hence, during cryptocurrency business app development, extra care is taken for encryption, two-factor authentication, eWallet creation, and interactions with other APIs. Hackers, these days, primarily target crypto business applications due to high demands. The ultimate aim is that users should be able to buy cryptocurrency confidently.
Deployment of the application
Before launching your crypto trading platform, it is crucial to test the app with all rigorous and stringent sets of testing tools. Going live via beta testing is preferred in most cases.
Blockchain and Cryptocurrency
Blockchain is the foundation feature of cryptocurrency as it makes this digital currency super secure. The growth, trust, and popularity of cryptocurrency are by dint of blockchain because cryptocurrency heavily depends on its network to exist in the market. Not limited just to the finance sector, blockchain technology for multiple industry verticals is also like a boon where security is a major concern.
Types of Cryptocurrency exchange platforms
Ahead of any cryptocurrency exchange business app development comes its types. You need to glance at various cryptocurrency platform types and their functionalities accordingly.
Centralized Exchange (CEX)
An exchange operator (typically a third party) superintends this type of crypto exchange. The main task of this operator is to assure that customers sign up and that the trading they do goes through smooth transactions across the app. CEX platforms allow you to link your bank or debit/credit card to buy cryptocurrency, sell it or even exchange it with other digital assets. As the exchange is centrally controlled, they offer more reliability through crypto-to-crypto and fiat-to-crypto trades.
Examples: Huobi, Coinbase, and Kraken.
Decentralized Exchange (DEX)
Surpassing everything, on Decentralized Cryptocurrency Exchange, buyers and sellers come together and perform transactions directly. These are called peer-to-peer transactions and they are not dependent on third-party intervention. Though decentralized cryptocurrency exchange offers more security, on the downside, users are more prone to lock themselves out of their funds. In addition, trading of fiat currencies for digital assets is also restricted on this exchange.
Examples: IDEX, Uniswap, and Sushiswap
Hybrid Exchange (HEX)
This exchange is the latest entry in cryptocurrency trading online, and it is still in its infancy. Nevertheless, crypto experts are trying to make a hybrid platform (that takes all the goodies from both centralized and decentralized cryptocurrency exchanges) the most powerful and convenient. The blended technology shall allow crypto users to have lightening fast transactions with unmatched security assurance.
Examples: Nash exchange and Qurrex exchange
Popular Cryptocurrency exchange apps
On the market are several renowned cryptocurrency exchange applications available. You may study each of them and their business strategies before going for a cryptocurrency app development customized to your needs. Here are the top cryptocurrency exchange platforms –
How to build an app for the Cryptocurrency exchange business?
Unlike other mobile app development, crypto exchange business application has more concerns about safety, security, and speed in all trading and transactions. Cryptocurrency trading applications shall follow the same steps as the other mobile app development does while keeping that in mind. Here is a quick look at the process –
The idea includes intense market research and studying consumer behavior about trending cryptocurrencies such as Bitcoin and Dogecoin. You may have to have a constant eye on the cryptocurrency market’s ups and downs to prepare yourself for the future.
The execution phase contains a complete design and development of a cryptocurrency exchange app. The primary focus on UI/UX shall help you build an intuitive system that would entice and engage the users and also improve the user-retention ratio. The developers you have hired for your crypto exchange app development shall follow predefined business objectives to build a customized solution.
Cryptocurrency app Design
The design has been quite an essential factor in cryptocurrency exchange business mobile applications because if users find it complex, the chances of success decline sharply. The design stages of the wireframe and prototype should be carried out carefully.
Cryptocurrency App Development
Integrating APIs and the latest security measures
Cryptocurrency app development shall include APIs and other strict measurements to strengthen security. Using the best features of Blockchain to build a cryptocurrency solution shall assure that the admin panel server-side functioning such as user authentication and the core functionalities such as trading and exchange of cryptocurrency such as bitcoin is safe and secure.
The Importance of APIs
After designing and developing, the final product shall go for testing and deployment. You may opt for MVP (Minimal Viable Product) to save money and time as releasing the beta version of the cryptocurrency exchange business mobile app with specific features and functionalities initially will give you a fairer idea of how to improve the product later on.
How much does it cost to build a Cryptocurrency exchange app?
You are thorough with a comprehensive guide to cryptocurrency app development, and it shall end with the cost to build a cryptocurrency exchange.
The average costs, as per industry experts, may vary from USD 100000 to USD 500000 depending on the type of crypto exchange app you want to make and the number of features and security tiers expected.
Let’s try to understand cryptocurrency app prices for different phases.
Research and designing cost
Detailed market research for the cryptocurrency business should be performed thoroughly to make a foolproof plan. The first phase to think and execute is designing the cryptocurrency app which should visually appeal to users.
Today, most of the budget goes into the aesthetics of mobile apps, and hence, cryptocurrency app designing shall take up to USD 5000 to USD 10000 if performed by the best UI/UX designers.
App development cost
Most mobile applications would have responsive designs because today there are multiple mobile devices such as Smartphones and tablets users account. The end-to-end app development for cryptocurrency businesses includes designing, development (front end and back end), and database integration.
App development for your cryptocurrency business shall cost you between USD 40000 to USD 70000.
Cost of cryptocurrency API integration
Mobile app development of all kinds leaves scope for API integrations to make things simpler. That said, third-party app integration through APIs would augment your product without much effort. Such APIs shall make your product more powerful, and seamless, and improve its functionalities and efficiency by providing a holistic experience to users.
API integration for a cryptocurrency exchange app may cost you between USD 50000 to USD 75000.
Blockchain security cost
All crypto exchanges are powered by robust Blockchain technology. The technology carefully executes payments, exchanges, orders, and trading. Blockchain technology is a major factor in cryptocurrency exchange business applications as it boosts users’ confidence to enjoy the crypto app without worrying about cyberattacks.
The blockchain creation on your cryptocurrency app shall cost you around USD 15000 to USD 30000.
Cost of Cryptocurrency app testing
The last phase of the cryptocurrency exchange business app is the testing of the application through various licensed tools. Fixing the bugs, nullifying escalations, identifying overall flaws in the apps etcetera come under quality assurance through app testing.
The testing phase in the Cryptocurrency app development cycle needs you to shell out around USD 20000 to USD 30000.
Are you up to developing a Cryptocurrency exchange business application?
If you want to start a cryptocurrency exchange business, the time is now. Cryptocurrencies such as Bitcoin, Cardano, Litecoin, Binance Coin, Tether, Dogecoin, and USD Coin are ruling the market and hundreds of thousands of investors and crypto traders are joining every day.
You may start brainstorming crypto business ideas, find and contact renowned and experienced mobile app development companies, and start executing your plan to have the best cryptocurrency mobile app.