How To Create Your Own Cryptocurrency?
Firstly you need to decide whether its a coin or token. A coin has its own blockchain, while a token is built on a pre-existing network.
Inorder to get started you need to create your own token , the following must be considered:
- Its Utility
- Legal status
- Choice of blockchain
- Consesnsus mechanisim
- Project audit
- Then finally legal check
NB: Anyone can create a cryptocurrency, however developing a solid project requires serious work and dedication.
Diffrences between a coin and a token
- A coin runs on its own blockchain network whereas a token can be built on existing blockchains with an established user base.
- A coin requires advanced blockchain knowledge and coding skills whilst a token is created using preexisting tools and opensource code
- With coins the blockchain development is more costly and takes time whereas token development is faster, simpler and relatively cheap.
Steps to create a coin
- Create your custom blockchain
- Pick consensus mechanism. Proof of work and proof of stake
- Design the Blockchain architecture
- Begin blockchain development
- Audit your crypto and its code
- Doublecheck legal aspects
- Mint the cryptocurrency