Bitcoin Wallet Application Development: All You Need To Know
Bitcoin doesn’t need any introduction to people working in the digital industry anymore. This cryptocurrency is the first decentralized digital currency introduced with the main idea of creating a virtual currency and facilitating speedy and economical online payments. There is no single administrator or central bank, and peer-to-peer transactions take place without an intermediary. Network nodes verify these transactions via cryptography and a public distributed ledger, called a blockchain, is used for recording it. Since the introduction of the currency in 2009, there has been a phenomenal growth in this virtual currency, especially in the last five years. This is evident from the hike in the value of Bitcoin with each passing day.
Working of Bitcoin
Valid email id and an internet connection are all that is needed for getting access to Bitcoins. After this, you need to install a Bitcoin wallet on your mobile phone or computer to generate your first Bitcoin address. You can then generate more addresses based on your needs and disclose them to your friends to receive or give payments.
Use of Blockchain technology
Though the process of electronic payment systems using Bitcoin is associated with certain risks, the process is still trusted by many as the procedure relies on Blockchain technology. All transactions that are confirmed are included in the Blockchain in an encrypted form without any third-party assistance. As these take place on different devices, not many changes take place in the prevailing records. Bitcoin Wallets calculate and integrate spendable balance and new transactions in the chronological order in an encrypted form. The integrity and chronological order of Blockchain are enforced with cryptography.
Advantages of Bitcoins as wallet apps
As you are now familiar with the working of Bitcoin and the Blockchain technology, you can now have a look at the advantages Bitcoins are offering as wallet apps. A mobile app development company needs to take these points into consideration while developing a Bitcoin wallet app.
• Bitcoins form the fast, simple, low-cost form of exchange. Because of its digital and sophisticated nature, it is the best cryptocurrency option for cross-border and international payment transactions having no hassles such as expensive foreign exchange rates, third-party charges, card swiping, typing PIN, slow transactions, etc.
• There is no government control or regulation on the Bitcoin cryptocurrency interactions. Neither any bank nor any other organization has authority to issue any instructions related to the use of Bitcoins. No one can block or decline the transactions and transfer of funds made by the user, not even the user himself as the process is decentralized.
• As every transaction in the Bitcoin wallet app is signed with a digital signature before it is sent to the Blockchain for processing and transferring to another wallet, Bitcoin wallet app provides a safe ecosystem for storing, exchanging, and using cryptocurrency.
• Bitcoin wallet apps need a two-way authentication process for enhanced security. Generation of public keys for each transaction is done automatically.
• The Bitcoin wallet app refuses acceptance of double payment done mistakably and saves precious time of business owners that may be wasted in recurrent payments.
• As no third-party agents are involved in the transactions, secure, fast, and cost-effective transactions can be done. High transaction fees can thus be avoided using Bitcoin wallet app, making Bitcoin a potential future currency.
• The Bitcoin wallet app has the automatic time out option login feature which is needed for preventing any false or unwanted interactions.
• Inflation has an impact on currencies issued by a government but not on Bitcoin. The value of Bitcoin is not affected by inflation, and so transactions can be made without much thinking.
• You just need to generate an address for transferring money, and no other information such as the name of the recipient may also be known to you, still, you can transfer money.
Developing the Bitcoin wallet application
A Bitcoin-powered app can drastically change the way payments are made today and bring numerous changes in the finance world. You can integrate Bitcoin payment option with other payment options during check-out for online payments. So, mobile app development companies want to leverage this technology to get a technical innovation competitive edge.
Thus, developing a Bitcoin wallet application and mobile wallet marketing are a priority of all businesses now and is actually not a difficult task. The initial steps may involve using a few libraries that standardize functionality for synchronizing with the blockchain. Chain-java is the best library that may be used along with appropriate bitcoin wallet API to get access to the blockchain. Alternatively, you can opt for a customized bitcoin wallet app after making certain adjustments to fulfil the needs of the client. Certain plugins also needed to integrate Bitcoin payments into your store.
You need to create a common module with Java if you want to choose both Android and iOS platforms to develop the wallet app and use a standard plugin to convert it to Objective C.
Integrate a Payment Service Provider (PSP) that uses Bitcoin as a payment option
Many companies are already using cryptocurrencies as a legal source of payment. However, due to fluctuating value, the cryptocurrency may either aid or harm the company, so some businessmen may not prefer to hold cryptocurrency or prefer to exchange it immediately in lieu of physical currency. In such cases, PSPs for Bitcoin may be integrated into the mobile payment app for making it easy to accept Bitcoin payments. Many such PSPs are being developed every day. Some commonly used PSPs that provide extensive API and tools to integrate with your app are Coinbase, Coinify, Bitpay, Yellowpay, etc.
Due to various benefits it offers, Bitcoin has become a popular mode of electronic transactions. The emerging Blockchain technology is also bound to make a considerable impact on various socio-economic domains. Thus, with several industries moving towards blockchain space, gaining the Bitcoin wallet app advantage provides a competitive edge to a mobile app development company.