If you are reading this blog, it is perhaps because you are a blockchain enthusiast or you want to build your own cryptocurrency. Creating your own cryptocurrency is no rocket science and you do not need to have expert coding skills . Having said that, there are some prerequisites that must be considered before you begin with the process.
Coin is a type of cryptocurrency that runs independently on any blockchain platform. It is an abbreviation used to denote cryptocoin or altcoin. Altcoin, in simple terms, means alternative to Bitcoin. Tokens, on the other hand operate on other platforms like Ethereum that are made on top of an existing Blockchain infrastructure. This implies that tokens require to verify transactions details through the underlying networks whereas coins run their transactions ledgers independently.
Most of the times, coins are used for transferring wealth, while tokens can be used to purchase anything, from materialistic things to concert tix to referral points. Users can buy tokens in crowdsales called Initial Coin Offering (ICO) by offering the existing coins. Even when the ICO is over, you can purchase tokens that are publicly available using the underlying currency, just the way you do to buy coins.
In order to build your own coin, you must build a blockchain because coins run on their own blockchains. An existing blockchain can also be modified for the same purpose. If you prefer building a new blockchain, it is advisable to have some technical person’s assistance. Ofcourse, you can go through several online tutorials for creating blockchain but that will not guarantee a functional coin in the end. Therefore, modifying an existing blockchain is a better option. You can find an open-source blockchain code on Github, alter it and then use it to launch your own coin. However, this will also need you to analyse and understand the already written code.
This is the best and most preferred option for the non-technical blockchain enthusiasts. On cryptocurrency platforms, you just need to add the attributes of the coin or token you wish to build. Some of the platforms provide templates that require the user to only give a name and a relevant symbol. The platforms charge a specific fee for this service and the source code is delivered within a few days. You can also test the service for free on specific cryptocurrency platforms like WalletBuilders.
Crypto platforms also enable a user to create tokens which are actually smart contracts. Tokens that have no real value or some specific purpose can also be created. Creating a token is relatively simpler than creating a coin as it does not involve building new blockchain, rather it uses the technology used for the cryptocurrency.
For the first time, choose a user friendly platform that will guide you in launching your first cryptocurrency. Normally, the first step is about downloading an extension called MetaMask which creates a Ethereum network connection. The walk-through video explains about every step involved in building the token and eventually launching the ICO. For beginners, CoinLaunch is a good platform to start with and you can choose ERC-20 token. Creating a token on this platform is free. However, they charge a commission from your ICO as per the money raised. You will understand how tokens function technically and with time you can actually start playing big.
To create a coin with real value for an actual audience where it can be mined, sold and bought, you will require a cryptocurrency exchange development company that specializes in cryptocurrency building. In case, you succeed in building your own coin or token, you would require a team to maintain it. That being said, all of this is obviously about spending a lot of money. Creating a cryptocoin or token isn’t the most difficult part but it is the later stages that cannot be managed single handedly. From giving real value to your own cryptocurrency to selling it to people, you need to have somebody who has in-depth knowledge about it and can create a community around it. There are several cryptocurrencies that failed due to lack of the real work and eventually ended up in the list of shitcoins.
I hope that this blog was helpful to you and you are all set to launch your own cryptocurrency. Let us know how we can improve our blogs and help the cryptocurrency community for good.October 3, 2018