Cryptocurrency business: how to create your own coin and make money

With the advent of various modern technologies, all spheres of life, including financial, are developing, the activities of companies are being simplified, new ways of solving problems and ways of earning money are opening up. One of these areas is cryptocurrency.

 

Over the past few years, a large number of crypto exchanges and about 15,000 digital coins have appeared on the market, but not all have gained popularity. After all, if many people can create a coin, then only those who use real working tools and effective promotion channels can make it liquid.

If you are wondering how to start making money on cryptocurrency, then creating your own digital coin would be a good option. But to achieve success, one development is not enough. You need to study the market, understand what target audience your coin will be aimed at, what needs of people it can satisfy, and how it will differ from other coins. Goal setting, strategy development, and the specifics of creating a cryptocurrency depend on this.

Cryptocurrency: what it is and how it works

Cryptocurrency is a digital asset, an analogue of ordinary money, which has no physical expression, but has value, exists and is used only on the Internet. The basic unit is coin, which translates as coin. It cannot be taken in cash, but it is valued in hryvnias, dollars, euros.

At its core, a digital coin is a code that is formed through the exchange of data between participants. Information is placed in certain cells, which are interconnected into a block. When it is completely filled, a unit of cryptocurrency is created. Such a system (or database) is called blockchain.

Now some users want not only to make money from mining and selling assets, but also to open their own business using cryptocurrency 2023, in particular, by developing their own coin. At the same time, coins can be either created from scratch or copies of each other. The second option is often used for marketing purposes.

The creation of your own cryptocurrency occurs for the following reasons:

the development process is interesting;

have a startup idea that requires investment;

new methods of calculation are needed;

an ICO is planned;

I would like to gain experience in programming and marketing.

In general, most digital currencies were created not only for sale. For example, the Dogecoin coin appeared for entertainment, Dashcoin was planned as an anonymous platform, and Ethereum was created for smart contracts.

To understand whether you need your own cryptocurrency, you need to answer the questions: is your business present on the Internet, do you plan to receive most of your profits in digital currency, will creating a coin bring additional income and increase your customer base. If all this is part of your plans, then it’s worth developing your own coin.

Why is it profitable to create your own cryptocurrency?

Anyone, even without programming skills and without understanding technology, can issue their own cryptocurrency. But whether you will fail or succeed depends on the idea of the project, the tasks set and the tools used in the work.

Key characteristics of cryptocurrency:

decentralization – the work of the digital currency is coordinated by all network participants, and not by any single center;

anonymity – the crypto wallet number is not associated with data about the owner, and information can be viewed using a special access key;

security - code bases must be protected from hacker attacks, and coins from counterfeiting;

lack of inflation - the success of a coin is influenced by the interest of the audience, that is, the higher the demand for the coin and the more participants are involved in the circulation, the more valuable and confident it becomes;

transparency - anyone can check the transaction history of a particular coin from the moment of its creation.

At the same time, digital money also has its disadvantages. Among the main ones are restrictions on storage methods (only in special wallets, access to which will be impossible if the key is lost), the impossibility of canceling the operation (if there is an error in the details, assets can only be returned with the consent of the recipient) and a ban in many countries.

Despite the disadvantages, cryptocurrency still has more advantages. And in the matter of allowing its use, there is a way out - to choose for registration a country in which the authorities are loyal to digital coins, and therefore offer favorable conditions for doing business (for example, the USA, Australia, Switzerland, Estonia, etc.).

Advantages of creating your own coin:

convenient and fast transactions;

anonymous transfers;

simplification of doing business;

passive income;

no risk of fraud;

expansion of the customer base;

low operating costs;

asset protection.

Therefore, if you are looking for ways to make money on cryptocurrency, issuing your own digital coin will be a good solution. Just remember that this is not an easy process. More precisely, creating a coin may not be that difficult, but it is important that it generates profit. And to do this, it is necessary to increase the value of the currency, develop a promotion strategy, and convince users to take part in operations.

Types of cryptocurrency

There are two main types of digital assets – cryptocurrency itself (coins) and tokens.

The coins operate on a unique blockchain. With their help, you can conduct purchase and sale transactions, pay for goods and services. They have their own value and are used as a means of payment.

Tokens are game money or assets that serve as a means of payment for a specific platform. They can be exchanged for services or invested in a cryptocurrency network.

How does a cryptocurrency differ from a token:

• blockchain - cryptocurrency has its own database consisting of a chain of blocks, but tokens do not;

• smart contracts – the functionality of tokens depends on the capabilities inherent in special programs, and they meet certain standards, unlike coins;

• settlements – coins are used for virtual payments, and tokens can perform other functions;

• emission – tokens are brought to the market immediately in full, and coins must be mined during mining;

• dependence on each other - cryptocurrency is independent, and tokens depend on the blockchain on which they are placed.

