If you are an institutional investor or plan to become one in the near future, your focus should be on running the exchange and maximizing the number of users. Everything else can be provided for by HashCash Consultants.
Listing the steps required to build a cryptocurrency exchange would look like this:
1. Legal counsel
Obtaining legal counsel to ascertain that licensing requirements are met is undisputedly the first step toward building a cryptocurrency exchange.
Proper licensing needs to be installed for all the jurisdictions wherein the company intends to operate. Legal counsel is mandatory. Commonly, exchanges falling within the currency exchange brackets are required to conform to Know Your Customer (KYC) regulations. This is enforced to combat money laundering.
2. Acquiring funds for the venture
Prior to firing off your project, you should be aware of the approximate costs involved. To develop and set up a cryptocurrency exchange, a bare minimum of $135,000 is needed. The figure includes the cost of technology, hosting, some initial legal counsel, government registration, and initial advertising. Though not the whole amount is required upfront, it is advisable to ensure the venture has access to sufficient capital to allow a smooth run.
3. Technology Solution
The next step is the development of the software. The process requires installing the infrastructure, hiring the developers, gaining access to the tools required to build the software from zero, putting together a testing team, and getting the whole production unit to work. Instead of first setting up an office, the whole process can be delegated to the industry experts who a known for their working knowledge and experience in running an established exchange.
Companies like HashCash Consultants have their own running cryptocurrency exchange PayBito. HashCash provides white label exchange technology to institutional investors looking to set up their own exchanges.
To sum up, the whole developmental process can be replaced by simply purchasing the crypto exchange technology from globally recognized providers.
4. Integrate a Payment Processor
The following step requires you to append a crypto payment processor. There exist marked differences among processors of various makes. These include settlement time and compliance with PCI DSS, a set of best practices to ensure cyber security. It must be noted that, in the United States, federal law does not demand compliance. However, many individual state laws do. Investors must ensure sure the payment processor is PCI-compliant to protect the new enterprise against cyber threats.
HashCash integrates its own product – crypto payment processor – Billbitcoins with its crypto exchange solution.
5. Implement Security Measures
In the next step, you implement safety protocols. White Label Cryptocurrency Exchange Software by HashCash Consultants consists of the latest cybersecurity features including SegWit, BIP32, 3 point architecture, DDoS mitigation, Firewall, multi-signature wallets(both Hot and Cold), 2FA(Two Factor Authorization), and more.
HashCash Consultants provide crypto exchange technology with each of the above-enlisted steps wrapped in the product itself. The product is available for view as well as for trial. The white label crypto exchange software comes across as a one-stop solution covering all exchange-related needs and is ready to carry out its trading responsibilities.
The white label crypto exchange is the primary decentralized virtual machinery that allowed a simplified platform for trading. This in turn invited a large number of interested traders to toy with the concept-investment in Bitcoin and other altcoins. This is the most basic application that attracted an ever-growing crowd into the worldwide crypto community as it stands today.