With the new advancements in cryptocurrency and blockchain technology, the financial industry is going fast! This pace is not taking a stop and the crtos like Bitcoin and Ethereum are now the real assets of the future. This increase in demand and fast pace arises because of the need to get easy-to-use and effective platforms for managing and exchanging digital assets.
With its inception in 2011, Coinbase is a platform that has become a prominent platform in cryptocurrency and blockchain technology. Coinbases as a platform offers a wide range of services with top-notch UI and UX, which is making it easier for newbies to take their first step in the cryptocurrency trading market.
According to Coinbase, there were approx 98 million registered users in 2022. Moreover, with the globally expanding market for cryptocurrency exchange platforms, it is now offering more space to entrepreneurs to get more prospects. Now, it is easy to enter this constantly changing financial market by developing apps like Coinbase.
Wondering how to develop an app like Conibase? What is the cost of developing an app like Coinbase? Dive into this blog to know everything about the development process.
What is Coinbase App?
Coinbase is a popular name today! It is a secure platform for the sale and purchase, trade and transfers, and storage of cryptocurrencies. Coinbase has become a major brand for facilitating the conversion of cryptocurrency into local money and has created an open financial system for the entire world.
Buying and selling cryptocurrency among Coinbase users is made easier by the fact that there is no transaction cost for transferring or receiving cryptocurrency between friends, merchants, or online crypto balances.
What Features Make a Coinbase-Like App Successful?
Creating a Coinbase-like cryptocurrency exchange app for maintaining, purchasing, and selling entails combining several features to give users a safe, effective, and user-friendly platform. An app that successfully exchanges cryptocurrencies should offer customers a safe, easy-to-use, and effective platform that serves as a solid basis. A cryptocurrency exchange app should include the following essential features:
- Taking a stake
Receiving interest on the money held in a bank is comparable to staking. Users can safely retain their cryptocurrency assets to earn interest and create a passive income by depositing them on cryptocurrency trading platforms. Numerous cryptocurrency exchanges provide their users with staking capabilities, which allow businesses and asset owners to profit handsomely.
- Lending for cryptocurrency
Businesses might gain from adding this function to their platform since the demand for cryptocurrency loans has been increasing over the past few years. While other users can borrow bitcoin assets from lenders, users can themselves become lenders through cryptocurrency lending. The ability to collect a fixed or variable fee as a commission from lenders is another advantage of cryptocurrency lending for exchange owners.
- A trading bot
Trading cryptocurrencies requires every trader to pay close attention to detail every time, which can be time-consuming. For cryptocurrency traders looking to automate their deals, trading bots are a viable option. Advanced computer scripts that automatically place buy and sell orders on their behalf make up trading bots. Businesses can profit from crypto bots by collecting recurring fees from individuals who use your platform.
- Trade amongst peers
Due to its very profitable cryptocurrency rates and trades, P2P is preferred by many cryptocurrency asset holders. Allowing buyers to trade cryptocurrency with sellers and vice versa, including P2P trading features, can lead to growth potential. You can make money by charging a commission to customers who engage in P2P trading.
- A cryptocurrency wallet
An address that users can use to transfer, receive, and store various cryptocurrencies. Both hot and cold wallets are available for integration into your cryptocurrency trading platform. Hot wallets are available to users and may be accessed online, which facilitates speedy operation.
Although they are safe from online dangers since they are offline, cold wallets aren’t always practical. As a result, depending on your platform’s capabilities and user needs, you can choose between cold and hot wallets.
- Safety & Security
A key component of practically all cryptocurrency trading platforms is user security. You may give your consumers a safe environment on your platform by including security features like multi-sig wallet integration, 2FA authentication, and defense against DDoS assaults. Moreover, make sure the app follows certain compliance and regulations crucial for the development of the app and future licensing. These include Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations.
Step-By-Step Guide To Develop An App Like Coin Base Using The React Native
A group of seasoned engineers, legal specialists, and compliance specialists is needed to create an app for a cryptocurrency exchange like Coinbase. To thrive in this cutthroat industry, security, legal compliance, and user experience must also be given top priority. An outline of the steps involved in creating a Bitcoin exchange app similar to Coinbase is provided here:
- Determine the issue
Recognize niches and unique selling propositions while comprehending the cryptocurrency market, target market, and competitors. Additionally, by investigating the current developments in the Bitcoin market and the issues raised by its users, you may draft a thorough business plan that outlines your objectives, revenue model, and budget. By identifying an existing issue, your crypto app’s USP can assess potential remedies that satisfy the needs of the user.