The security of digital currency is maintained by special algorithms; it is reliably protected from hacker attacks and changes/deletions of data.

In general, issuing it is much more difficult than issuing a token. After all, it is necessary not only to build a blockchain, but also to maintain its functioning, and the coin itself needs to be promoted.

How to make money on cryptocurrency

To receive income after launching your own cryptocurrency, you need to put it into circulation. This can be done in different ways depending on your goals.

Purposes of issuing digital coins:

making a profit from operations - digital currency must be transferred to a crypto exchange;

internal payment system – you can use coins to pay for various goods or services and make transfers;

new services - you can offer clients various bonus programs by providing digital coins, thereby putting them into circulation;

revitalizing the brand – the launch of a cryptocurrency can generate interest in the company, resulting in an increase in the price of its shares.

Also, to attract investors during an ICO, you should show them that the coin has value, is different from others and is a unique product that will bring improvements to the market.

How to create a cryptocurrency from scratch

Cryptocurrency development is a set of actions aimed at implementing an idea. They involve writing code, creating infrastructure, building a blockchain, and bringing the coin to the market. To launch, you need to understand the operating principle of digital coins, study the market and find experienced specialists to implement the project.

When creating a cryptocurrency, you need to consider :

features of the country's legislation;

principle of blockchain operation;

interests of the target audience;

features of competitors’ coins;

nuances of promotion.

When issuing a digital coin, it is imperative to take into account business goals in order to determine the features of the coin and properly plan the development process. After all, a cryptocurrency can be created as a financial asset, an access key to services, or for another purpose, which means different approaches and involves different strategies.

There are 3 main ways to create digital currency:

• From scratch . Provides for the creation of a new block chain. This is the most time-consuming, complex and expensive option.

• Platform-based – creation of a coin on an existing platform. It is better to choose the most popular ones, for example, Ethereum, Ripple, NEO or Waves. This method is considered the simplest.

• A fork is a copy of the original cryptocurrency (like Litecoin was made based on Bitcoin). Here we take the open source code of the blockchain and make changes to it.

Many development companies offer to create a turnkey cryptocurrency. The service includes not only the release of a full-fledged coin, but also its introduction to the market, promotion, further support, and in some cases, assistance with business registration. This set of actions presupposes long-term cooperation, and a team of specialists, including programmers, designers, and marketers, will work on the project.

If you need a simpler option, you can create a fork. But in this case, you also cannot do without experienced developers, since it is necessary to make changes to the source code. The main changes are the name, port settings, generation parameters, some functions are added, etc.

Blockchain platforms are often used to create a coin for a company’s internal activities or conduct an ICO. The sites offer the block chain structure and basic modules, and the rest is finalized by programmers. This allows you to quickly and effortlessly create a new coin.

When choosing a method for creating a cryptocurrency, you should take into account not only the development time and cost, but also the effectiveness of the finished product. A fork, like a coin created on the basis of the platform, will not have much value for creating a new community and will not be able to interest participants. Only a unique, useful coin available in limited quantities will be in demand. This means its price will begin to rise.

The value is also influenced by the development of the project, convenient software, and good affiliate programs. This helps increase trust, loyalty and interest among users.

How to create a cryptocurrency: instructions

The digital currency development process is multi-step. You must first conduct a market analysis, study competitors, and determine the interests of the target audience. Then you can create a valuable coin that generates interest.

Stages of cryptocurrency release:

1. Choice of jurisdiction

Electronic assets are difficult to control, they violate the monopoly of government agencies on the issue and management of money, therefore a number of countries completely prohibit their use or impose restrictions on the purchase, sale, and exchange. Digital money is allowed in approximately 100 countries, and prohibited in 17. The rest have not yet decided how to treat such assets.

To create a coin, you should choose a country that does not issue any prohibitions on use. Also, it is necessary to study the legislation, in particular the conditions of registration and taxation features, so that the cryptocurrency continues to function and generate income.

The optimal countries for issuing digital money are the USA, Australia, Singapore, Hong Kong, Estonia, Lithuania, Malta, France, Canada.

2. Concept development

To To avoid failure, cryptocurrency must have value. And for this you need a unique offer, a good idea. That is, you must determine why the coin will stand out, why people will buy it, and what benefit the project will provide as a whole.

At the same stage, a business plan for cryptocurrency is drawn up, containing the financial part, the type of coin and method of development, product characteristics, its features, as well as a development plan.

