Cryptocurrency’s popularity is increasing day by day. It’s such a promising market that many businesses want to leverage it to make money. Creating a cryptocurrency app is an excellent investment as the trading volumes are increasing worldwide. That’s why, as a business owner, you might be interested in creating an app that can handle transactions. However, you should keep in mind that the said app should uphold the values of blockchain i.e., decentralization and transparency.
To create a crypto app, you can use standard, open-source libraries such as Coinbase SDK, or BitcoinJ SDK. Or you can create a custom wallet. Both are excellent in their own ways. But there are problems with using open-source libraries such as publicity of exploits and operational risks.
For a more secure and efficient solution, you should make your custom wallet through software development companies like BairesDev, to build a personalized wallet that satisfies your requirements. But before you start working on a cryptocurrency App, there are a few things that you should know.
Components of a cryptocurrency app
There are a few essential components of a cryptocurrency app that must be specified to your application development vendor. Those are:
Graphic Front end interface: The graphic front end is the face of the app, where people see the exchange. A simple interface that’s user friendly and responsive is best for a crypto application. You can make the application for iOS and Android. There are a few functionalities that you should have, such as login, transaction ledger, buying and selling, and fund withdrawal and deposit.
Wallet: This is what will store the cryptocurrency. You have to connect your wallet to transactions as well as the fund amount. This is a delicate component, so it should have enhanced security features. You can also integrate your wallet with banking services so that the money gets transferred directly from the bank account.
Trading engine: This is the central part of the cryptocurrency app. The trading engine does transactions and tracks them. It also calculates balances. You can put stop-limit and stop-loss order functionality in your trading engine. It will help pull experienced traders towards your app
Administration system: An admin system performs all the major activities. It powers up activities related to operational and organizational aspects of the app—transactions, wallet management, managing listing, fee, adding, and new currencies.
There are a few features you should put into your cryptocurrency app. These come equipped in custom solutions by application development companies. A few of them are listed here.
- Social media login for ease of use
- Market trends broadcast to get real-time information (can be displayed through bar charts, pie charts, infographics, etc.)
- Cryptography exchange and tracking setup
- Search option for different types of crypto
- Profile set up for customers
- PIN codes for coins
- Push Notifications
- Security setup
Types of cryptography exchanges
Cryptography exchange is a platform that people use for crypto transactions. The different types of exchange are:
1. Fiat Crypto exchanges: This exchange changes FIAT currency (USD) into crypto. It’s useful for people who don’t have experience and want to buy crypto using their debit/credit card or with cash.
2. Crypto exchange: In this type, customers can buy one crypto using others. It is used by experienced traders who want to make money quickly.
3. Peer to peer exchange: A decentralized transfer between two interested parties.
Types of wallets
There are many different kinds of wallets that you can configure for your crypto application. They are:
- Web wallets: These are a kind of hot wallet i.e. connected to the internet. They give customers access to cloud connectivity and hence are flexible and convenient. The security key is saved on the server. Therefore they are not very secure. They are only useful for storing a small amount of cryptocurrency.
- Mobile wallet: These are also an example of a hot wallet. Customers can access these via mobile. These wallets can be used for paying with cash and for transactions through cryptocurrency. They use QR codes for extra security.
- Desktop Wallet: These can be either hot or cold. These are software packets that download directly into a system. Users can access these without using a browser. They are safe from malware as they are disconnected from the internet. They don’t save private keys in third-party servers, they save it on the customer’s system. Hence they are secure too.
- Hardware Wallets: They are better than other wallets because the keys are saved on separate devices. They’re costlier than cold wallets. They’re better for storing crypto rather than using it. However, they’re not very convenient as they have to be connected to the internet every time anyone needs to do a transaction.
Most popular cryptocurrencies
If you build a cryptocurrency application, there are many different types of crypto that you can integrate into your application. For example
- Bitcoin: A cryptocurrency created in 2009, it is one of the most popular cryptocurrencies out there. It is currently used by many companies worldwide for their transactions. Bitcoin first came into limelight when it blew up in 2017.
- Ethernet: It was created By Vitaik Buterin. It is one of the top-ranking cryptocurrencies. It has a block time of 14-15 seconds and the current supply is 120 million.
- Dogecoin: This is one of the biggest contenders of Bitcoin. It started in 2013 and was based on dog memes. Till now, users have mined one hundred million coins. Block time is one minute.
- Ripple: It was created by the ripple company in 2012. Its 2018 market capitalization was $23 billion.
- Litecoin: It was started in 2011 as an open-source project on Github. Its block time is 2.5 min and is a low-cost cryptocurrency.
Starting a cryptocurrency business is all the rage these days. Even though cryptocurrency is not “legal” in many countries, it’s catching on quickly. It’s futuristic, flexible, and profitable.
But at the same time, you have to follow the rules. You have to follow government guidelines. You have to secure your wallet so that it’s safe to use. Many companies are using the concepts of blockchain to create business solutions. A cryptocurrency app hence may be just the thing that propels your business to the forefront.