Almost every industry has gone through a digital revolution in the last several years. Automation has several advantages, including increased security and efficiency. Whenever it concerns digitalization, the banking sector has undergone a major shift. In December 2008, Satoshi Nakamoto released the first version of Bitcoin, which has seen astronomical demand ever since.
Digital assets such as cryptocurrency may be exchanged using web-based cryptocurrency exchange programs in order to facilitate the buying, selling, and transferring of these assets. Ethereum, Dogecoin, and a host of other digital currencies have been created since Bitcoin's launch. Cryptocurrency app development company makes it possible to swap these digital currencies for a wide range of traditional fiat currencies by developing a specific app for it.
Every transaction is broadcast to the whole network of peers trading cryptocurrencies because there are no central servers that can store records of transactions. These transactions will be approved by Miners at a later time. Miners are the people in charge of approving transactions, establishing their legitimacy, and so on. Any cryptocurrency app designed by a Bitcoin app development company may be used to exchange these coins.
Demand for cryptocurrency exchange apps and NFT marketplace platform development has grown significantly over the past couple of years. Coinbase is one such application. It has a wide range of services, including account transfer, rapid trading, support for a variety of payment methods, and more. Let's take a look at Coinbase and the process of designing a similar app.
Coinbase: Everything You Need To Know
Coinbase is the most popular platform for dealing with cryptocurrencies, as per the vast majority of investors. It's a safe and reliable online platform for buying, trading, transferring, and storing digital currencies like Bitcoin. Brian Armstrong and Fred Ehrsam founded Coinbase in 2012. The startup made it simple for anyone to buy and sell Bitcoin by allowing them to do so using bank transfers. Several blockchain app development businesses utilize their APIs to build a similar app.
Due to the significant growth in demand for Bitcoins over the previous several years, the cryptocurrency exchange application - Coinbase now offers customers a safer trading alternative. Traders from all around the world may utilize Coinbase's advanced banking system to help them convert digital money into and out of their own local currencies.
When it comes to digital currency trading, Coinbase has it all. Numerous cryptocurrency wallets and apps charge a portion of the transaction or impose a fee on all transactions made on their platforms. Transactions between two Coinbase accounts, relatives and friends, as well as between the Coinbase accounts of a merchant, are nearly completely free of charge. The method is simple, and someone who has never traded digital money before can grasp it in a matter of minutes.
When it comes to security and backup, an application like Coinbase is the most dependable option. Along with a wallet and an exchange, Coinbase also provides merchant tools.
Working of Coinbase
In order to get started with Coinbase, you'll need to complete a registration form that asks for your legal name and date of birth, as well as the last four digits of your Social Security number. This information is mandated by federal law and must be provided.
The purchasing process is as straightforward as shopping on Amazon. Only by clicking the "Get started" button will you be presented with a selection of all available cryptocurrencies; you may select one based on your interest or budget. There is a transaction charge of 99 cents imposed by Coinbase on a purchase of five dollars. You'll have to wait a week after purchasing Bitcoin before you can transmit it to someone else.
Selling is as simple as purchasing; you may sell a percentage of an available cryptocurrency or the entire coin. Due to the outstanding exchange rates for several cryptocurrencies, there is a significant market opportunity for another application similar to Coinbase. Just make sure your features are effective and that you are aware of your target audience's needs. Let's have a look at the features that must be included in these kinds of applications.
Feature Set For A Cryptocurrency App Development
Successful apps, like Coinbase, are defined by their use of efficient features. It doesn't matter if it's a cryptocurrency application or an app from any other industry, users want an app that is simple to use and versatile.
The following are some of the most important elements that should be included in the app's development:
Security
For financial institutions, safety and reliability are paramount. It should take precedence over all other aspects of your app's development. Your top priority should be protecting your customers' cryptocurrency in their wallets. High-security features are always welcomed by everyone. A lot of the security features seen in traditional banking apps can be found in cryptocurrency as well. A two-factor or multiple-factor authentication should be considered. You can use a one-time email or an SMS to do this.
