Determine if a cryptocurrency exchange is the right choice of business for you in this pandemic season

While many traditional businesses are taking a huge hit in these testing times of the on-going COVID-19 pandemic, the cryptocurrency sector is contrarily witnessing spiked up volumes like never before. The nation-wide lockdown across many countries has pushed people to stay confined to their homes. Therefore, many people across the world are spending more time on their laptops and desktops, which have led to more people interested in crypto trading, thus, more trading volumes. 

A lot of people have lost their jobs, or their jobs are offline due to the imposement of lockdowns which have evoked them to look for new ways to make money online. This has made the crypto market stronger and more bullish than ever and has increased the interest of entrepreneurs to start their own cryptocurrency exchange software to make augmented profits out of this favorable market situation. Here, in this article, we are going to look at some interesting and significant examples that will make it evident to you why cryptocurrency exchange is the right business opportunity to opt during this pandemic. So, let’s get into it. 

Few recent highlights that indicate why a crypto exchange is the most lucrative business at this point

According to an article in CoinDesk, Andryunin, who was a 22-year maths student from Moscow, built his business by boosting trading volumes with crypto tokens during the 2017 ICO boom period. In an interview with CoinDesk before eleven months, he had mentioned his view that exchanges are surviving based on artificial volumes by paid market makers. And he also said that he thought his business would decline, with ICOs facing stumbling blocks and the new regulatory attention and confusion revolving around the cryptosphere. 

But today, he says that he was mistaken about his opinion. He added that his business is growing again as many token promoters are paying him to pump their projects for them in order to be accepted on cryptocurrency exchange platforms. He says that the COVID-19 pandemic has led to more investors looking for a crypto investment opportunity. To quote his recent statement to CoinDesk, 

“ We were about to switch to big data analysis, but we didn't have a moment to start there because the crypto market suddenly turned around to us” 

Andryunin’s business states clearly that even after the ICO craze ended, people around the crypto space are still raising substantial funds from token sales, and the pandemic has once again made this business lucrative for investors.  

Sergey Khitrov, who is the founder of Listing.Help, which is a firm that helps token projects get listed on crypto exchanges, said to CoinDesk that,  

“In the times of pandemic, many businesses took a hit, and the companies shifted to making crypto projects, which increased the demand for listings.” 

Other than these, GotBit, a popular blockchain and crypto project firm, is said to be boasting about 80 customers, 34 token issuers, and 5 new exchanges, and the firm has been witnessing a huge spike in the volume of crypto exchange trading. 

These are some of the most noteworthy examples in recent times that constitute evidence of the fact that there is no better time than NOW to get started with your own crypto exchange development. How to go about creating your exchange? Let’s find out.

How to create your own crypto exchange software? 

To create your own cryptocurrency exchange, there are different ways to go about. The first and the most common one is building the exchange from scratch. This involves a set of procedures you need to undergo, such as 

• Determining the operational location of the exchange and adhering to the regulatory frameworks based on the location 

• Obtaining proper license for the exchange

• Partnering with a bank/payment processor

• Inducing liquidity for the exchange 

• Implementing the best security protocols for the exchange

• Proper testing of the exchange functionalities

• Constant maintenance of the exchange and customer support 

These are some of the important steps to consider, and there are more steps involved in the process. If you’re a novice crypto entrepreneur and do not have a technical background, you needn't worry anymore. You have a choice to opt for a crypto exchange development company that offers comprehensive solutions from exchange development, design, marketing, launch, and post-launch maintenance. This way, the process is easier, quicker, and cost-effective. 

As mentioned earlier, the present crypto market scenario is highly favorable. Therefore, conduct deep research, choose the right company, and get down to business with your own exchange in no time, to relish augmented benefits and profits for your business.

The most interesting trends around the cryptosphere in 2020

The on-going COVID-19 pandemic not only affected our trips and vacations, but has had a major impact on the day-to-day lives of many people around the world, and mainly businesses. Many businesses across various sectors have been deeply affected that it might even take a few years for them to recover from it. But although 2020 and the pandemic calmed the success waves of several industries, one industry that still remains steady, and in fact, further shaping up is the cryptocurrency industry. 

