The Best Cryptocurrency Exchange Platforms Development in 2020

Cryptocurrency Exchange Platforms:

Cryptocurrency platforms are digital forums.

Where various cryptocurrencies can be traded with other digital currencies or 비트코인 거래소 fiat money (Fiat money can be defined as, 비트코인 거래소 money governed by different countries government officially like US Dollar, Euro, etc.). These Cryptocurrency exchange platforms work as a brokerage to play an intermediary role between various sellers and buyers of different digital and fiat currencies platforms can genuinely be categorized into two (2) types as mentioned below,

  • Centralized Cryptocurrency Exchange Platforms
  • Decentralized Cryptocurrency platforms

Centralized Cryptocurrency Exchanges:

Centralized Platforms works on the similar concept of regular stock exchanges.

There are three steps fulfilled by three players to complete one transaction in such platforms. These three players can be categorized as a buyer (maker), the seller (taker). In this technique, Buyers or maker set a price (bid) to buy a specific currency while on the other hand, the seller (maker) also set a price to sell his/her Digital currency.

Finally, the critical role of exchange starts, the software matches buyers and seller prices to find an exact match. After finding a demanding match, the transaction is completed. Different exchange platform imposes various fees to find an exact match.

Centralized cryptocurrency platforms are considered easy to use, especially for 비트코인 거래소 beginners. If you are interested in any digital currency trading through a centralized platforms. You have first to register yourself to any software to open an account.

After fulfilling verification requirements of the exchange, your account will be opened. Now, you have to transfer funds into your account by using means provided by your digital money platform. Funds can be transferred into your account through banks, debit or credit card, pay order or through PayPal etc.

It depends on your chosen your digital way. Similarly, through the same means, funds can be withdrawn by the user when needed.

Decentralized Cryptocurrency Exchanges platforms:

Decentralized cryptocurrency exchange software don't have any central authority role in completing the transaction. Peer to peer trading of cryptocurrencies without any intermediary role can be enjoyed through decentralized exchange platforms.

There are some pros and cons of using decentralized cryptocurrency platforms.

Since these platforms allow direct trading between taker and maker, so you don't have to transfer your funds to complete a transaction. It reduces the chance of hacking, market manipulation and of course, you don't have to pay the fee on each transaction. In direct dealing, there is also a chance to get better rates for both buyer and seller.

If you are in a country that does not allow trading in digital currencies, then you may have decentralized exchanges as your only option to trade in digital currencies, as decentralized software do not require as much information as centralized to open a account.

In these platforms to complete a transaction, both buyers and sellers have to complete their roles. So, you have to trust each other. And there is always a potential of fraud as one from buyer or seller may not fulfil his/her role to complete the transaction. In decentralized, you may feel helpless in case of fraud as there is the minimum role of exchange as compared to centralized exchanges.

Most of the decentralized platform are not able to maintain liquidity and trading volume; that's why can't keep the interest level of its users. Decentralized exchanges are the first choice for some traders but not for the beginners in our point of view.

Cryptocurrency Exchange Platforms Charges:

Charges or 비트코인 거래소 Fees of cryptocurrency bank depends on the way of funds transfer chosen by you.

The fee may be higher while transferring funds through PayPal, debit or credit card as compared to funds transferred through bank draft. Increasing risk of cashback can increase the fee on each transaction. Payment through PayPal, debit or credit card can be reversed by the user that increases the chance of cashback and become a cause of higher charges by the exchange.

At the same time, charges of the transaction also depend on the size/volume of each performed transaction. The third and most obvious factor is the exchange itself. Every digital bank has its own rules and regulations to charge fees.

Cryptocurrency wallet:

If you have decided to trade in currency.

Then before finalizing any exchange, must take a trial of software. As software is your main amour in this battel of digital currency trading. Most of the leading Cryptocurrency software's offers wallet option. The wallet is like your bank saving account.

You can save your digital currency in wallet with 0% chance of hacking secured by your password. You can also withdraw these funds whenever you want to do so by just clicking your password.

Buyers & Seller (Maker & Taker):

In exchange technical language buyers and sellers are usually known as maker and takers.

There is an option of Order Book in online software. When buyer set price to buy Until exchange got an exact match for the buyer, his/her order is placed in the order book. When order got an exact match, then the buyer is referred to the seller by the exchange to complete the transaction instantly.

For example, a buyer set a limit of $3000.09 to buy any digital currency. When software finds a seller, who is willing to sell his/her digital currency on the same price of $3000.09 or below, then the transaction will be autocompleted by the exchange.

In another scenario, if buyer set the limit of $2900 and want to buy for say twenty (20) coins of any specific online money at market price, then the it will look for the seller set prices at that time. If it founds that there are three (3) coins available at the cost of below than $2900 per coin and 20 coins are available at the price of $3010 per coin. Then exchange will

intelligently buy the first three coins at minimum possible price and next 17 coins will be purchased at $3010 to fulfil the order.

Today is the time of artificial intelligence, and like every growing industry, exchange software's are also going to be modified and equipped with A.I with time. That's why we strongly recommend studying the software before finalizing your exchange to trade.

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