How To Create A P2P Crypto Exchange Platform Like Localbitcoins? – A Quick Guide

In recent times, cryptocurrency has been progressive. Considerably, the utility value of cryptocurrencies like Bitcoin and Ethereum is soaring. Here comes a crypto exchange platform like Localbitcoins that plays a significant role. Through this, sellers and buyers have wider opportunities for digital trading and in turn, the platform owner could benefit in every possible way with the implementation of appropriate monetization ways. Henceforth, it would be a great opportunity for cryptoprenuers to launch a crypto exchange platform by utilizing the Localbitcoins Clone Script.

How to use P2P Crypto Exchange like Localbitcoins? In Simple Steps

Localbitcoins is a P2P cryptocurrency exchange platform that enables crypto enthusiasts to trade (buy/sell) cryptocurrencies. Let’s now dig deeper into how a P2P Crypto Exchange like Localbitcoins works. 

• The initial step is to sign up with the platform with the required information. Once they are done with the registration process, it is important to complete the process of KYC (Know Your Customer). This is for identifying and verifying the users’ profiles. 
• The crypto wallet will be created automatically for the users who have finished the initial setup process. A wallet is a place where the cryptocurrency which they have bought would be saved.
• Considerably, this platform supports both selling and buying. Hence, the users have to choose the one among these options to proceed further with the following steps.
• Now, the users who are interested in buying cryptocurrency (Bitcoins) will be able to search for sale orders available on the Localbitcoins Clone by applying suitable filters. 
• As the sellers have posted the advertisement, the buyers can choose the one from the listings. If wished, the buyers can check the sellers’ trade history to ensure authenticity. 
• Abiding the policies governed, the buyers can make payment transactions upon the acceptance of the seller for the sales. With the selection of the payment modes, the buyers would be able to proceed with transactions. 
• Once transactions are made, the digital asset would be added to the buyers’ wallets. When needed, the sellers and buyers can interact with each other using chat support. 

Dominant Features Of Localbitcoins Clone App Development

The features equipped in the Localbitcoins Clone play an important role. You could make your crypto exchange platform distinctive and have a competitive edge with the unique offerings. The following are the significant features that have to be taken into consideration during Localbitcoins Clone app development.

• KYC/AML

When done with the initial registration process, the users should continue with the verification process. It involves Anti Money Laundering (AML) and Knows Your Customer (KYC). These two regulations are most widely accepted in most countries. 

• Two Factor Authentication

In order to increase the account’s security, permit the users to enable two-factor authentication. For this, they could make use of the code (OTP) besides their usual login credentials like a password.

• Multiple Currency Support

With the support of multi-currency support in the Localbitcoins Clone, the users can buy or sell multiple currencies for trading.

• Multiple Payment Options

With the availability of a plethora of multiple payment options in the exchange platform, users could choose the suitable one.  

• Advertisements

This is to be carried out in order to get attention from the buyers. Hence, the sellers will be able to create and post advertisements within the platform. 

• Search & Filter

The search option will facilitate the buyers to find suitable advertisements and sellers within a few minutes. Moreover, the filter option will help the buyers to narrow down their search as they could find the one they are looking for hassle-free.

• Escrow Wallet

An escrow wallet is nothing but a place where the cryptocurrency would be saved once the users have bought it. The cryptocurrency or Bitcoin will be in the wallet of the seller unless the payment transactions are completed by the buyer. 

How Can Cryptopreneurs Monetize From The Crypto Exchange Platform?

There are numerous approaches in which one can make revenue from a peer-to-peer crypto exchange platform. Let’s discuss the standard monetization approaches that you could consider. 

• Posting/Publication Fees

The platform owner can levy charges from the buyers and sellers when they post regarding the buying and selling of cryptocurrencies within the platform. Irrespective of whether the users involved in trading or not, they have to pay fees for raising sell or buy requests.

• Advertisement Fees

The crypto exchange platform supports advertisements as sellers could list the cryptocurrencies they need to sell and reach out to wider users. Hence, there is a high chance that buyers could buy their digital coins from those who have out ads. For this, the platform owner can levy a certain charge.

• Commission Charges

On every transaction made after the digital trading, you can charge them a fixed percentage of fees. For instance, Localbitcoins charges 1% commission fees from those who have made announcements regarding the sale of cryptocurrencies. Furthermore, it charges 5% for every transaction, which is in accordance with the maintenance fees. Another 5% is for external payment transactions. 

Which Development Approach To Choose?

There are two common approaches in which a crypto-based exchange platform can be developed. Now, let’s have deeper insights into it in this section.  

• Create From The Scratch

The exchange platform can be created right from the beginning and that needs lots of effort and patience. Therefore, it requires a substantial time frame and cost for development. 

• Opt For A White-label Solution

On the contrast side, a white-labeled solution could opt for creating the exchange platform. It is quite an economical solution to deploy in an instance. 

This is your choice to prefer the one among these approaches. Despite the way you choose, you have to hire the app development team or partner with the company with the specialization in delivering the exchange platform. 

To Conclude,

Without having a dilemma, you can directly leap into the crypto sphere and revolutionize the sector by launch P2P crypto exchange like Localbitcoins. This is because of the rising growth of cryptocurrencies. However, make use of a Localbitcoins Clone Script filled with significant features. Launch your platform and make monetizations.