Timer for Logout
Timed logout is a crucial feature in all financial apps now on the market. Users are automatically logged out of an app or website when this function detects that they have been inactive for an extended period of time or when their device is locked. Timed log-out prevents the app from being misused and makes it impossible for someone else to use it without your permission. Your cryptocurrency trade app should provide this capability.
Private Keys for the Client
Your customer's safety must be assured because the financial industry is deemed to be vulnerable. When trading various digital currencies, users should have confidence in your application. Your app's reputation can be ruined if the private server-side key is stored in your application, which makes it more vulnerable to cyber-attacks and litigation. Your app will be safe against these assaults and other difficulties if you use the client-side private key functionality.
Limit Recurring Payments
Despite the fact that your cryptocurrency application will not perform the functions of a bank, you must provide the same level of security to your users to keep them happy. Restricting subsequent payments to the same address and contacting the user for permission increases the app's dependability.
In an ideal world, a digital currency application should generate a new wallet address for each transaction, and it would look for any signs of fraud, such as numerous deposits to the same account. By using this functionality, users may be made aware of any online crypto scam that may be occurring.
High-Quality Backups
Cryptocurrency transactions are not the same as conventional money. As a result, users' digital wallets require backups in order to maintain overall trustworthiness. Your application should include a strong backup feature that allows users to save their available currencies in the event of a loss. A microSD card or the user's system is regarded as the safest choice for storing data. However, you may always allow users to use safe cloud storage tools like Google Drive or Dropbox to back up their files.
Intuitive User Interface
Ui is the most essential factor in determining how your app is perceived by the public. A high-tech cryptographic application should have a simple and interactive user interface. When creating an app, you have the opportunity to include appealing visuals and a comprehensive user guide with answers to frequently asked questions. Hiring a UI designer might help you create a better user experience. Create something unique in order to stand out from the crowd.
Push Notifications
Even though push notifications are a standard feature in most apps, they get the job done. Your app's users should be able to see everything that's going on at any given time. Since cryptocurrencies are so volatile, it's impossible to predict what the exchange rate will be hour by hour. When the price of a product changes, your app should tell its consumers. It's a good idea to notify your consumers if something occurs to their currencies so that they feel more confident in the app. In order to reactivate some of the app's inactive users, your app's developer must incorporate tailored alerts.
Wallet
Users may receive and transmit digital currencies via a module known as a crypto wallet. You must take into account the following three factors while creating a crypto-trading wallet:
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Wallets for the System and Individual Users - You can provide users with a variety of wallets. However, there should be a system wallet for the platform's cryptocurrency.
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Deposit and Withdrawal - Users will be able to make deposits and withdrawals via email, OTPs, or QR scanner. If users wish to withdraw the money, they'll need to verify their identity.
- Creating a New Transaction - Everyone should be able to purchase and trade cryptocurrencies, regardless of their financial status. As a result, you can provide users with a wallet that prioritizes ease of use and transaction speed.
A Smart QR Scanner
A growing number of merchants are now accepting Bitcoin and other cryptocurrencies as payment. Paying with digital currencies may be made simpler with the aid of an intelligent QR scanner. Your app development company may create an intelligent scanner that can identify the type of outlet by scanning a certain QR code.
So, if the user scans their private QR code to send money, it should open the appropriate page for the transfer and, in the event of a payment request, it must update them accordingly.
Process of Developing a Cryptocurrency Exchange App
Find a Problem
In other words, you need to do an in-depth study of your client's problems and their corresponding pain areas. You must look at the current solutions on the market and determine ways in which your app can stand out and address those problems for people.
Select a Platform
Choosing the correct platform is critical since it will determine how the applications perform and how it generates unique web apps without developing blockchain code from scratch.
A Preliminary Model
As soon as you've decided on the platform and model type, it's time to get down to business. Analyze the many blockchain models available and select the one that is best suited to your business goals.
Developing APIs
While hundreds of pre-built APIs are accessible, it's possible that you'll wish to design your own. In addition to verifying data and generating addresses, it will also be used to communicate with smart contracts, store and retrieve data, and evaluate the data. There are three factors to consider while deciding on an API implementation.
