Nowadays, the aggressive growth in crypto trading emerges the demand for crypto exchange platforms. Particularly, OTC crypto exchanges are appealing for bulk trading among institutional traders and high-net-worth individuals. From the user’s perspective, these exchanges differ from traditional crypto exchanges in terms of price flexibility, greater privacy, higher liquidity, and faster execution.
But as a startup when you look at the history, you can see the tremendous growth of these exchanges in terms of market cap. Furthermore, the high trade volume execution results in a high revenue potential. These promising business benefits turn many startups’ attention toward these OTC exchanges. However, the cost to build OTC crypto exchange is the turning point for them.
So to give complete information, let us explore the benefits of creating an OTC crypto exchange, factors influencing the development cost, and cost analysis in a detailed manner. First, let me start with the…
Benefits of Developing an OTC Crypto Exchange Trading Platform
As stated earlier, the reason behind the demand for this OTC Crypto Exchange Trading platform is price flexibility. In OTC exchanges, the traders can directly connect with the OTC admin for trading. The admin desk is the authorized person who decides the price and processes the trade. But the mystery surrounding these exchanges is how they turn a profit.
The OTC crypto exchanges earn profit in various ways. When executing the trade, the admin makes a profit from trading fees. And, the OTC admin earns a lot of profit when buying an asset at a lower price and selling them at a high price. This process is simply called ‘Spread’. Further, these trading platforms offer higher liquidity. So there is a definite increase in the trade execution resulting in higher profit making.
Furthermore, OTC crypto exchanges are built to support increased scalability and liquidity. So when you create OTC crypto trading platform, you can offer multi-currency OTC trading, similar to popular exchanges Kraken and Coinbase Prime. This results in an increasing user base and a solid financial foundation for your business. Apart from this, OTC crypto exchanges offer numerous business benefits to you like,
So now you may understand the value of the crypto OTC Trading platform. And how it is beneficial to startups in terms of their trading method and revenue generation through transaction fees and listing fees. When you Develop OTC Crypto Exchange platform, you will be the admin having full control over your exchange. But still, do you have control over the cost to create OTC crypto exchange?
To find the answer, you have to know the…
Factors Influencing the Cost to Build OTC Crypto Exchange
The development cost is an important consideration in budget planning, taking investment decisions, and finding business opportunities. Speaking about the OTC crypto exchange development cost, there are certain factors to consider. As a startup, understanding them could help you define your business goals.
So we shall have a quick overview of this.
Feature Selection
The addition of appealing features to your OTC trading platform increases its capability and functionality. This will boost user satisfaction with your services. So spending on feature integration is an investment rather than an expense. You will be compensated by the profits in the future. So it is vital to never compromise on the feature selection because of development costs.
Fees for Licenses and Regulations
To operate an OTC exchange in a specific country, you must first obtain a local government license. Furthermore, a payment gateway should be PCI-DSS certified in order to be integrated into your OTC exchange platform. So as a startup, you should be aware of these fees associated with your business operation.
Technical Requirements
As a startup, you may be aware that the development process requires appropriate tools, a team of developers, and software and hardware infrastructure. Buying or updating the software to the latest version needs investment. These factors also have a significant impact on development costs.
Support to all Platforms
When your wish is to launch the best OTC crypto exchange, it is not only required to be feature-rich, secure, and have attractive trading options. In a mean way, it should be accessible on any mobile platform like Android and iOs and web versions. So that, you can get interaction from global traders.
Development Method
In general, creating an OTC crypto trading platform is possible in two ways. One is developing from scratch and another one is developing using white label OTC crypto exchange software. Development from scratch needs a lot of time and effort as the development is from the starting point. This will reflect in the high development costs.
On the other hand, the white label OTC crypto exchange software has basic features and is also customizable. So you can complete the entire development process within a few weeks which results in lower cost.
So after knowing the cost factors discussed above, you may understand how the development cost is a crucial factor in deciding the future of the business. Managing these cost factors effectively lets you limit the cost to build OTC crypto exchange. But, does it possible within your financial constraints even if you have control over the cost to some extent?
The straight answer to the question is “Yes”. Choosing ZAB Technologies – A reputed Crypto Exchange Development Company could enable you to meet your business goals cost-effectively with a professional way of OTC crypto exchange development. So as a startup, if you wish to know about the approximate cost, then have a look at…
How Much Does it Cost to Build OTC Cryptocurrency Exchange?
As we discussed earlier, the development cost of an OTC trading platform varies based on certain factors. Considering the financial constraints you may look for a cost-effective development. Choosing the right development method will help you in this regard. Regarding the development method, you can create OTC trading platform from scratch or using the OTC crypto exchange software that we discussed earlier.
When you develop from scratch, every part of the OTC exchange is to be developed from the starting point. Hence it is a long-tail development process that contains a lot of development steps. Though the cost is higher, you can yield robust functionality of OTC exchange. When you approach ZAB Technologies, the cost of developing an OTC crypto exchange from scratch would be between $80,000 and $1,000,000.
On the other hand, the white label OTC trading software has all projections to complete the entire development within a short time and limited budget. So if you decide to develop an OTC cryptocurrency exchange using our OTC Trading software, then the development cost would be between $15000 and $18000.
So from the above cost estimation, you can decide which development method perfectly fits your needs. This analysis also helps you figure out your financial boundaries. However, we at ZAB Technologies give more priority to clients’ business goals. And accordingly, our OTC development procedure is also a cost-effective method for startups. Apart from that, certain quality standards we follow in keeping us pioneers to Build OTC crypto exchange.
Why Choose ZAB Technologies for OTC Crypto Exchange Development?
We at ZAB Technologies follow customer-friendly business practices. Regardless of the development method you select, our team of experts always hear your thoughts before laying a foundation for OTC Crypto Exchange Development. Considering the technology requirements, we analyze and choose the perfect fit that is currently trending in the development arena.
Our business-friendly development procedure makes this possible by organizing every point of development in a professional tone.
In addition, our testing engineers ensure a lag-free performance with their impressive experience in OTC trading Desk development. Our extended support guide you to fetch your business on the progressive path. In addition, you need to worry about real-time monitoring and maintenance. Our team of experts will take care of them. All these quality standards come within your budget. Amazing isn’t it? So overall, as a startup, if you look for a companion to build your dream OTC crypto exchange in a professional manner, then get in touch with ZAB Technologies for a cost-effective OTC crypto exchange development.
