Worldwide, entrepreneurs are looking at crypto exchange platforms, being aware of the solidity of the crypto market in profit-making. The popularity of cryptocurrency has grown in years and many entrepreneurs have jumped into the market to trade crypto exchange. Are you one of those wisest entrepreneurs looking to learn how to start your own crypto exchange?
You can either develop from scratch or use a white label solution. Rather than how let’s precisely take a look at what cryptocurrency exchange is and its different types.
What is a cryptocurrency exchange?
A cryptocurrency exchange involves the exchange of virtual currency for other digital currency tokens or fiat currency. While investors are exploring several ways such as mining, launching ICOs, investing in digital assets, the world of crypto exchange is absolutely in the spotlight with more probability for profit.
Setting up your own crypto exchange is a huge opportunity for a profitable business. Provided you’ve gained some knowledge on the crypto market.
Types of cryptocurrency exchanges:
Centralized Exchange – Centralized exchange, built with simple design that allows anyone to sign up and buy coins. Offering high liquidity, this type of exchange involves a middleman for crypto transactions and also obtains traditional methods for trading.
Peer to Peer Exchange – P2P exchange connects the sellers and buyers directly without involving any third party. This type of exchange is supported by a smart contract-based escrow system.
Cryptocurrency Brokerage Firms – Crypto brokerage firms allow funding a bitcoin or other currency using fiat money. As time grows, your funds gain value.
If you have understood the types, then developing your cryptocurrency exchange website is of huge importance. Though you wouldn’t need a techie mind for that, LaunchFXM tells a few basics before starting your business. Read this article in 10 easy steps that best interpret starting your own crypto exchange.