Build your Own Exchange to Ride the Crypto Wave
Crypto exchanges are probably the most competitive part of the crypto industry. Sometimes it’s easy to think that the supply largely exceeds the demand. However, the market isn’t saturated yet. As a natural process of an emerging market, most crypto exchange startups don’t survive under fierce competition.
It is extremely difficult to lure clients away from the top exchanges like Binance, Poloniex, Bitfinex. What they can do is create something unique to carve out a certain piece of the market and focusing attention on a particular audience.
The increase in the number of crypto exchanges can ultimately lead to the advancement of technology, which in turn benefits the end-user. They could reap the benefits of a competitive market like lower commission rates and transactional costs.
Why the crypto market is so appealing is because of the lack of barriers to entry. Anyone with valid KYC information can access exchanges and start trading. This opens up the market to more participants and thus makes it less vulnerable to manipulations by the institutional investors or the so-called whales.
“The root and source of all monetary evil is the government’s monopoly on money.”
― Friedrich Hayek, Denationalisation of Money
Earlier institutional investors could manipulate the market by throwing a couple million worth of Bitcoins into one exchange and sink the global market by 20–30%, allowing them to buy back a larger volume at a cheaper price. This form of market manipulation becomes much more difficult as exchanges are strongly interconnected.
The competition within the sphere of blockchain technology also has a positive impact on trading. Right now, one of the key elements of any startup exchange is market-making (or liquidity aggregation, which is more technologically advanced and less costly). With market making or aggregation and strong support of trading instruments, it’s possible to provide service on par with the most successful exchanges.
BirthVenue Digital Assets Solutions
It’s important to recognize the market tendencies a bit faster than your competitors and act on them in time. Moreover, a small exchange can integrate a new high-demand service much faster.
BirthVenue has now acquired the capabilities to flawlessly set up, deploy, maintain and service nodes of all types of tokens/cryptocurrencies. We can build decentralized p2p cryptocurrency exchanges as well as the more common centralized exchanges. It is important to build exchanges with strong foundations for security and the ability to scale to be able to integrate more coins on to the platform. This is where our development team contributes the greatest value to our clients. Our frontend developers can make the most aesthetically pleasing page designs, all while keeping user-friendly functionality in mind.
Besides job creation, there are other benefits cryptocurrencies can offer an economy, particularly Asian markets as they are still relatively unexplored in terms of the number of crypto exchanges. Attracting new foreign venture capital investments into local startups is very appealing to countries to boost growth. We work with clients in Asian markets and are witnessing the growth in demand for crypto-based products and services.
BirthVenue is a Blockchain-as-a-service company and is rated as a top service provider in India. We are primarily recognized for our solutions in the Insurtech vertical, closely followed by the number of cryptocurrency exchange applications we have worked on. For crypto entrepreneurs, BirthVenue is the easiest one stop solution provider.
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This is a post in our on Medium blog, ‘Blockchain for Everyone’.
Sign up here to discuss any use cases. Thanks to Rohit Taneja for reflections and feedback.
Helping you understand the fundamentals of blockchain and develop elegant blockchain solutions to empower your successful businesses into new technology spaces, BirthVenue.
Sabarish Nair
Blockchain Analyst

