- What are Cryptocurrencies?
- What are Cryptocurrency Wallets?
- What are the Different Types of Crypto Wallets?
- How is the Cost of Building a Crypto Wallet App Determined?
- What are the Features of Crypto Wallet Apps?
- How Much Does it Cost to Develop a Crypto/Bitcoin Wallet App?
- Digital Currency Payment Integration Within an Existing App
- The EndNote
Due to the vast technological development, practically all financial business verticals are putting their resources in Blockchain.
Lately, we can see the huge development of Blockchain technology and its applications. Thus, with this many new businesses and entrepreneurs have begun to invest in Blockchain technology. As almost all cryptocurrencies are totally based on Blockchain, hence, there is an enormous demand for crypto wallet app development.
In this particular article, though, we will try to cover a technology that has not fully taken off yet and is the one that can create a real revolution when it does – Cryptocurrency/Bitcoin Wallet Application.
However, getting down to what the development entails and how much would development of cryptocurrency wallet cost, it is very important to brush your basics on what Cryptocurrencies are and how to build a crypto wallet.
What are Cryptocurrencies?
Cryptocurrencies are decentralized digital money, based on blockchain technology. There is no central authority that manages and maintains the value of a cryptocurrency. Instead, these tasks are broadly distributed among a cryptocurrency’s users via the internet. Blockchain technology is central to cryptocurrencies as it allows transactions to be processed and authenticated without any central authority.
What are Cryptocurrency Wallets?
Cryptocurrencies need a place to be stored and transacted from. This is why we need a cryptocurrency wallet. It is a digital wallet that keeps your private keys – passwords that give you access to your cryptocurrencies – safe and accessible, allowing you to send and receive cryptocurrencies like Bitcoin. These keys prove your ownership of your digital money and allow you to make transactions.
Growing alongside the rising number of cryptocurrency traders and enthusiasts is the number of cryptocurrency wallets to save the users’ money in. This rise in cryptocurrency wallet development services has predictably brought an increase in the number of Blockchain wallet app users globally, according to Statista.
The graph given below shows the number of Blockchain wallet users worldwide from November 2011 to October 2021.
According to a report by Statista, the number of Blockchain wallet users have reached over 70 million wallet users in 2021. This statistically backed rise in demand for cryptocurrency wallets has directly resulted in Fintech enthused businesses to add Cryptocurrency Wallets as a part of their revenue and business model.
Before we move on to the features, tech stack, and developmental challenges (and solutions) that would come together to form an answered price range of the question ‘How much does it cost to develop crypto wallet app’ or ‘how to develop crypto wallet’, let us take a quick detour to look at the cost and different types of wallets available in the market today.
What are the Different Types of Crypto Wallets?
Web wallets: Web wallets can be accessed through a web browser. For such wallets, you don’t have to download any specialized software on your computer or phone. With a web wallet, the website often holds the key to your crypto. This gives you a little less control over your cryptocurrency.
Mobile wallets: These types of wallets can be downloaded and installed on mobile phones. They often come with QR codes so you can buy and sell crypto more easily. However, mobile wallets require additional security measures as they are vulnerable to malicious apps and viruses. So, it’s recommended that you encrypt your mobile wallet with a password and backup your private keys in case your smartphone gets lost or broken.
Desktop wallets: A desktop wallet is software that you download and execute locally on your computer. Unlike some web-based versions, desktop wallets give you full control over your keys and funds. However, you need to follow the basic security measures such as antivirus and anti-malware software and a strong firewall.
Hardware wallets: Hardware wallets are designed to protect your private keys from online methods of storage, such as on computers and phones, which can be accessed by a hacker. Keys are stored in a thumb drive device that is kept in a safe place and only connected to a computer when you want to use your crypto.
Paper wallets: It is a piece of paper on which a crypto address and its private key are physically printed out in the form of QR codes. These codes can then be scanned to execute cryptocurrency transactions.
When we talk about the different crypto wallets, the type that leads the category in terms of popularity is Mobile Wallet Apps. These apps run on the users’ phones through the app and allow them to not just store the digital currency but also transact money between other users or use them to make payments in the stores.
The reasons behind this growing popularity of Cryptocurrency Mobile Wallet usually range from-
Ease of using crypto wallets
Ease is the most primary reason behind this upsurging popularity of cryptocurrency mobile wallet apps. By bringing the wallet to a device that is on you at all times of the day, it becomes extremely convenient to transfer money or simply check the balance on the go.
Multi-cryptocurrency wallet development
Blockchain Wallet App or other similar cryptocurrency wallet apps come with the benefit of storing and trading multiple digital currencies without switching between screens or devices. Also, it enables a single app to function as a platform to remain updated with the status of your digital currency portfolio.
Crypto wallet safety
Cryptocurrency Mobile Wallet Apps come packed with a superior security algorithm since its inception stage. Plus, since the wallet is literally with you at all times, the chances of it getting lost or damaged are minimal to none.
Moving further, let’s discuss the factors that determine crypto wallet price.
How is the Cost of Building a Crypto Wallet App Determined?
The cost of building a crypto wallet app is dependent on several factors that are mentioned below:
Size of the company: The cost to develop a crypto wallet app will depend on the size of the app development company you choose. As per the industry standards, there are three types of companies cap – small, medium, and large. If you hire a medium-sized or small-sized company, then it will cost less than a large enterprise. So, choose the company as per your needs and budget.
