Cryptocurrency (Bitcoin) Exchange Script

The business of exchanging bitcoins, litecoins, and other cryptocurrencies is developing rapidly not that from year to year, but even every quarter. Investors, traders, they are all sitting at the monitors watching charts of the exchange rate with great expectations...

#1. What to look for?
#2. Architecture
#3. KYC and AML Modules
#4. Liquidity Providers?
#5. Currencies and Cryptocurrencies
#6. Trading and Exchange
#7. User Features
#8. Admin System Features
#9. Where to Choose the Cryptocurrency Exchange Script?
#10. Conclusion

The business of exchanging bitcoins, litecoins, and other cryptocurrencies is developing rapidly not that from year to year, but even every quarter. Investors, traders, they are all sitting at the monitors watching charts of the exchange rate with great expectations. But how to run the cryptocurrency exchange itself? Is it worth considering the white-label cryptocurrency exchange, or is it better to invest and buy a cryptocurrnecy/bitcoin exchange trading script? What you need to pay attention when buying and downloading, read on in our article.

What to look for?

Some solutions and scripts seem useful and very cool, but it’s deceptive. Just a sales package. Learning how it actually works is only possible by installing on your own server, by trial and error. Customization can be a living hell, the functionality is not flexible, and the platform does not scale at all. In this case, in the future, you expect only disappointment. We are going to help you to prevent this.


Perhaps the foundation and starting point of all web applications is their architecture. The architecture is developed for several types of projects differing in load. In cryptocurrency exchanges, these are small, medium and large (enterprise) projects. However, this also applies to the marketplace website development.

A characteristic feature of a small project is the architecture all in one. It can be cheaper, however, and bandwidth, the load is also not so hot. Needless to say and think, about trading volumes exceeding several thousand.
At the moment, the largest number of exchanges on the market is the medium-level projects. To create and run such an exchange you should use a modular system with isolated components. If you have several high-end system administrators in the team, then you will be able to launch an effective platform with decent daily volumes.

Large or enterprise cryptocurrency exchanges will not work with the above architecture. But what then to do? Distributed isolated modular system with load balancing and super powerful server (a la, m5.24xlarge) will help you. The components of the cryptocurrency exchange software have been described in our previous articles. This is a graphical user interface, wallets, trading engine, administrative system, and database. Synchronous operation is the key to success at the start. Each of these components for the medium project must be hosted on a stand-alone server. Protection levels vary from component to component. Technical requirements for the server are also different.

KYC and AML Modules

In recent years, often emerge news: one or another country banned the cryptocurrency. Facebook banned advertising of cryptocurrencies. Binance moved operations from Japan to Malta, and it is the largest exchange in the world! Requirements for exchanges, and the complexity of their opening increases in India. Belarus and Estonia at all legalized these businesses. However, this does not, in any case, cancel that you need to comply with the requirement of your countries.

Know your customer require exchanges and payment systems. What is included in the minimum KIT for KYC? For most countries, it is sufficient to provide user data, their identification with ID cards, international passports, and driver’s licenses. The next level of identification involves the possession of information about the user place of residence. Bank statement, utility bill, or mobile operator bill also solve this. KYC is important for launching ICO.

AML or anti-money laundering. Shortly, in order to protect yourself, you are required to provide reports on financial transactions passing through your exchange to higher authorities, the Government. It is important to remember that this is all necessary only for exchanges that work with Fiat money like the dollar, euro and other regulated. If your cryptocurrency exchange presents cryptocurrency trading pairs to cryptocurrency, then it is not necessary to implement these modules. However, once you decide to run Fiat money, get ready.

Cryptocurrency Exchange Script: KYC and AML Modules

Liquidity Providers?

Liquidity is the most important element of building cryptocurrency exchange platform and script. Without sufficient liquidity, your exchange will not be listed on Coinmarketcap, users will be unhappy, and as a result the outflow of customers. Misinformation has always existed, but there are only 2 options for generating liquidity.

