1. Security – Sites made for these purposes and based on Bitcoin are very often a target of the hackers or bans. The system should be very strong and resistant, so you would keep the Bitcoins and money on it. If you skip the step about the cryptocurrency security, your startup can be driven into a really endangered zone. This is something you want to escape.

2. Adaptability – This is an important feature of the Bitcoin business functioning. As we said earlier, it varies quickly. So the thing is, you have to put an accent on versatility. Everyday fluctuations require the fast changes. Traders will appreciate it.

3. Software – Having the good exchange software is also on the list of priorities.

4. Anonymity – The traders appreciate the anonymity, or in other words privacy, so be sure to ensure it for them. Also, provide a customer support option. There will always be some questions, about the exchange, withdrawal and similar topics.

Regulations

Before even starting with the business, you have to check all the regulations and law and government requirements. Regulations in this area exist but are different in different countries. For example, in the USA there is a whole package of regulations that are written for a Bitcoin startup business. For example, Bitcoins and cryptocurrencies are a highly discouraged type of business in Jordan. Bitcoin is considered as an illegal activity, but still, some of the small companies work with it.

After making the exchange business plan you will focus on turning it into reality. Now you probably ask yourself how much time does it take to start Bitcoin exchange business. Believe it or now, it will take an average of about 45 days. Sometimes this will look like a nightmare to you, sometimes you will eagerly start the day with new ideas. However, Merehead exchange ready to be deployed in almost 15 days.

What else do you need? You just can’t start the business illegally. The whole process is a lot more complex. It is not only about the idea and the plan. You need many certifications and licenses before even getting started. The state you are living in will investigate every detail of your business in order to stop any criminal activity.

For example, the US government promulgated an official page about the Bitcoin.

And even more, this falls under the regulation of cyberspace. There are, of course, bodies that influence worldwide activities in Bitcoin exchange business. They are literally all over the globe and many things depend on their judgment. But if you follow the rules and procedures, there won’t be any problem.

Softwares

For the Bitcoin exchange business, you ought to have the exchange software. Here you can have two options. First one is to gather a team of developers and programmers who will make you a software. It is important to know all the components should be harmonized with the payment and safety processes. The software has to be maintained and up-graded pretty often. Costs of the maintenance can go up to 462,000$, which is, you must admit, a lot. But, on the other side, earnings made with the Bitcoin exchange system can reach much more.

White label software is highly recommended. This one is tested and trustful. When we say tested, it means that this software has UI, admin panel, wallet service already built in. These are the required components of the software. What is left, is to adapt the rest to the need of your site. Besides, picking White label software is way less expensive than making your own software. The price is starting at 12,000$.

Management team

As in every other business, you can’t do all of this on your own. You will need some help, and you will get it from your management team. Almost 90% of all exchanges work with less than 10 people. Binance even has about 40 core persons, and the rest stuff is only support managers who can easily be outsourced. Below the most common management team required.

Quantitative Strategist – works on derivative pricing, tests the quantitative strategies and analyses the market structure.

Regulatory Compliance Officer – As mentioned above, all the activity has to be harmonized with the country’s regulation. This person is in charge of the research of the laws and regulations in the area, communication with the banks, tracking the concurrency solutions. The officer is a part of the Legal counsel. You can hire it remotely.

Operations Manager – coordinates the activities of the HR, IT etc, ensures the expansion of the business, supervises the execution of the projects, communicates with potential partners.

PR & Marketing Manager – is responsible for writing and sharing posts, press releases, brochures and many more materials.

From the very beginning, you can start only with PR and Operation managers, and of course with owner.

How to fundraise money for expanding Bitcoin business?

This is a pretty common concern. After the initial excitement about this kind of job, you will eventually realize that you lack some funds for the business. As you saw above, exchange software is a requirement for starting up an exchange business. Whatever option you choose, you have to pay for it. The only difference would be the amount. And there comes the fund problem, as you maybe don’t have enough money.

Luckily, in this business, unlike with the others, there are many charity companies/sites. They can help you a little bit, by donating some Bitcoins to you. Don’t think of this as a desperate move, many people out there are in the same position as you. But, what we advise, is to have at least some decent fund for starting up business. Otherwise, you can launch ICO as a fundraising campaign and received money spend on future developments and marketing.

There are companies like DropDeck that focus on funding the business over the world. They use tokens. The operations of companies like this are completely transparent, so your progress will also be under the eye. What we recommend is to always be careful when it comes to charities like this and make sure everything is legal.

Return on Investment

And probably the main question would be: How much can you earn?

Month earnings in this business can vary. The value of 1000 Bitcoins in 2009 was around 1$. Then in 2010, 10000 Bitcoins were worth 30$. Then in 2015, it became to rise, and in 2017 worth of one Bitcoin was around 6000$. Of course that the value can vary on a daily basis, but there is almost no possibility that something drastic would happen.