The right way to kickstart the operations of a Digital asset exchange software
A digital asset exchange software enhances the traceability of assets through digitization. The core tasks involve matching the different orders raised by buyers and sellers on the platform, executing the transactions safely, and storing all the data on the blockchain blocks securely. Due to the rapid rise in digital trading of tokens and currencies, it has created a dynamic ecosystem. However, there are some complexities and there is a need for regulating the flow of trade.
Some ideas to follow for establishing a reliable Digital asset exchange software are
Utilization of blockchain technology - All the assets that are being traded need to be stored securely. Blockchain technology helps in executing transactions safely and also tracks data for easy audits. Since it operates based on a distributed ledger that is publicly accessible, it fulfilled the requirements of durability, security, and transparency. Hence, it is a must to integrate blockchain technology into your Digital asset exchange software.
Focussing on enhancing the business factors - The firms aspiring on integrating digital trading into their operations have to concentrate on increasing the value of their token offered to the investors. They have to provide margin trading and lending facilities to the traders. A secure wallet has to be established for storing the coins of the investors. A comfortable user interface has to be created for an exchange platform.
Concentrate on incorporating a comfortable user interface - An intuitive user interface is crucial for higher retention among the traders. The basic operations must be made easily accessible through simple navigation. The functions such as sign up, log in, deposit, and withdrawal must be made convenient to execute.
Introduce robust security measures in your platform - A secure trading experience is a must-have in every exchange. You must safeguard your user’s funds and data from hacking and phishing attacks. Hence, have multi-security layers through a registry lock system, anti-DDoS protection, two-factor authentication, end-to-end encryption, and jail login.
Integration of wallets - The wallet plays an important role in storing the coins or tokens of the investors and managing their funds. AML (Anti Money Laundering) guidelines would have to be followed for setting up limits to the platform and preventing the occurrence of any scams.
Support for multiple coins - The major cryptocurrencies and fiat currencies must be accepted for trading purposes. Also, stable coins such as USDC, XLM, and Tether need to be permitted. It would be tough to support so many coins at one shot. At least, ensure that support is given for the leading cryptocurrencies such as Bitcoin, Ethereum, and Litecoin are accepted.
KYC verification - KYC (Know Your Customer) verification process is mandatory in almost every jurisdiction. Hence, the background of all the users must be checked rigorously before permitting them to trade on your exchange platform. This will ensure that only legitimate and authenticated parties get access to the users’ accounts.
API integration - API refers to the Application Programming Interface. It consists of a set of well-defined rules for determining the protocol to enable two applications to interact with each other. In a crypto exchange, several API’s would have to work in tandem simultaneously. API’s are crucial for increasing the flow of liquidity to your exchange by tying up with the leading cryptocurrency exchanges in the market. API’s also help in ensuring access to real-time market data. Hence, no operations can be conducted without the presence of API’s on a crypto exchange.
Inclusion of a robust architecture - Since running a crypto exchange platform is quite a complex task, a secure storage system is needed for keeping the crypto-coins of the investors. The cryptocurrency exchange will comprise several components and has to be hosted at different servers with interaction enabled through APIs.
Kickstarting the development of a cryptocurrency exchange platform involves a lot of phases such as analysis of the technical requirements, designing prototypes, integration of a user interface, web application development, implementing customized features, and extensive quality assurance testing. Deploying a white label solution is beneficial for saving time and resources when compared to developing a custom exchange from scratch.
The cost of the cryptocurrency exchange will depend on the features to be integrated into the platform. The charges imposed will vary from one exchange development company to another depending on the complexity of the project, skill-sets of the team members involved, and local regulations in place. Obviously, the cost to establish a white label crypto exchange is relatively less than building an exchange from scratch.
Hire a reliable cryptocurrency exchange development company that is at the forefront of creating blockchain applications. They will help you provide customized solutions related to white label crypto exchange development and hit the ground running quickly. State your business requirements clearly beforehand and schedule an appointment with their experienced developers for getting a feasible package soon.