Local market makers. Generate orders based on algorithms, current exchange rate, and general market situation. Market makers work on behalf of platform owners and their wallets. According to 2017 data, each major exchange has local market makers.

External liquidity. If the first option does not suit you, there is much more interesting – obtaining external liquidity, for example from Kraken. What happens in this case? Exchanges are synchronized with each other. As soon as the order appears on Kraken, it immediately appears on your exchange and vice versa. It is difficult to say which of these two options to choose. Pros and cons are in each of them. Unity and harmony in liquidity can be achieved only by combining both options in the platform.

Currencies and Cryptocurrencies

What currencies should support cryptocurrency exchange? What about Fiat money? In fact, everything here is quite simple. After doing a little analysis of the target countries, you can easily tell what fiat money they use. For example, for most European countries there should be a minimum of 2 currencies: the Euro and the country’s national currency (Swiss franc for example).

Regarding cryptocurrencies, you can always open Coinmarketcap to see which coins are gaining popularity and which ones are losing value. Capitalization is another important point. Definitely worth using Bitcoin and Ethereum. Add Litecoin to them and here is the minimum acceptable set. If you created your own ERC20 token, maybe it is worth adding it too. To some extent, it also depends on the target country. For example, in Turkey a long time popular Monero. Your supported list of coins might be an advantage for you which your marketing experts suggest using. The same as in ICO marketing.

Trading and Exchange

There are three types of exchanges with several subspecies. First of all, these are exchanges, trading systems with order book, and of course margin trading with leverage. Each type has its own characteristics. The first makes profit in the exchange rate, the second on transaction’s fee, and the third on gamlbling. When choosing a cryptocurrency exchange script, pay attention to what properties it has and what you actually need. You can build this using blockchain smart contract.

User Features

In addition to the standard profile with several data fields, there are still features to receive live notifications, 2-factor authentication, deposit and withdrawal of money including Fiat and cryptocurrencies. Trading history, logs, and security are essential functionality for users.

Admin System Features

As the exchange owner, you must have a wide range of functionality. If the KYC module is enabled, it is primarily user management. Will you do it yourself, or using managers – doesn’t matter. However, there should admin allocation roles for greater security. Hot wallet and cold wallet support.

Managing trading pairs is also important, but not as important as reports and transaction lists. Smart filters based on user preferences, market conditions. Communication with users is also better to implement through the administrative part. The alternative can serve as Zendesk.

Where to Choose the Cryptocurrency Exchange Script?

The market is packed with different options and scripts, each with its own characteristics and shortcomings.

Free and open-source scripts. Perhaps the most delicious decision. Free scripts that everyone can easily download and install to start the cryptocurrency exchange. Is it worth to download? Definitely, yes. At least you will understand the architecture of the exchange and its components. However, in such scripts often have holes for developers to be able to pull the money a little bit. In that case, you hire a team of experts to audit and then restructure and refactor your code. I think it is needless to say that such scripts will not withstand decent loads.

Cheap scripts. If you have a little knowledge in the development, for example, on WordPress, it’s easy to you to download the ready-made open-source script, make small changes to CSS and sell it under your name. These are the solutions you will find on the Internet. At its core, they are virtually indistinguishable from the previous paragraph.

White-label exchange scripts. Such scripts already have ready-made functionality that you can deploy to the server and run. Ideal for starting your bitcoin exchange business, but often does not meet the requirements of companies with slightly higher expectations.

Custom exchange. Suitable for exchanges involving unique features, its own vision or refinement. Suitable for large, high-load projects.


So, we have considered the most important stages when buying or downloading the cryptocurrency and bitcoin exchange script. What functionality to choose? At least you know what to pay attention to. If you still have questions or want to try the Merehead script, write to us.

Do you want to build a web-app or a website? Tell us about your project and get a free quote.
Rate it (2 ratings, average 5 out of 5)
Thank you!

Thank you!