Hi! Investing in cryptocurrencies has become the vogue right from a few years ago. People invest in cryptocurrencies with the speculation that they will pay them off in the long term. Are you willing to turn the table towards yourself by launching cryptocurrency exchange software? Then this is high time to actualize your plan by harnessing the white-label cryptocurrency exchange development solution.
A few years back or probably a decade ago, people weren’t confident about shelling out money in cryptocurrencies. Whereas now (as of 2021), the user index shows that the confidence level of people investing in cryptocurrencies is 97%. And before everything, the market size for cryptocurrency will reach $1087.7 million by 2026. Get to know more about it in this article.
Cryptocurrency Exchange Software – What is It?
An online medium that facilitates the trade of cryptocurrencies is called cryptocurrency exchange software. It can either be a centralized exchange software or a decentralized exchange software. Also, the exchange software will have in-built security features, a trading engine and employs a matchmaking algorithm.
Detailing On The Working Of The Cryptocurrency Exchange Software
The working of cryptocurrency exchange software resembles more of a stock exchange software. However, unlike traditional stock exchange platforms, the crypto exchange platforms function 24×7, and hence, traders can exchange their cryptos on any day of the week or time.
Step 1: Before leading to trading, all the users must sign-up (if the user is new to the platform) or log in (for existing users).
Step 2: Adding cryptocurrencies after creating a crypto wallet is the second necessary step to be completed. Users can choose and buy cryptocurrencies on the platform by paying for them through fiat currencies (of their choice).
Step 3: Next, the buyers will raise the buying request, and sellers on the platform will raise the selling request. All these requests from buyers and sellers will be added to the order book.
Step 4: Once the buyers and sellers agree to exchange the cryptocurrencies, then the buyer transfers the amount of the chosen crypto, and upon receiving them, the seller will transfer the crypto.
The functionality of the crypto exchange platform is as simple as other traditional stock exchange platforms. Notably, if it is a centralized exchange platform, then the platform owners will be in charge of controlling the whole functioning of the platform.
And different exchange platforms will have different types of security features and varying trading fees.
Diverse Features Of The Cryptocurrency Exchange Software
- Live tracker
Every cryptocurrency is subject to price fluctuations. The purpose of a live tracker is to show the price of the cryptocurrency at the given time. Hence, based on that price, buyers/sellers will decide to trade cryptocurrencies.
- Wallet
Cryptocurrencies can only be stored in either a hot or cold wallet. Buyers can transfer the cryptos to the sellers’ wallets.
- Swift trading
Invest in a crypto trading software that supports swift trading of cryptos, which will be appealing to your platform users.
- Staking
Traders can gain staking rewards if they stake their cryptos on the platform for a specific time. And the staking rewards provided to the buyers/sellers will absolutely be based on the number of cryptos they stake and the span.
- User management
The admin of the platform is responsible for processing the KYC procedures and other user-related management activities.
- Transaction summary
The transaction summary can be viewed by users and the admin to acquire insights into the total number of transactions and associated details.
- Analytics
Furthermore, the analytics tab helps the admin to gain an idea of the overall activities that happened on the platform. For instance, the number of new users who have signed up, the number of transactions, the most commonly exchanged cryptos, etc.
- End-to-end encryption
Keeping the credentials of users is important, and for that, all the data have encryption.
- Anti-Distributed Denial of Service
Any bulk number of trading requests on the platform will be denied by the software since it may be a hack or a malicious activity. Integrating the Anti-distributed denial of service will be helpful in keeping such activities at bay.
Final thoughts
The features discussed above are vital ones. While heading to develop the crypto exchange software, choose the white-labeled software from Appdupe, which is a pre-developed one. Thus, you can append the needed customizations into the software and launch the platform swiftly.
