If you have an entrepreneurial mindset and want to join a large technological revolution, you can make your own Bitcoin exchange. You can make one even if you don’t know the technical reasoning behind it or have limited capital to invest in infrastructure or software.
There are software packages on the market that can help you get started with your Bitcoin trading platform. For example, companies like BTCTrader provide a fully customized, managed, and branded white-label service. This service gives you the ability to make your own bitcoin exchange within 45 days.
Understand Your Area’s Regulations and Operations
What countries do you plan on having your crypto exchange accepted in? What is the market that’s in this area and how will you showcase your exchange to them? What does the country regulations say about exchanges and their laws behind it?
This is an important step as it will help save you legal trouble. You need to understand what legal laws your target country has and follow them fully. Doing so will keep your crypto exchange in operation and prevent it from being shut down.
What Cryptocurrencies Do You Intend to SUpport?
You should do some market research on the cryptocurrency you want to add to your exchange. Are you only supporting ERC-20 tokens or are you accepting outside altcoins as well? If so, you’ll have to explain why.
When you’re brainstorming, you have to determine if you’re going to transfer dollars into crypto. If you do, then you’re going to need a bank to act as a payment processor. Always remember the country that you’re operating out of and their transaction times.
White Label Solution
There are a couple of options that you can take. You can choose a white label exchange software to create a cryptocurrency exchange. There are a lot of companies that sell software to help you jumpstart your cryptocurrency exchange. But make sure that they are legitimate as there is a multitude of scammers that exist.
White labeling is a great idea for people that have limited capital. Or if one of the more crucial steps of your platform such as the trading exchange or the liquidity is still developing. And you can apply your own branding to the white label solution. Try this if you want to outsource your software and want to get your platform created faster.
When you create a cryptocurrency exchange, you need the trade exchange as the foundation. Your trade engine needs to handle:
- Calculating balances
- Executing transactions
- Lets the calls access the user books
- Matching the buy/sell transactions on the exchange
If it’s too difficult to make it from scratch, you can use a white label solution to assist you. Make sure that your trading engine is tested to ensure that it works properly. This will help your exchange function correctly and scale when there are multiple users on it.
Overall, you need to make sure that you brainstorm effectively before you create a cryptocurrency exchange. When making it, make sure that you have a strong team behind you as they can help answer customer questions while also help you improve the daily operation of it. Thus, stay diligent and keep working to make your exchange more prevalent in your audience’s lives.