Ultimate Guide on Best Bitcoin App Development Company - PerfectionGeeks
In 2009, Satoshi Nakamoto — a person whose actual identity is still a mystery — developed the first cryptocurrency, Bitcoin. Virtually, it was the unique way of payment that could be utilized internationally, decentralized, and without being controlled by any financial institution.
More than10 years have passed, the total global market capitalization of all cryptocurrencies totals $2.16 trillion, making it comparative to the 8th largest economy by GDP.
Cryptocurrency has come into common use and developing cryptocurrency apps and products turned out to be a promising and profitable niche within the financial technology industry.
Surf has executed various large cryptocurrency projects from scratch and accumulated enough professionals to guide you through the whole process of cryptocurrency app development to make it effortless and smooth.
What is a cryptocurrency app?
First of all, let’s sort out the primary terminology we will use throughout the writing:
Cryptocurrency is a digital currency that can be traded for goods and services, which is secured by strong cryptography — that’s why it’s almost impossible to counterfeit or double-spend it. The primary motive behind the recent dramatic rise of cryptocurrencies is that they’re not given by any authority and are immune to any government control and manipulation. Many organizations issue their own currencies (tokens), which can be traded specifically for the goods or services the business provides.
Bitcoin (BTC) is the most famous cryptocurrency that became a standard for other cryptocurrencies. Nowadays, there are about 6500 different cryptocurrencies in the world. The most significant digital currencies except Bitcoin are Ethereum (ETH), Litecoin (LTC), Cardano (ADA), Polkadot (DOT), Stellar (XLM), Chainlink (LINK), Tether (USDT), Monero (XMR).
Cryptocurrencies work using a technology called a blockchain. Blockchain is a decentralized technology distributed across many computers managing and recording transactions. Part of the appeal of this technology is its safety.
A cryptocurrency app allows its user to follow and/or control local or international flows of cryptocurrency funds, exchange tokens for fiat funds, and vice versa.
Below are several explanations why digital currencies and cryptocurrency apps are on top now:
- • Decentralization. Blockchain can free cryptocurrency from any control so that no authority can enforce its rules to a cryptocurrency owner.
- • Fast and unlimited transactions. Users don’t require to wait several days until the money will be fully functional at the recipient’s account. There are even no limits in terms of the number of transactions.
- • Low transaction fees. Financial organizations charge substantial transaction fees, while cryptocurrency transaction fees are relatively short.
- • Internationally recognized. Cryptocurrencies allow senders and recipients that are located in additional parts of the world to protect conversions and commissions.
- • Transparency and anonymity. If the crypto address is not publicly established, nobody will know the sender and the recipient.
Steps of cryptocurrency app development
1. Determine what issue your app is going to solve. First of all, you require to identify the most common issue users are facing and define the way your app will solve them, or at least one of them. Based on this, you can select the correct type of blockchain solution. After that, you need to conduct a cost-benefit analysis to determine if an application is worth the investment, and assess the potential threats.
2. Decide on the approach to the crypto app development. Generally, there are two methods: to use public libraries, so that you will not require to code the entire app on your own or to create an app from scratch. In the latter case, you will get a chance to create an app with outstanding design and functionality, but it’s far more expensive.
3. Decide on app model development. Will it be hybrid, internal, or cloud? You are also required to determine the right blockchain solution to implement: there are unlimited, allowed, private, public, or hybrid blockchain models. Also, rate the best stack based on your preferred platform. For instance, React Native and Flutter cross-platform mobile frameworks are the most used for cryptocurrency wallets development for both iOS and Android.
4. Think about app configuration. The configuration of the blockchain app is crucially necessary, as most of the members cannot be changed once configured. After preparing the server components, you need to select the most suitable front-end programming language, external databases, and servers for the app.
5. Develop the right UI/UX design. The app should be effortlessly navigable and intuitive. Don’t ignore paying enough attention to the coloring palette of the app and content nuances.
6. Choose between pre-built and custom APIs (Application Programming Interface). While there are several pre-built APIs, you may want to make custom APIs for your app. APIs can be for information assurance, key pairs, and address generation, managing smart contract interactions, and storing and retrieving data.
7. Testing and scaling. The best thought here is to create a Minimum Viable Product (MVP) first and then try it to determine crashes, latencies, memory, and storage issues, along with performance issues.
Things You Should Avoid During the Bitcoin Wallet App Development Process Here I am listing a not-to-do list to ensure you that you will obtain the high-quality effect of your bitcoin wallet app. Please try to avoid these errors while hiring the most suitable bitcoin wallet app development business.
Fault 1: Not Signing an NDA
There should be a reciprocal non-disclosure agreement signed between you and the bitcoin wallet app development company. Mostly, NDA is signed at the start of the development strategy. This deal offers you the assurity that your wallet idea is secure and ensures the protection of sensitive and confidential financial transactions. Suppose once both players (you and the bitcoin wallet developer) have signed the non-disclosure agreement. In that case, it is secure to disclose the concept of the app and project plans in detail with the bitcoin wallet app development company.
Fault 2: Not Keeping a Well-Thought Payment System
Bitcoin wallet app development isn’t a little investment, and therefore payment milestones are necessary to put you at ease. Generally, the fee structure for the bitcoin wallet app development is split into multiple tiers like project initiation fee, document designing phase, launch phase, and many more to provide consumers with comfort.
