We can see that digital currencies are a pretty hot topic right now. They have come a long way from 2009, which is the important year since this was the year when Bitcoin was born. Now we can see that this is a billion-dollar industry that started to spread its branches to a high variety of other industries. It should be said that a lot of people were skeptical about the whole concept since it was relatively new and unknown to most of the people in the world at that moment. At the same time, we can see that there are so many digital currencies that we can’t even begin to count. Over time, some of them tied themselves to a particular industry. We can see that in the example of Ethereum, which closely tied itself with online casinos. Also, we can see that crypto traders started creating their own communities in order to make it much easier for some people to manage their digital currencies.
If you are eager to see an example of this, you should check out bitcoineras. So, it can be said that many people saw an opportunity to earn some additional money by trading with cryptos. It should be said that a high number of them managed to earn a massive amount of money over time. Therefore, you can imagine how many questions about Bitcoin and other cryptos are posted on various forums that can be found online. Plus, this is not something that has a magic formula that will fix all of the elements. In fact, you actually need to learn about the whole process before you are sure you can be a trader on your own. So, we’ve made a decision to shine some light into the process of building international cryptocurrency exchange. Without further prolonging, let’s begin.
Finding the Right Type for Exchange
Naturally, before you dive into the world of exchanging cryptocurrencies, you need to make a decision regarding the type of exchange you want to start. In order to make this decision, you need to have a certain level of knowledge about all the types at your disposal. The first and most frequent type of exchange is a centralized exchange. This means that you will have to communicate with a third party in order to make a transaction successful.
The reason why this is the most important type by far is that the middleman requires only a small percentage of the fee. The next type we would like to discuss is a decentralized exchange. This one doesn’t involve any third parties, so, it is not considered as credible as the previous one. The third and final one exchange type is the P2P exchange. This is a direct transaction between the seller and a buyer without having anyone in the middle. But it requires a middleman in order to complete the dispute redressal. This is a highly popular method among many traders out there.
Since we are talking about creating an international digital currency exchange, you need to be aware that you will need a significant amount of cryptos in order to succeed. For example, if you are starting from scratch, you need to have at least between half a million and million in the capital. After you’ve reached a certain level, you will need a lot more of it. However, we are going to limit ourselves to a certain level, acceptable to the beginners. These lower levels mean that you are buying software from a partner. You will be provided with compliance, license consulting and software.
In case you are interested in being a solo player, you will need much more money in order to beat the competition and establish yourself as a proper international exchanger. We are talking about $5 to $12 million. As you can imagine, the highest percentage of this sum will go on licenses and banking systems who will be your partner. However, you should know that some of the biggest exchanges in the world actually don’t own any kind of licenses that would make them eligible all over the world. But we truly believe that this is an absolute must.
The Question of Security
As with anything that has to do with doing your business online, it is an absolute must for you to have a proper set of security software that will protect the business from outside influences. Thankfully, there is a wide array of different software you can actually invest your money into and expect that your business will be protected. At the same time, you are probably aware of how the blockchain system works and what is the set of security options you already have.
However, you need to provide an additional layer of security just to be sure. As we’ve already said, you can choose from a wide array of software you can actually use. It should be said that digital currencies are a major target of the vast majority of hacking and cybercriminal. Naturally, you can presume what the reason is, and that is its value.
The Legal Team
Maintaining the legal compliance to your system is probably the most important thing about the cryptocurrencies and their exchange. Naturally, after the security, you need to provide to the system itself. The legal question is a highly important one, but not just the local legislation system. Since you are operating on the international level, you need to think about the foreign legislation as well. Therefore, you need to be highly informed about all the things regarding this question.
The Bottom Line
Creating an international cryptocurrency exchange is something that will require a lot of time and resources on your behalf. At the same time, it requires a lot of things that you actually need to learn about all the elements involved in these processes. Here, we have provided you with a guide that will help you on your quest of creating an international cryptocurrency exchange. We are hoping that you will find our guide useful and that it will have an influence over the future decision on your path.