What Does It Cost To Build A Crypto Exchange?
Cryptocurrencies are the latest buzzword in the finance world. Since 2008, when the first cryptocurrency bitcoin was launched, traders around the world have been looking for ways to enter the crypto world. A cryptocurrency exchange is a great way to enter this market and earn a huge chunk of profits. For this very reason, entrepreneurs around the world are investing and launching their own trading exchanges with cutting-edge features and technology.
If you plan to launch your own cryptocurrency exchange software, this post is a must-read for you. Here in this post, we will discuss aspects that directly impact the cost to build a cryptocurrency exchange. So, without wasting much time, let’s get started.
Crypto Exchange Development Cost: Development Method
There are basically two development methods for the creation of the cryptocurrency exchange. Depending upon which methodologies you choose, the development cost may vary. Two development methods are –
- Create from scratch.
- Cryptocurrency exchange clone script.
Now let us have a look at both of them and discuss them in detail.
Create From Scratch
The software development team builds an application from the ground with extraordinary features in the scratch development process. As you are creating a new platform, this development process takes more time, and thus the cost of development is high too.
Due to the high development cost, startups and newbie entrepreneurs don’t go for the scratch development process. Not only cost, but the white label crypto exchange development also needs a pool of developers and special technical support as well. Thus making it the preferred development process for big organizations.
Cryptocurrency Exchange Clone Script
This is a relatively fast development process as the software is pre-built and ready to launch. Clone script software solutions are more suitable for startups as they can instantly launch an application and enter the crypto market. This app development methodology is cost-effective as the script is ready-made, and even if you choose to add minor customization, the development cost will not be as high as developing the application from scratch.
Not only cost-effective, but these cryptocurrency exchange clone scripts are also tested, verified, bug-free, and can be tailored as per requirement. If cost-effective and ready-to-launch trading platforms are what you are looking for, then clone scripts are the best option.
Different Types of Crypto Exchange
There are different types of cryptocurrency exchange, and depending upon which platform you choose, the development cost may differ. This is due to the fact that each type of crypto exchange offers certain features to its users. Different types of cryptocurrency exchanges are –
- Centralized cryptocurrency exchange
- Decentralized cryptocurrency exchange
- Hybrid cryptocurrency exchange
- Orders book cryptocurrency exchange
- Peer to peer cryptocurrency exchange
- Ads based cryptocurrency exchange
Depending on which type of trading platform you plan to build, the development cost may vary.
Crypto exchange user interface
The user interface of your crypto exchange defines the success of your platform. As an investor, the main goal is to build an easy and user-friendly cryptocurrency exchange with all the high-end features. For a good user experience, you can add these features to your crypto exchange software.
- Fast and easy sign-in process
- Easy to deposit and withdraw currencies
- Easy access, monitor previous transactions and booking history.
- Infographics and charts
- Simple dashboard
To create a user-friendly cryptocurrency trading software, connect with an experienced development agency. Depending upon the expertise of your development agency, the cost may increase.
Crypto Exchange License
Similar to a brick-and-mortar business, you need to apply and obtain certain licenses to run a cryptocurrency exchange. Depending upon where you are from, the government license fee may change, which directly impacts the cost of crypto exchange. Discuss the same with the crypto exchange development team for faster approval of license at a lower fee.
For investing and trading money, a crypto wallet is a must. All the digital assets traded via a cryptocurrency exchange will be stored in the eWallet. There are different types of wallets –
- Hot wallets
- Cold wallets
- Mobile wallets
- Desktop wallets
These are a few types of digital wallets that are mostly used to send and receive digital coins over a crypto exchange. Depending on which types of digital wallets you plan to add to your crypto wallet; the development cost may rise. Even the integration of multiple wallets with your cryptocurrency exchange adds up to the development cost.
Crypto Exchange User Panel
The user panel allows the registered users to view and interact with the crypto exchange software. And thus, a user panel is extremely important for any exchange platform and needs to be tested for maximum efficiency. Here are some of the features that you can add to the user panel –
- Sign-in and Sign-out Process:
The first step while creating a user panel is the easy sign-in and sign-out process. Creating a simplified sign-in and sign-out process improves their overall experience with the platform.
- Fast verification process:
Know your customer (KYC) is a must-have feature for any user panel. Make sure you follow a simplified and fast verification process so that users can swiftly move forward to trade digital assets via crypto exchange.
Other features on the user panel include –
- Intuitive app interface.
- Blockchain security
- AML features
- Multi Payment gateway
Depending on what functionality you plan to offer to your users, the development cost may vary.
Crypto Exchange Admin Panel
The admin panel is from where you can manage and overview everything that’s happening on the cryptocurrency exchange, from viewing users’ information such as email, phone number, name to exchange details such as trading fees, total transactions, and others. Admin panel is basically the control house of cryptocurrency exchange. Depending on what features you want to add to the admin panel, the overall development cost is affected.
Aspects that have a direct impact on the development cost
- Front-end development
- Back-end development
- Integrating APIs
- Blockchain Integration
- Testing and Security
How much does it cost to build a cryptocurrency exchange?
Depending upon the features, functionalities, and technologies mentioned above, the development cost of building a cryptocurrency exchange may vary. A rough estimation, the basic starting price is around $30,000 if you are planning to develop it from scratch and $10,000 for a white label cryptocurrency exchange clone script. The cost might move up with the addition of new functionalities and technology integration.
With cryptocurrency reaching new heights every day, the demand for cryptocurrency trading platforms is also increasing. These platforms are an easy and convenient option to trade these assets and enter the hot crypto market. The popularity of these platforms is why building a cryptocurrency trading exchange is a great investment and profitable business idea too.
While choosing a crypto app development company for your platform, ensure that you do thorough market research before hiring one. Positive reviews, communication, and good communication can be the first stage to move forward with the development of your project.