Fault 3: Hiring the Small Costly Bitcoin Wallet App Development Company
This is the most common error behind unsuccessful IT projects because you still try to opt for the slightly expensive IT business. I am not saying that it’s a bad idea to pay attention to costs, but it should not be the primary focus. Selecting the development group with relevant knowledge and great strategies is more meaningful than cost.
The cost of development is never the only choice for successful IT projects. The cause is very obvious for this. You get an app developed at a very low cost, but it might not be up to the required standards for the app to complete your project goals. So, the money will go in vain. This is why the ROI (Return on Investment) system is the best one.
Fault 4: Not Choosing a Crystal-Clear Scope
After choosing app features, payment structure, timelines of the project delivery with your bitcoin wallet development company, it is crucial to make a mutually signed SOW (Scope of Work) document. SOW contains flow, app features, design references, project delivery timelines, and many more. The development company can make an SOW for you.
Types of cryptocurrency apps & primary components
As we mentioned above, the first thing to do before starting your own crypto project is to determine what kind of cryptocurrency app you’re going to create. Commonly, such applications are either crypto wallets, aggregation platforms, or trading apps.
What is it?
A blockchain wallet, or cryptocurrency wallet, is software, using which consumer can safely store their cryptocurrencies and transaction-related records. Commonly, crypto wallets support the two most famous digital currencies — Bitcoin and Ethereum. Over 70 million people use blockchain wallets worldwide. On the graph below you can see the unique dynamics of the number of crypto wallet users over the last 10 years:
Cryptocurrency wallet apps complete transactions that are more comfortable and quicker. This way of transferring money is also affordable and decentralized, which means that there is no central authority to manage transactions that are fully anonymous and encrypted.
Factors defining the rate of a cryptocurrency wallet app
- • Several supported currencies (BTC, ETH, LTC, XRP, and others).
- • Protection (two-factor authentication, fingerprint scanner, FaceID, hardware authentication, multi-signature, and so on).
- • User Experience. Handling your wallet shouldn’t be more difficult than using services like PayPal, Google Pay, or Apple Pay.
- • Anonymity. Reliable tools to save users’ personal data. Meanwhile, big miners and investors sometimes require a token mixer to trade big quantities of cryptocurrency.
Top cryptocurrency wallet app features to create
- • User authorization (two-factor authentication)
- • Multi-cryptocurrency support
- • Conversion rates
- • QR-code scanner
- • Push notifications
- • Transferring and receiving operations
- • Transaction history
- • Security features
Some instances of the most profitable cryptocurrency wallet apps are Bitcoin Wallet, BitGo, Coinbase, Electrum, Green Address, Infinito, Edge.
Crypto data aggregators
What is it?
Crypto data aggregators are focused on delivering users with the relevant data regarding the cryptocurrencies in the market (prices, market capitalization, trading volumes, trading pairs, available markets, and exchanges ranking). Such aggregators are often used by investors to delve more deeply into the crypto market.
Note that when creating such a cryptocurrency app, it’s crucially essential to pay attention to the UI/UX design, as in this case it mainly defines user experience, including the perception of the imagined data, which affects the success of such services the most.
Aspects determining the quality of a crypto data aggregator
- • Quality of displayed data. Rates should be pulled from deals in real-time. Users should have an opportunity to seamlessly specify from which exchange to get data about the rate, and for each coin (trading pair).
- • Analytical tools. A good crypto aggregator should supply users with tools for technical research and building different trading strategies.
- • Additional functions. Push notifications, integration with cryptocurrency exchanges, news feed.
Top crypto aggregator features to develop
- • Live prices and charts
- • Price alerts (notifications)
- • Newsfeed
- • Watchlist
- • Synchronization with user’s portfolio
The most profitable crypto data aggregating apps currently on the market are CoinMarketCap, CoinGecko, Kaiko.
Cryptocurrency exchange platforms (cryptocurrency trading apps)
What is it?
Cryptocurrency trading app is an online platform similar to a marketplace that acts as an intermediate between the vendors and the customers in trade transactions, which are mostly limited to buying, trading, or exchanging between fiat and virtual money. Creating a cryptocurrency trade platform is a much more complicated project than building a crypto wallet, as it’s associated with specific threats and needs more resources.
Factors defining the quality of a cryptocurrency trading app
- • High liquidity. As you are doubtful to have enough trading volume to deliver instant sale/exchange of tokens at first, it’s logical to link to an external liquidity pool to satisfy users’ requirements.
- • A large number of trading pairs. “The more the better” principle operates here, but remember that new coins might turn out to be a scam.
- • Reliability and safety. The level of protection of a cryptocurrency exchange platform should be high enough to process hundreds of thousands of transactions.
Top cryptocurrency exchange app features to develop
- • User authorization and verification
- • Trade engine
- • Transaction history and order book
- • Analytical tools are (Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD)), Bollinger Bands (BB), etc.)
- • Push notifications
- • Cryptocurrency wallet
- • Security features
- • Admin console
Best cryptocurrency trading apps: Kraken, Gemini, Bitstamp, Uniswap.
Bitcoin wallet development is a secure mode for exchanging cryptocurrencies and achieving massive popularity in the digital world. The bitcoin wallets have to have security elements such as two-factor authentication and multi-signature methods to create an additional layer of security.
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