A few facts deserve a glance!
Between October 2018 and June 2019, the world’s top three crypto exchanges were valued as follows:
- Binance had a market capitalization of $1.3 billion.
- Coinbase, post a $300 million fundraising round, was valued at $8 billion.
- Kraken valued itself around $4 billion.
If these exchanges could start as minnows and rise as phoenix, there is no reason why you couldn’t. Okay, may be you are thinking of it as it too high a goal, but you can certainly be the next WazirX or Binance.
However, to reach there, you will have to make a start at the least.
You can collaborate with a company known for providing crypto exchange software solutions to help you launch your exchange platform. Most of these companies can provide you with two solutions to build your exchange — one is developing the exchange from the ground up and second is a white label solution.
The white label solution is a market-ready solution with ready-made backend and easy-to-customize front-end. It accelerates the deployment process and reduces the development cost. Most businesses today leverage the white label exchange solution to quickly launch their exchange platforms into the market.
You may start with the most basic crypto exchange function of order book trading, while expanding to advanced services later. However, three features you cannot compromise on include security, scalability, and performance.
- Security is paramount
Hacking instances of Mt Gox and BitFinex underline the importance of security in an exchange. A failure could make you liable for millions of dollars, or worse. Statistics reveal that about 54% of cryptocurrency exchanges have security holes that hackers take advantage of. The code that your exchange runs on should be bug-free and there should be a well-tested security paradigm to safeguard users’ interests.
Some key steps to ensure security are Registry Lock, Domain Name System Security Extensions (DNSSEC), Anti-DDoS module, and Web Protocol Security. 29% of exchange platforms lack headers like HTTP Strict Transport Security (HSTS), X-Frame-Options, Content Security Policy (CSP), and X-XXX-Protection.
- Scalability issues
Your exchange requires a flexible architecture which can be quickly scaled up when the need comes. The microservice architecture is module-based, making it easier for the exchange owner to plug or remove modules. Moreover, you can proceed with the development of one module separately without affecting the functionality of other modules.
Data attached to independent modules can be moved to other components via an API. What is more, developers can use different technologies for various modules, depending on specific requirements.
- Performance parameters
A string of techniques works in tandem to improve the performance of a crypto exchange. The trading engine lies at the core of efficiency. Some other useful techniques are minimizing URL redirects and optimizing images. You also need to ensure a user-friendly interface so that your users find it easy to trade on your exchange.
Performance is not a one-time shot. Rather, you will need to work on it continually. A process should be designed to lay down performance reviews at pre-determined time intervals and steps need to be taken to modify things, if there is a requirement.
If budgetary constraints are preventing you from launching your crypto exchange, you can opt for a white label exchange solution. However, whether you leverage a white label solution or choose to build your exchange from scratch, ensure security, scalability, and performance to roll out the best cryptocurrency exchange software.
At Antier Solutions, we offer customized solutions to help start-ups and well-established organizations launch their crypto exchange. We specialize in delivering white label exchange solution capable of executing 100,000 transactions per second, and at the same time, we can build a custom exchange from scratch as per your business requirements.
Schedule a free demo of our white label exchange solution or connect with our subject matter experts to share your business needs or learn more about cryptocurrency exchange software price.