The emergence of Web3 is compelling the crypto community towards a decentralized internet that is soon going to dominate the world. Are you eager to know, why are venture capitalists showing great interest in seeking the help of Web3 crypto exchange development services? It’s because, they are viewing immense potential in Web3-enabled platforms where the crypto holders can exchange, buy, or sell their crypto assets fearlessly through the decentralized blockchain.
According to a report by Vantage Market Research published by Globalnewswire, The revenue of the globally spread Web 3.0 blockchain market may reach $23.3 billion by 2028. Interestingly, game makers are one of the early adapters of Web3 technology as it helps the gamers as well as the game owners to earn through the sale and purchase of in-game assets that can be further traded through crypto exchanges.
Before continuing the discussion about Web3 exchange development, let us be reminded that the famous cryptocurrency exchange, Binance has not yet adopted decentralization, and soon after implementing the KYC rule, it lost 90% of its customers and billions of revenues in 2022. Maybe, because decentralized exchanges like DYDX do not seek KYC, and allow greater privacy. Isn’t it a strong reason why Web3-based crypto exchange development is currently in trend?
Benefits of Using A Web3 Crypto Exchange
The structure of a Web3 exchange is fully decentralized and it runs on smart contracts. It means that no single entity is responsible for crypto transactions to match business logic, because it is auto-verifiable through smart contracts.
Here are some more benefits of relying on Web3 crypto exchange:
- Privacy of Users
The Web3-enabled crypto exchange ensures complete privacy of user data and does not disclose their identity. The customers are not enforced to complete the KYC procedure, unlike the centralized crypto exchanges. The blockchain’s anonymity feature is best used by Web3 exchanges. It’s the biggest reason why Web3 crypto exchange development services are much in demand in the current pretext.
- Asset Accessibility
Earlier, a shutdown of an exchange meant a loss of assets for all users. Unlike yesteryears, if the decentralized exchange is smashed, the users won’t lose their crypto assets as they are safely stored on the distributed ledger of the blockchain.
- Hack-Proof Infrastructure
Web3 exchange development ensures greater security, as the record of transactions is saved on an immutable blockchain ledger. As there is no centralized authority that can manipulate the records, the users can have complete control over their funds. Automated transactions through smart contracts can be risky if there are certain loopholes. Thus, the experts in Crypto Exchange Development always take care that smart contract auditing is done properly before deployment.
- No Counterparty Risk
When two parties are engaged in a transaction, and either one or both show disinterest in accomplishing the deal according to the pre-defined agreements, it’s termed counterparty risk. As Web3 crypto exchange does not involve any third-party intermediate and implements smart contracts, it eliminates the risk of losing funds on a wrong investment.
- Lower Transaction Fees
The biggest reason behind the growing craze for Web3 exchange development is cheaper transactions. Earlier, Ethereum served as the only blockchain that allowed smart contracts development, but due to its high gas fees, technologists gravitated towards other blockchain platforms like Polygon to allow lower transaction costs to the crypto exchange users.
- Maintenance of Order Book
Usually, decentralized exchanges record the buy and sell orders separately, the open orders listed in the order book waiting for the right offer that matches the conditions perfectly. As soon as the offer is found, the offer automatically closes and disappears from the order book. However, this functionality can only be made possible with the help of technically proficient Web3 crypto exchange development services.
- Record of Transaction History
The Web3-powered decentralized exchanges help the users to access the complete list of trades done, along with the amount, trading rate, and time stamp for the transactions.
- Analytics
Most of the modern Web3 exchanges have integrated analytical tools that provide detailed information about market trends and help the traders to prepare a plan of action accordingly. These analytics tools are the enablers of technical indicators, one of the most popular features of Web3 exchanges.
- Push Notifications
Traders and investors get push notifications regarding important events or significant announcements.
Steps For Web3 Crypto Exchange Development
As we have already discussed the benefits of using Web3 exchanges, won’t you like to know about the process of Web3 Exchange Development?
Here is the step-by-step guide:
- Research & Analysis
It’s the first and most important step. The Web3 crypto exchange development services will have to understand the market conditions, analyze the competitors, and prepare a list of features and functionalities that will attract the target audience. It will be necessary to identify the possible risks and find the best remedial measures as well.
- Designing & Development
Taking care of the user interface is the toughest part of Crypto Exchange Development. The UI/UX designer must ensure that the platform looks attractive and appealing, apart from being responsive. Then only it will be able to grab the attention of traders and investors to join the exchange. In addition to it, the developers will be responsible for adding features and functionalities to the platform.
- Writing Smart Contracts
Countless numbers of smart contracts have to be written and tested properly in order to ensure the smooth functioning of sale, purchase, exchange, and trading processes.
- Quality Assurance
Testing is the second last step of Web3 Exchange Development and if everything goes fine, then only the crypto exchange can be launched successfully. When the codes are reviewed properly and the platform is tested properly, you can bring it forward to the world with utter confidence. It’s the phase when the bugs are fixed, performance and security is checked, and quality standards are met carefully.
- Deployment & Maintenance
Once the testing and debugging process is concluded, the process of Web3 Crypto Exchange Development enters the last phase in which the platform is made available for public use. However, deployment is not the end of the road, because the developers will always have to stay active for regular maintenance and updates.
Final Thoughts
Antier is a leading blockchain enabler that provides Web3 crypto exchange development services. You may contact the team of experts to discuss the unique features and functionalities you want to have in your crypto exchange. They will perform technical analysis before proceeding with Web3 Development to align with your expectations. Get in touch with us now!