 

While predictions about cryptocurrencies becoming the future currencies have been going around for a while now, 2020 witnessed some interesting proceedings and important developments around the cryptosphere. Here, in this article, we are going to discuss some of the most significant events, trends, developments that are revolving around in 2020, and shaping up the crypto market on the whole. So, let’s dive in. 

 

Noteworthy crypto market trends in 2020

• Bitcoin Halving

Bitcoin halving is one of the most notable and anticipated events around the cryptosphere as it plays a key role in cryptocurrencies’ deflationary nature, and paves way for driving mainstream interest towards cryptocurrencies. The event takes place once in every four years, and the last event took place on May 11th, 2020, which is the third bitcoin halving event so far.  This halving event set forth the reduction of Bitcoin’s issuance rate to 6.25 BTC from 12.5 BTC, for every new block that is mined every 10 minutes. This Bitcoin halving event especially has seen record-breaking media attention, as well as unprecedented interest from institutional investors and volumes compared to the one that happened in 2016. 

 

Also, this Bitcoin halving has revealed a strong bullish sign for the bitcoin and cryptocurrency market and a significant year for institutional investors and cryptocurrency exchanges. 

• Libra and other stablecoins domination

Facebook announced the introduction of a new stablecoin in summer 2020. Libra is said to have the potential of capturing a user base of nearly 170 million in the U.S alone. And even though cryptocurrencies are widely popular, many investors are still uncertain about investing in them due to the price fluctuations. Stablecoins are a perfect solution for this as they are backed by fiat or other traditional assets that prevent price fluctuations. 2020 is expected to be a good year for stablecoins and experts predict that there will be an increase in the adoption of stablecoins. Also, libra could mark the point at which cryptocurrency goes mainstream, and several other technology and financial companies will certainly follow.

• Governments incline towards cryptocurrencies

As discussed earlier, crypto businesses are steady and strong in spite of the unfavorable circumstances of many other businesses, and for this reason, it is getting more and more traction among global potential investors and as well as with governments. Some are said to be even working with central banks to launch their own cryptocurrency. Governments of various countries are adopting crypto, and the list is expected to grow further in 2020. 

• Crypto tie-ups with corporate

Cryptocurrencies have already been adopted by various multinational companies and various companies are launching their own crypto. Facebook announced its own stablecoin crypto which is Libra and JPMorgan Chase announced its own crypto known as JPM Coin in 2020. Apart from these, many experts have also predicted that various other multinational companies might also launch their own cryptocurrencies in 2020.

• Crypto and FinTech 

Many key players from FinTech and the financial sector have adopted crypto into their space in 2020. Various companies and enterprises around the world are included in this. Such companies have shown major interest in cryptocurrencies by initiating Bitcoin futures, custodian services, and other options to institutional investors. This has led institutional investors to invest considerably.  And cryptocurrency exchanges are making substantial profits via such investors.

 

These are the most significant trends so far in the year 2020 in the crypto space. So, what do these trends indicate? What is the best way to make maximum profits out of these favorable crypto market conditions? 

 

Cryptocurrency exchange as a business!

Cryptocurrency exchanges have always been the point of convergence that drives maximum volume and profits for the cryptosphere. They pave the way for entrepreneurs to exchange their cryptocurrencies and boost up profits. Especially with these major trends making rounds in the cryptosphere and market conditions being favorable more than ever, there is no better time to get rolling in the market with your own cryptocurrency exchange software. 

 

With already evolving demand and competition, and with the growing interest of investors towards cryptocurrency exchanges, these above mentioned trends have further enhanced the credibility. Apart from these, there are also other predictions revolving around from market experts such as advancements in regulatory compliance in different countries around the world, further new implementations, use-cases, etc. 

All of these factors make it evident that 2020 is indeed a lucrative year for institutional investors, cryptocurrency, and crypto exchange owners. So, what are you waiting for? Conduct in-depth research, collaborate with the right company, and get started with your cryptocurrency exchange development already, to get rolling in the market soon and maximize profits for your business.