App’s complexity: There are a number of elements that define crypto wallet’s complexity – features set, the tech stack that backs it, design elements, etc. It depends on you whether you want to make your app complex or not. The more complex your crypto wallet app is, the more will be the cost of developing it.
Size of crypto wallet app: If you want to keep all the features in your app, then it may be a burden for you in the first step. So, it is advisable to concentrate only on the core features in the initial version of the crypto wallet app. It will help you offer a great customer experience at affordable costs.
Design of crypto wallet: Non-complex and attractive designs play an important role in the success of your crypto wallet. The cost of crypto wallet development will depend on the requirements. The right plan will cost more but it would be beneficial for you in the long run. Every part of your wallet app like UI/UX design, wireframes, etc., will take time to design depending on your choice of requirements. If you need a more complex design, you need to invest more money.
Now that we have learnt the factors that determine the cost of crypto wallets, let’s discuss the features that you can include in your app.
What are the Features of Crypto Wallet Apps?
Although considered to be one of the most common features of a mobile app, when we look into a crypto wallet app, the authorization stage comes into the limelight of importance.
In the feature, users are made to sign up or fill in a form with their keys to access the Bitcoin wallet.
Since it is the first stage where keys are to be entered, the authorization feature has to be developed with a proper and well-tested security protocol in place.
One way to ensure that the app is hackproof straight from this first onboarding stage is to add Google Two Factor Authentication.
By adding two-step authentication in the app, businesses will be able to add an additional security layer which is generally avoided by generic non-crypto-based apps.
2. Conversion rate
Since the crypto wallet app will allow users to transact money between different modes – between the same digital currency, between different digital currencies, and between digital and fiat currencies, they would need to be updated on the real-time currency value.
3. Addresses’ list
This feature will be aimed at making the whole transaction a lot speedier and convenient by giving the users a mode to manage the addresses they frequently transact digital currencies with.
4. Push notification
Using the push notification feature, the admin will be able to notify the crypto wallet app users of the price of their digital currency, success, and failure of the transaction, address addition, etc. Through the feature, users will be able to remain up to date with all of their account activity in real-time.
5. Paper wallet import
A number of mobile wallet apps also come with the feature to scan the paper bitcoin wallet using the QR Code and then add keys in the app’s wallet to make a transaction. The scanned information can then be used to send and receive money.
6. Transaction feature
The whole essence of blockchain is to revamp the future of transactions. The most crucial part of the crypto wallet app is the transaction feature. Through this, users will be able to send and receive digital currencies within the crypto wallet app. Now, it goes without saying that it is of prime importance that this section of the app is 100% hackproof and speedy.
7. Security features
A common but equally important part of the crypto wallet app is the security feature that it comes with. Being based on Blockchain, the technology known to revolutionize Mobile App Security, you should give your users the option to change the pin or password or whatever private information they want to modify within the app.
Building a crypto wallet app, with all these features, from scratch would require the backing of a technology combination that in itself is developed and combined in a way that the amalgamation would deliver a fast, scalable, and hack-proof solution. In fact, the choice of technology stack is what plays a dominant role in establishing a cryptocurrency wallet app development cost.
Now that we have looked into the different types of crypto wallets and the features that are common among all the leading crypto wallet apps, it is time to look at the point that got you here for the answer on how to create a crypto wallet and the cost of developing a crypto wallet application.
How Much Does it Cost to Develop a Crypto/Bitcoin Wallet App?
Noting all the functionalities, tech stack, and the hours of resources that would go into the feature-rich Bitcoin applications development, we have made a chart of the blockchain wallet development cost estimate that you would have to pay to get your apps like Bitcoin wallet developed.
Blockchain application development cost when looking specifically at the Bitcoin wallet application segment, ranges from somewhere around $85k to 95k, depending upon the features’ list that you wish to add in your app.
Here is the cost breakdown structure of Bitcoin wallet development –
Digital Currency Payment Integration Within an Existing App
The demand and comfortability around cryptocurrencies have grown to such an extent that a number of online stores are now offering the ‘Pay with Bitcoin’ option in their apps and websites.
This integration has come across as an alternative to Bitcoin wallets for businesses that want to have a part of the Blockchain experience without having to invest in resources to make one from scratch.
Let us look at how this integration takes place and after that focus on how to Develop a Bitcoin Wallet App along with how bitcoin wallets work?
There are a number of third-party providers who offer the option to enable payment through Bitcoin or any other digital currency from within your existing application. The three that we mostly rely on and suggest to our clients are –
They offer different options for our clients. In case you wish to get the payment converted in your fiat currency value and then sent to your bank account, choose BitPay or Coinbase, but if you wish to send your funds to the exchange market or bitcoin wallet, go with Blockonomics.
The Cost of Crypto Payment Integration in your existing app will come somewhere in the range of $20k – 50k.
The standard cost to create or carry out blockchain application technologies is taken from different sources like open source tools, development teams, analytical verticals, feature integration, and so much more.
All these components give an oriented portrayal of the blockchain application development range. The expense of setting any blockchain application requires a strong project assessment about its expense to create or implement.
Hence, for blockchain wallet app development, hiring an experienced team of experts or skilled crypto wallet development company is an economical way to streamline the process of app development as compared to other options.