Do you want to Create Your Own Cryptocurrency? Let’s Crack the Code
- Mobile
- February 5, 2018
The world has gone digital. Nowadays, people prefer cashless transactions and online payment in comparison to cash payment. This has paved the way for a new emerging player; cryptocurrency, which has brought a major transformation in the financial sector.
However, the term cryptocurrency or the digital currency isn’t a newly minted coin. It made its inception way back in 2009 when bitcoin was introduced as the first virtual currency. We are also familiar with the enormous success of bitcoin and other cryptocurrencies.
According to an article published in Forbes, the value of bitcoin increased to more than 400% the previous year in 2017. The article further states that Bitcoin Price Index started somewhere around $968.23 last year and it already exceeded over $10,000 at one point in time.
Anyways, ever since the success of bitcoin the worldwide market, one has also witnessed the evolution of other cryptocurrencies such as Ethereum, Ripple, Litecoin, Dash and much more.
Read also: The Tripartite Struggle: Bitcoin vs Ethereum vs Ripple
Now before we can have a discussion on how to create a cryptocurrency, let’s know why digital currencies like bitcoin and ethereum became so popular:
- One of the prime reasons cited is that it makes transactions very simple, affordable and swift.
- Secondly, it is independent of the control and regulation of the government or any other agency. This currency operates on the decentralized process meaning the user cannot block or decline the transfer of money.
- Thirdly cryptocurrencies like bitcoin do not have an impact on inflation.
- There is no involvement of any third party making the transactions secured.
How to Create Your Own Cryptocurrency
Building your own digital currency is not a rocket science requiring a brainstorming session. All you need to do is write a few simple codes. However, you need to remember one thing and that takes one step after the other systematically.
The app developers developing the cryptocurrency needs to have basic knowledge about the coding. But creation of the digital currency is not merely restricted to writing codes; it includes other tasks such as searching a community for the currency, get familiar with the merchant base, beginning the mining process and lastly target the local people in place of global market.
Look for Community Interested in your Cryptocurrency
If you think that the initial step of building a cryptocurrency begins with the coding process, you are probably going to the wrong direction. Well, first and foremost, the important step is to search for a community and create the digital currency that they are interested in. It must be noted that it should suffice to their needs and requirements.
Now, this is where you need to do some research work. You have to search for a community and try to find out what kind of cryptocurrency are they looking forward to. After building the community, it’s time for the coding process. This will prove that your cryptocurrency is legal and that people can rely upon it.
Now Come to the Coding Part
It has been indicated earlier that coding as such isn’t a hard task or time-taking process. You can get easy access to the bitcoin codes for free on GitHub. According to the experts, the only place where you have to devote some time is if you are making some changes in the codes or incorporating your own code.
For instance, according to the experts, if a developer is reusing the GitHub codes and making a few simple changes, then the total time consumed will be probably half an hour. And suppose you are building a cryptocurrency similar to bitcoin, then much depends on how you are implementing the blockchain features.
Again here the research becomes imperative to get an idea about what the future demand of cryptocurrency would be. For the coding part, it is necessary to have adequate knowledge of C++, which is a computer language. This will help you in implementing the customized features.
Lastly, do not forget to give special emphasis to incorporating the features appropriately and the security factor should always top the priority list. You also need to find ways for fixing the errors and bugs and maintain it properly.
Getting Across the Mining Process
You that you have invested enough time in coding and that process is complete, divert your attention to get more miners on the board. Well, to start off, mining in many ways is similar to prompting a product amongst the target customers.
You also need to follow the same policy. You have to get cross miners who can spread the word cryptocurrency so that your digital currency starts gaining some value in the market.
Well, this is a very crucial juncture; so, do take this step seriously. Remember your cryptocurrency has to compete with the others, if not the bitcoin. You have to make people believe that your currency is different from others and build the trust factor of the miners and users.
The better you are mining, the value of your currency will hike. Don’t think it is an overnight process. You can choose other options such as promoting through online marketing, offering benefits and rewards etc.
You also need to take the decision on how much coins you to supply in the market. Excelling selling can flop the show; therefore be careful.
Finding a Place to Spend Cryptocurrency
We are in the fourth pivotal junction for the creation of cryptocurrency where we need to find a viable market or merchants to earn and spend the digital currency. By reaching the miners you have only informed people that you have developed a cryptocurrency and they should use it; but that will not suffice your purpose.
Establishing a proper marketplace should be the ultimate aim where customers can buy and spend your currency like the traditional currency. Here you are actually building your customer base and this is utterly important. It is through the customer base that the value of your cryptocurrency will increase or decrease.
However, before approaching the target merchants, first you have to build your own confidence. It is better to take help of internet where you can find a few marketplaces to market your cryptocurrency.
Local Market is better than Global
Maybe the cryptocurrency you created is better and different from others. However, the fact is that you cannot expect that your digital currency will gain the same status as bitcoin within a short span of time.
So, there is no point in wasting your time and energy in targeting the global market; instead, the local marketplaces are highly recommended. Don’t think that you will dominate the world market as soon as you create one.
Better take a small step that will show some positive output. First try to create an impact and win the favors of the local people because building the trust factor is essential here. Moreover, you will get an idea on how people are actually responding to your new cryptocurrency. You can also take valuable reviews, tips and feedback on what needs to be improved.
Wrapping up
Of late, the demand for cryptocurrency has skyrocketed and one is witnessing a number of digital currencies debuting in the market. Building your own cryptocurrency is not a difficult task; the important thing is how well you code it and then promote it through miners and merchants.
However, considering the fact that the numbers of cryptocurrencies have increased and the competition in the digital currency is getting tougher, it is highly recommended to avail the services of a knowledgeable and expert app developer. So, schedule an appointment without any delay.