3. Implementation of the technological part

To launch a coin, you need to choose a blockchain or platform on the basis of which it will be created, or think through the architecture of your own blockchain when developing a coin from scratch. This will help build logic and determine the rules of operation of the system.

After this, developers move directly to writing code, smart contracts, implementing technological infrastructure, an engine, a personal account, and connecting electronic wallets.

4. Design preparation

The network structure is formed, a framework, layouts and interface prototypes are created. It should be understandable and easy to use.

5. Testing

The product is being tested to identify possible errors and bugs. The operation of the system under different loads is also studied, and safety is tested.

6. Coin name generation

This is a very important stage. After all, the name you give your cryptocurrency will determine its memorability.

If the name is short, easy to pronounce, concise and original, then the chances that it will attract the attention of the audience and arouse interest in the product will be greater. At the same time, the name of the cryptocurrency should not confuse or cause unpleasant emotions. It is better if it is dynamic, hints at the type of activity, surprises.

For example, to create a name that evokes associations with the world of virtual money, you can take the word “coin” as a basis and add any prefix (Litecoin) to it. To get a modern, interesting name, use, for example, science fiction (Ethereum, Viberate), and if you want to attract attention, make a typo in the English word (like particl or Nxt). Well, to move away from the topic and create a coin that evokes positive emotions, give it the name of a pet, food or favorite fruit, for example (you get something like melon, storm, clams).

7. Logo development

The logo is the face of the cryptocurrency. Using it, users will evaluate the coin and decide whether it is worth attention. And since this happens on a subconscious level, it is important to correctly influence people through visual design, make a positive impression, and form an image of a successful, reliable currency in the minds of participants.

With the help of logo design, you can increase confidence in the coin, evoke pleasant emotions and associations with money, prosperity, strength, power, which is relevant for cryptocurrency topics. To create a harmonious image, you should wisely combine colors, shapes and fonts.

A successful cryptocurrency logo inspires trust, increases audience loyalty, and creates the impression of a progressive company.

8. Project audit

The newly created blockchain and digital currency must be checked for vulnerabilities. This is done to increase the security of the project. This type of work is performed by audit companies.

9. Coin Unfolding

After creating a cryptocurrency, it is necessary to conduct an ICO (initial offering) to attract investors, and in order to expand the audience, find traders, and start making money from trading, you need to bring the coin to cryptocurrency exchanges. To be added to the listing, you will have to go through the procedures established by the site.

10. Website creation

In addition to the cryptocurrency itself, it is necessary to develop a website that will tell about the advantages of the coin and the benefits for users.

Most often they create landing pages for presentation, but it can also be a simple multi-page resource containing a main page, sections with reviews, answers to common questions, a personal account, wallets, a blog in which you need to publish useful articles on the topic of virtual money, various tips, reviews, trends, ratings, etc. Information should be available in English and the language of the country in which the business is registered, with other languages added as desired.

The site should contain basic information about the crypt, meet user requests, have easy navigation, a simple interface and a stylish modern design. Appearance and usability influence the perception of a resource, so in order to attract and keep people on it, you don’t need to skimp on this.

As for what documents are needed to create a cryptocurrency, it all depends on the country in which the business is registered. After all, each state has its own laws, taxation features and requirements for conducting commercial activities.

How much does it cost to create your own cryptocurrency?

The cost of creating a cryptocurrency depends on the development method, the type of digital asset, the complexity of the project, design features, target niche and other factors. Thus, issuing a token will cost less than coins, and you will have to pay more for a digital currency created from scratch than for a fork or modification based on the platform.

The development fee may include individual design, necessary functionality, creation of a blockchain, integration with third-party services, etc.

On average, the creation of a new cryptocurrency costs $20,000-40,000. At the same time, a simple token can be issued for $50.

Is it possible to create a cryptocurrency for free?

To create a cryptocurrency without investment, you need to have a good understanding of programming and technology, know the principle of blockchain operation and how the world of virtual assets works in general. But even in this case, you will have to pay for equipment, electricity, software, access to the necessary programs and services.

If you want to involve professionals in your work, you cannot do without large investments. You can only save money if you release a fork, but then you can forget about the uniqueness and value of the currency. Therefore, this option is suitable for internal use in a company or for fun, but not for building a business and receiving a permanent stable income.

Cryptocurrency promotion strategy

Many people think that it is enough to simply release a coin, and then everything will go by itself. This is wrong. Development is followed by an important and no less difficult stage - the introduction of the currency to the market, its promotion.

High competition in the industry requires large investments in promotion. After all, it is important to put a unique idea into a coin, and to implement the idea and convey the message to the audience, different communication channels are needed, which entails certain costs.

