How Much Does It Cost To Build a Cryptocurrency Exchange?
Currently, cryptocurrency and Cryptocurrency Exchange Software Development is the new buzz in the digital world. The demand for crypto exchange platforms is at its highest peak. The craze for digital currencies is rising in people, so entrepreneurs are launching crypto exchange platforms to earn the maximum profits from this hot trend.
The crypto exchange platform is a digital platform to buy, sell and exchange cryptocurrencies. A few examples of the crypto exchange software are LocalBitcoins, Remitano, Coinbase Paxful, Binance.
Are you planning to launch your cryptocurrency exchange software? Are you worried about the cost? If yes, then read this post till the end. Here we have outlined the important factors that play a major role in determining the cryptocurrency exchange software development cost and overall costs.
Time and Budget Constraints
When you plan to start an app, you have a basic idea of how much time is feasible to wait for your software to get ready. And the cost directly depends on the time taken by the development time. If you want to launch your software within a few weeks, the cost can be high. On the other hand, if there is no specific time constraint and you allow the development team to work flexibly, it may cost less.
Another fundamental thing is the budget can afford. And the development company will offer you the functionalities that come under your budget. Moreover, on the safer side, your budget should include the cost for the plans if you want to customize your software later and include the maintenance cost.
Therefore, if any issue occurs later, you must have some backup amount to rely on so that the development process does not halt. Other than this, you may have to spend on the following things also:
- Legal compliance
- Due diligence
- Payment for the employees
If you want to run the process smoothly, plan your budget intelligently.
Type of The Cryptocurrency Exchange Software Development
Different types of crypto software cost you different amounts. Following are the types of crypto exchange:
- Centralized crypto exchange
- Decentralized crypto exchange
- Hybrid crypto exchange
- Orders book crypto exchange
- Peer to peer crypto exchange
- Ads based crypto exchange
The price of the software depends on the functionality of the crypto exchange. Out of all the types mentioned above, centralized and decentralized crypto exchange software is in high demand. You have two choices if you want to go with centralized or decentralized platforms.
- White label crypto exchange
- Crypto exchange software development from scratch
White label crypto exchange is comparatively cheaper than building software from scratch. When you choose white label exchange, you can enter the market quickly, which can be an extra advantage. So, it is upto you to decide which type suits the best for your business needs. Also, you can customize the white label solution as per your requirements, like adding/removing certain features.
Crypto exchange development from scratch is a challenging and costly task. It demands great efforts from the developers, so having an experienced and well-trained team for the development team is a must. So, it can be a costly and time-consuming process. If you need something new and innovative, you can start your project from scratch, provided you have a huge budget and no strict time constraints.
Features That Affect The Development Cost
One of the important factors is the features of the software. If your software simplifies the crypto exchange process and saves time, you can only retain your users. So, without the essential features getting the target audience is tough. At the same time, more features mean high development costs.
Here are the salient features of the crypto exchange software that impacts the development cost:
KYC is for checking and validating the authentication of the user. It asks for the users’ identity proof to ensure no false user can register on the platform.
The crypto payment gateway is a digital platform to make transactions in digital money. It is like a bridge between the buyers and the sellers. Moreover, the exchange payment gateways also allow the users to make transactions via different cryptocurrencies like the other apps.
IEO Integrated Module
Initial Exchange Offering(IEO) is a token sales platform for newly released tokens to raise funds. The exchange owners can select the IEO projects to list on the exchange platform.
Third-Party API integration
Application Programming Interface (API) is the cluster of functions it provides access to the operating system’s features or other external services. Therefore, this feature is mandatory to enhance the functional operations of the crypto exchange software.
Personalized Admin Panel
Admin panel is the critical component of the crypto exchange platform as admin plays the most responsible role in the whole process of crypto exchange. Admin has various tasks like monitoring the trading fees, accessing user details, etc. The exchange platform owner can tailor the security features, settings, and other functionalities. Therefore an advanced crypto exchange platform means more secure and safe transactions.
Crypto Exchange Software Development Skills
The development skills of the company that you decide to hire must have a team of proficient exchange developers that can produce unique and advanced-level software. And the proficiency of the team members directly shapes the cost structure of the exchange platform development cost.
The developers will charge a higher hourly rate depending on their knowledge and experience. As you already know that exchange development is a complex and challenging task. So, you have to pay a considerable amount to build your exchange platform, but yes, you need to pay depending on the knowledge and demand of the development team.
Tech Stacks for Development
To implement the above features, particular technology stacks that are used contribute to the price. For example:
- Tool – Xcode 9.3
- Format – JSON
- DB – Mysql
- Webservice – AFNetworking, Swifty JSON, Alamofire
- Design – MVC, MVVM
- Language – Swift (4.2)
- General Functions – APNS notification, Firebase notification, Cloudinary, Payment gateways, etc.
- Tool – Android Studio 3.1.3
- Web Service Format – JSON Format
- Language – Kotlin
- Design – Material design
- Web Service – Rest APIs
- Database – Backend database(MySql), SQLite local database, Room local database
The Overall Cost of the Crypto Exchange Platform Development
With the features and the other essential factors mentioned above, the development cost can vary from $15000 – $50000.Also, if you plan to integrate some other advanced features, the cost can rise above $50000.Also, the total cost can be different depending on the Geo-location of the software development company you hire. For example, Asian countries charge lesser than the countries like Australia, the USA, Canada, etc.
Launch Your Crypto Exchange Platform!
Now, you are aware of all the major factors that affect the development cost of the crypto exchange platform. So, you can plan your development budget, keeping all the points mentioned above in consideration. Another advantage of knowing the detailed view of the development cost is that you can make the necessary changes and enhancements if you have prepared your plan before.
So, contact a reputed NFT token development company without much delay and discuss your projects. Then the team will let you know about the estimated cost then you can go ahead if you find it a feasible option.