With the ongoing digital transformation trends and exponential growth in the DeFi business segment, crypto exchanges will be the next disruptive element. Having a bespoke-made cryptocurrency exchange for your company to cater to your customers better is a robust move to take an edge.
With a cryptocurrency exchange development, businesses can quickly scale their services globally and generate additional revenue by onboarding more customers. As more individuals opt for decentralized assets to grow and sustain their capital, crypto exchanges give an unparalleled advantage to businesses for generating higher revenues.
Be it allowing customers to park their crypto assets and earn interest on it or letting them trade cryptocurrencies with other registered users — the use cases are many. However, it's essential to ensure that the exchange is highly secure and offers seamless privacy to customers across all touchpoints. We have gathered some key security aspects that a business should have to provide top-notch security for better understanding.
Here are some of the fundamental security features that you get from Seven Bits in your custom-made cryptocurrency exchange:
Multi-signature is among the highly used and fundamental security features that every exchange should have to ensure intact security. Also known as Multisig, this feature enables more secure protection by allowing multiple cryptographic authentications. With this feature, customers are assured that their valuable crypto assets are safely protected with an additional layer of security. It improves the security across multiple touchpoints and lets customers safely perform transactions seamlessly.
2FA or 2-factor authentication is a must-have authentication protocol that every cryptocurrency exchange should have. This authentication acts as two-layer protection for all the parties associated with the exchange. Even if the password is compromised, intruders can't gain access to the exchange. The system auto generates a unique code that users need to enter after completing the initial login.
The 2-factor authentication is more secure because the code is only sent on the authorized device, and the security code is time-sensitive. This feature becomes essential for cryptocurrency exchange owners as the cryptocurrencies are almost impossible to recover or track back once they're stolen.
With the growing demand for cryptocurrencies around the world, cyber threats are also growing extensively. Significantly to overtake a cryptocurrency exchange, hackers target the source using distributed denial-of-service (DDoS) attacks. In this scenario, the hackers bring down the cryptocurrency exchange servers to revoke the exchange from legitimate users. Some of the commonly performed attacks are application-layer attacks, SSDP amplification, and NTP amplification.
At Seven Bits, we ensure your cryptocurrency exchange is protected with omnichannel DDoS protection protocols. We also integrate your crypto exchange with third-party services like Cloud Flare to provide additional security on request.
KYC and AML integration
Know Your Customer (KYC) and Anti-money laundering (AML) are some keys and must-have security features that every cryptocurrency exchange should have in 2021 and beyond. KYC helps you keep your platform protected from any fraudulent activity performed by a registered individual.
On the other hand, AML protocol lets business owners maintain higher transparency across multiple touchpoints of the platform. With AML integration, no registered individual can manipulate, or forge financial records or make unauthorized asset transactions.
Our Blockchain Center of Excellence (CoE) team ensures to integrate these two robust security integrations to protect your platform and customers from any possible threat.
Web protocol security
Even today, many business owners overlook the importance of securing their websites and other web-hosted applications. More than 29% of the cryptocurrency exchanges are running on unsafe HTTP protocol that is a direct invitation to the intruders.
However, it's imperative for business owners to also focus on web security basics and integrate HTTPS protocol. Seven Bits ensure your exchange is protected with a secure HTTPS protocol so that your customers can perfect activities seamlessly.
The future of cryptocurrency exchange
As more individuals are diversifying their capital, there is a massive demand for custom-made cryptocurrency exchanges globally. Crypto enthusiasts and experts will need solid platforms to trade, store, or lend their cryptocurrencies safely. In 2021 and beyond, we will see a massive surge in demand for these platforms.
When a business has its cryptocurrency exchange, it becomes easier to retain existing customers and onboard new ones to leverage your platform. For scaling the business processes today and tomorrow, it's the best way to take a step towards the decentralized future.
Get started with Seven Bits to have the edge over others in your industry. We are an innovative company that offers complete cryptocurrency exchange development services. Be it Ethereum, Bitcoins, Multichain, or Ripple; our team is proficient in multiple public and private frameworks. So step in the future with Seven Bits and grow your business seamlessly with our flexible and on-demand services. Get in touch with our experts at email@example.com to know more.