After creating a cryptocurrency, it is necessary to develop a marketing strategy to establish partnerships with various platforms (exchanges, exchangers, online casinos, etc.). This will help list the coin on platforms and increase its value.

Listing currencies on exchanges costs money. Venues charge different fees for the service and set their own conditions for this. On some exchanges, the procedure can cost several dollars, while on others it can reach $50 thousand. Free addition is possible only if the asset is popular in the blockchain community.

Effective ways of promotion:

social networks and instant messengers , as they allow users to keep in touch with each other;

Media – press publications and press releases will help increase the awareness of cryptocurrency;

advertising – banner, PPC, where payment is made per click;

blog on the website - for publishing useful and interesting content that meets the needs of the audience;

SEO – optimization is important to increase rankings and attract users;

crypto bloggers – cooperation with opinion leaders and well-known bloggers in the niche will help increase interest in the coin from users.

A competent promotion strategy will help make the coin popular and increase demand for it. To do this, you need to study the market, develop a business plan, assess the risks and analyze the prospects of the new cryptocurrency.

In promotion, not only advertising and community building are important, but also maintaining pages on social networks. Regular publication of posts will remind the audience about your cryptocurrency, and posting useful information, interesting features, and interactions will lead to increased activity and an increase in the number of subscribers, which will also affect the popularity of the coin.

That’s why you need to invest in different communication channels and use different promotion tools so that more people learn about the new cryptocurrency. After all, if they don’t know about it, it won’t be included in the auction, which means you won’t see any profit from the transactions.

Criteria for choosing a cryptocurrency:

information - what the tasks are, how interesting the idea is, how the project is developing, what the value of the coin is, what market segment it belongs to, etc.;

liquidity – high guarantees stability and small price jumps;

capitalization - the larger it is, the better;

emission – how many tokens have already been issued and how many are planned to be put into circulation;

social networks – audience activity and interest in the project;

trading volume – the larger it is, the more profitable it is to invest in a coin;

code - the project must be clean, protected from fraud.

That is, it is important that the cryptocurrency is interesting, unique, and allows participants to find something new for themselves. To find out the needs and interests of the audience, you can visit thematic forums, and to ensure stable operation of the network, you should find miners.

Popular cryptocurrencies in the world

Today there are more than 10,000 cryptocurrencies in the world. Every year new projects are launched, unique digital coins and tokens are issued. Some of them become popular and in demand, while others fade into oblivion.

To get inspiration, study the strengths and weaknesses of different electronic assets, and find an interesting idea for your own coin, be sure to study the market and competitors.

Top 5 most expensive cryptocurrencies in the world:

Bitcoin ;

Ethereum ;

Binance Coin ;

Bitcoin Cash ;

Elrond .

4 popular coins other than Bitcoin and Ethereum:

• Ripple . The code was written from scratch, the coin itself was created to speed up banking transactions and save on them, and you can get it for useful calculations.

• Dash is an anonymous digital coin that ranks 6th in the ranking of the most popular. Information about transactions is placed in blocks, so it is impossible to track other people's transactions.

• Nem . It has a unique code and works using the POI algorithm. It gives rewards to those who have a larger account balance, while also taking into account the frequency of transactions. Users receive a trust rating and the higher it is, the more likely they are to receive a reward.

Promising new cryptocurrencies:

1. ICP . A blockchain service has been developed that allows you to host anything, including a server. According to the creator, the project can become a cloud and thereby compete with well-known cloud services from Microsoft or Google. In just a few days from the moment it was listed on the Coinbase exchange, the coin became one of the top ten cryptocurrencies by capitalization, and it amounts to $7.5 billion.

2. SafeMoon is a DeFi token that is completely community controlled. It operates on the Binance Smart Chain blockchain, offers a beta version of the wallet and an automatic liquidity pool to avoid price collapses when users sell assets. Capitalization – $1.79 billion.

3. Chia is an environmentally friendly digital coin, the mining process of which is called differently than other cryptocurrencies, namely pharming. Here, users do not perform various calculations, but receive tokens for free space on their hard drives. Currency capitalization reached $333 million.

New cryptocurrencies can quickly take off, becoming promising if they differ from existing ones, benefit users, and attract originality. Therefore, it is important to invest not only money in the project, but also an interesting idea.

To create your own cryptocurrency that attracts user interest, contact WeLoveBrands . At the customer’s request, our developers will make a fork or write the code from scratch, designers will work on the visual component, prepare for you a stylish modern website and a unique coin logo, and copywriters will come up with a catchy, memorable name. To clarify the details and cost of launching a cryptocurrency, call us by phone or write to us via messenger.