- Choose the features and cost of the app.
The group working on the app can schedule the time and money needed to construct the app for a cryptocurrency exchange. Determining your budget for the creation of your cryptocurrency exchange app is also crucial, as not doing so could cause your project to fail before it reaches the development stage. Planning an operating scope is also essential to get your crypto exchange app development off to a good start. This will allow you to list the features and offer the developers a sense of what they need to concentrate on.
- Choose the type of crypto exchange and tech stack.
Hybrid, Decentralized, and Centralized are the three popular categories for trading bitcoin. Your choice of platform for the development of a cryptocurrency exchange app can help to understand the type of exchange it offers. Furthermore, depending on the kind of cryptocurrency exchange you have chosen for development, the success of your app can be demonstrated by selecting the appropriate tech stack. Therefore, take into consideration using the HTML5 tech stack when developing a web application. While Swift or Objective-C can be used to create iOS apps, Java and Kotlin are appropriate tools for Android applications.
- Certain jurisdictions
Your company objectives, risk tolerance, and compliance should all be taken into consideration when selecting jurisdictions for your cryptocurrency exchange app. By studying and consulting a lawyer, you may make well-informed judgments. Additionally, make sure you have obtained all required licenses for the area in which your app will be accessible. To prevent any potential legal issues, keep a close eye on legislative developments before starting the construction of your cryptocurrency exchange app.
- Pay attention to rules and compliance.
Governments around the world are wary of using Bitcoin exchanges because of the money involved. For this reason, strengthening the security features of your cryptocurrency trading software requires a precise and strong regulatory framework.
It is crucial to ensure that your app is complying with the KYC regulations and removing the potential money laundering via bitcoin trading. This can be done by using the documents to validate the identity of the user. To comply with every regulation, ensure that the software complies with laws like GDPR, KYC, and AML. Moreover, it is best to include the client verification API in the cryptocurrency exchange for developing a backend database for tracking every record.
- Include a payment processor or bank.
Connecting with the right bank can provide you with quick transactions, payment settling, and clearance. They can also help you in getting your app the right kind of services it needs to flourish among users. Even your app can offer some commercial banking services to let your clients lend their cryptocurrency for interest. The services include offering corporate accounts and USD/fiat custodial currency or accounts.
- Locate a source of liquidity
One of the major elements of the cryptocurrency exchange is liquidity since every customer prefers a platform that offers higher liquidity. Additionally, for the strengthening of liquidity position, you must think about merging the bitcoin exchange with any exchange network.
- Create and put into place security features
The sudden and abrupt rise in the cryptocurrency exchange market can make the users more attractive to be the target for hackers or any frauds. Thus, here traceability would not just be jeopardized. There are amazing features like two-factor authentication and multi-signature wallets, which can help to guarantee a robust security foundation for every transaction. Moreover, ensure that only the people who have access to the money of traders put the records and monies in the cold wallet. When there is the need to move the money between hot and cold wallets, the steps followed must be quick and effective.
- Establish a route for client service
By actually offering the right and appropriate customer service, the cryptocurrency exchange software will help to unlock its full potential. You can now also assist users with the best financial transactions and any other important feature when you create the right customer care channel. Quick responses to consumer queries ensure and guarantee trust among users and build a good reputation. Think about the fact of developing the systems, live chats, email, and phone support among other communication lines on the developed cryptocurrency exchange.
- Support a range of cryptocurrencies
- It is crucial to choose the number of cryptocurrencies that are going to be supported. These include
Bitcoin - Ethereum
- Tether
- Binance Coin
- XRP
- Terra
- Cardano
- Solana
The choice of cryptocurrency can have an impact on the overall budget of the development process of a React native app. If the number of cryptocurrencies is increased for the support of the system, then you’ll also need more budget to develop specialized APIs. These APIs will help to access several supported cryptocurrency features like developing real-time charts, getting historical facts & data, and placing orders
- Examine the cryptocurrency exchange app.