- A Private and a Public API
Within the system, a Private API is utilized; for example, you may develop a bot to assist customers in trading. However, third-party developers rely on the Public API.
- Websockets
To avoid having to repeatedly request the server for an answer, this new technology lets you get an event-based response directly from the server instead. It is used to provide information on market movements, trade developments, and other relevant topics.
- The FIX Method
It is a requirement for all trading platforms, regardless of the asset class. It makes it easier for developers outside of Coinbase or Binance to integrate different trading platforms.
App Testing
When you believe your application is finished or finally developed, run it through a comprehensive set of tests. It is recommended that you use the MVP model to test your program and identify issues like crashes, memory leaks, storage issues, latencies, and other performance limits.
Top Cryptocurrency App Platforms
Voyager
A well-known cryptocurrency investment platform, Voyager was one of the first to go public. They use an app-based trading platform and do not charge any commissions during their initial phase. With a wide range of cryptocurrencies supported, active users, and reasonable interest rates on assets, Voyager is a great choice for many.
BlockFi
A financial company called BlockFi allows users to lend out your Bitcoin assets and earn income in the process. If you don't want to sell your coins and tokens, you may also borrow against them. If you merely want to keep your tokens and let them generate interest for you, you may do so.
Kraken
A pioneer in cryptocurrency trading, Kraken offers a wide range of digital assets to buy, sell, and invest in. Margin trading is also possible on this platform.
Binance
Cardano and Neo are two of the best cryptocurrencies to get started with on this platform. It is among the most powerful trading platforms on the market. Using Binance on a mobile device is simple thanks to a well-designed app.
Looking to Develop Cryptocurrency App like Binance? Here’s the Ultimate Guide
eToro
eToro has been active for a long time in the UK and Europe, but they have recently opened its doors to US traders. Even better, they feature a sample trading account so you can test the market before you put your real money at risk. They have a wide choice of digital assets to choose from.
Challenges in the Development of Cryptocurrency Mobile Apps
Increased Competition
When Bitcoin was first formed, demand for cryptocurrencies skyrocketed. This alone has pushed up the competitiveness in the digital currency exchange industry. The greatest cryptocurrency trading applications, like Coinbase and Binance, are attracting a slew of new enterprises that want to share in the multi-million dollar rewards the industry offers.
In spite of the increased competition, there are a number of strategies to enter the industry and become a market leader. For example:
- Both the app and the website should have the same UI and UX.
- Take advantage of the fact that there is room for growth in the crypto exchange market's mobility area.
- The listing should include a large number of crypto assets.
- If you plan to expand, include a Decentralized Cryptocurrency Exchange.
Scalability
It might be challenging to build and manage a new platform that expects millions of people to come and engage with it on a regular basis. A lack of scalability can cause a variety of problems, including slow transaction processing times, delayed cash transfers, and frequent delays in the platform.
No other option but to work on solid backend architecture with a promising load balancing system to guarantee that platform is able to take on the daily demand of thousands of active users and millions of transactions.
Team Requirements for Cryptocurrency App Development
When it comes to assembling a development team, you're always left with two choices. It's up to you whether you want to work with a freelancing team or a full-fledged mobile app development business, both of which charge hourly. Any firm you hire should be knowledgeable about this market and have generated high-quality solutions in it. Your project will always necessitate a team of professionals like Developers, Quality Analysts, Project Managers, etc.
How Much Does It Cost to Develop Cryptocurrency Exchange App?
There are several aspects that contribute to the cost of development, from design to implementation and testing to post-deployment. As a result, it is difficult to put a value on the cost of developing a crypto application. However, applications like Coinbase would cost anywhere between $57,000 and $98,000.
Conclusion
Digital currency is a huge industry that has been growing steadily over the past few years. Many people still haven't invested in cryptocurrency apps, even though the demand has grown dramatically in recent years. You should take advantage of the millions of options this sector has to offer right away by investing in the development of a cryptocurrency app.