In recent years, cryptocurrency exchanges witnessed a steady increase in the trading volume, and the scenario continues.. There are different types of crypto exchanges in the market: some provide advanced trading & coin exchanges while others are good for margin trading.
“With the number of digital assets increasing, many tech-savvy people have already engaged themselves in developing cryptocurrency exchange software with varying features.”
Crypto Exchange Platform Business
People involved in cryptocurrency exchange software development business should keep in mind a set of protocols (listed below):
- Choosing the Locality to Run the Business
* You can start a crypto exchange, either targeting the local regions or the entire world. However, for both the operations, you need to get approvals and licenses from the respective authorities.
* It’s better to consult a professional who is an expert in providing legal advice that helps your business comply with the local/international rules and regulations.
2. Following the KYC Norms
* All governments across the globe now require crypto-based business owners to stick with the KYC norms. This is a big step towards anti-money laundering. So, you must set up a legal KYC verification for your exchange.
3. Partner with a Payment Processor
* To accept fiat payments on your exchange, you have to partner with a bank or a reliable payment processor. Make sure the partnering agent is capable of processing transactions instantly.
4. Dashboard View
* Liquidity is the crucial factor that helps a crypto exchange to run smoothly. Customers tend to invest funds or place orders when they find an order book on the homepage.
* Here are some tips to include liquidity: trade validation, boost your trading activities with self-made accounts, deploy an API interface, and join crypto exchange communities.
5. Never Compromise on the Security
* Your exchange should have safety measures enabled for both exchange operators and the participants.
* Also, the exchange should shield the KYC, bank, and other personal information of your customers.
6. Customer Support
* Employ a 24*7 customer support service to handle users’ queries, KYC requests, deposit & withdrawal processes, and authorization-related issues.
What does a Crypto Exchange Software look like?
- A reliable crypto exchange platform usually possesses the following features.
- A Trade Engine
- User Interface
- Cryptocurrency Wallet
- A reliable Admin Panel