Appropriate app testing can assess the important features of the cryptocurrency exchange. Before introducing a cryptocurrency exchange to the wider market, doing a test launch will enable you to gather feedback and identify any areas that require improvement. You may guarantee the smooth operation of your cryptocurrency app by focusing on the following areas for improvement: performance, functionality, liquidity, transparency, ease, transaction speed, reliability, and security.
- Assure sustainability
To guarantee your app’s long-term survival after release, update it frequently with the newest versions and bug patches. You will want a committed group of engineers and developers to manage your product and improve the app’s performance if you want the cryptocurrency trading app to last.
Factors Affecting Apps like Coin Base
The tech stack, features, development elements, and complexity of the project will all have a big influence on the development expenses. Here are some important things to think about:
- Functionality and Features
The overall cost of developing an app like Coinbase depends on numerous factors. The factors or the features that you wish to incorporate can affect the overall cost. Coinbase provides several services and features that are helpful for users. These include digital wallets, price charts, trading, real-time market data, security features, and an intuitive user interface. Thus, the expense of developing a cryptocurrency exchange is influenced by the advancement and intricacy of such features.
- The platform
Another element that influences the price of creating cryptocurrency exchange platforms is making your exchange accessible on many platforms. One option is to design native apps for a single platform, like iOS, Android, and the Web. On the other hand, if you are thinking of creating an exchange for several platforms at once, you might choose hybrid platforms.
- User Experience and Design
For cryptocurrency software like Coinbase, creating a user experience that is both visually beautiful and easy to use is essential. Although it might be costly, having a well-designed app is crucial to drawing and keeping consumers on your cryptocurrency trading platform.
- Safety
Since cryptocurrency apps like Coinbase need strong security measures to secure users’ money and data, investing in security features has an impact on development costs. Adding security features like multi-factor authentication and ongoing security audits may increase the cost of development and may result in an extension of the budget needed for app development.
- Adherence to Regulations
It is crucial to ensure that your app conforms and follows all the national and international rules. For this, you need to make some expenses for legal and compliance services depending on the target market and location. This can also lead to acquiring licenses and moving as per KYC and anti-money laundering regulations. As per the market, location, and target audience, you need to make the right budgets for legal services.
- The stack of technologies
Choosing the right technology stack can have a really big impact on the cost of development tools, the app complexity, and any other cost associated with the development of a Coinbase-like app. Moreover, there are several other expenses included with several components of every blockchain network. These include gas fees and cryptocurrency transactions.
- Integrations with Third Parties
To improve the overall functionality of the Bitcoin exchange, you need to integrate with the third-party APIs. For instance, now users can create their accounts just by giving their email address or any social media credential. Third-party APIs will have an impact on overall cost and the development process. This is when the developers choose to interface your platform with several other services. These include the explorers of blockchain, different payment gateways, or KYC providers.
The Overall Cost Of Creating A Cryptocurrency App Like Coinbase
The overall cost of developing an app like Coinbase can vary based on several factors. These factors can have an impact on the final cost. These factors include the app’s complexity, the location of the development team, and the tech stack used in the development process, which can all affect the final budget. Here’s a table to help you better understand the estimated costs of developing an app like Coinbase.
Cost Factors for Developing an App Like Coinbase
Cost Estimation for Sub-Features in Development
Businesses can efficiently prioritize their development demands and make well-informed decisions regarding their investment in a Bitcoin exchange app similar to Coinbase by examining these estimates and comprehending the cost implications of different features and capabilities.
Conclusion
Developing a cryptocurrency exchange app like Coinbase can give business owners several chances to get into the much-awaited blockchain technology market. The process of developing a React native app might be a difficult and complex process that requires careful planning, a planned tech stack, and a robust focus on compliance and security. Moreover, you also need a team of skilled developers, security experts, professionals in compliance & regulations, and legal advisors.
With the correct approach and commitment to security, companies can now provide customers with a dependable, secure, and safe platform. With the React native app, they can now trade digital assets with ease. However, it is recommended to get in touch with the leading experts in blockchain development and technology!
