Imagine that you need to choose a technology solution provider, specifically one that will deliver you cryptocurrency exchange software. Does that sound complicated? Now imagine that the future of your business will depend on this choice. Add to this the sales consultants who will tell you that they have the best crypto exchange software but will never reveal the weaknesses of their products, and you have a universal recipe for a possible disaster.
We have compiled a list of the most obvious red flags to look out for when choosing a potential cryptocurrency exchange software provider.
The matching engine performance is obviously exaggerated
The matching engine is a key component of any digital exchange. Its function is to match and execute orders. It is to be expected that some vendors and software developers sugarcoat the capabilities of this element, citing values of thousands of operations per second. The best way to check the claimed performance level of a matching engine is to test it during extreme load in a demonstration circuit.
Strong emphasis on UI and UX design
At the end of the day, the most important thing for both you and the user is the correct execution of trading operations, protection against slippage, tracking and fixing security breaches, etc. If the commercial negotiations have taught you more about the intricacies of the user interface than about the cryptocurrency exchange software technical details, it is worth asking a couple of additional questions.
Hidden expenses
The policy of including a limited number of trading symbols in the standard package and charging for the extra ones to be included is quite popular. And such a model may be conditioned by the insufficient performance of the components that make up the solution. Whatever the case may be, in such a situation, it is worthwhile for the client to study the cost calculation carefully.
Withholding security information
Security is one of the most essential elements of any crypto exchange. Needless to say, even at the stage of introducing the technology, the client needs to receive information on the security protocols used in the solution.
If you do not get explicit information about this issue or cannot verify the availability of the necessary components to ensure the security of funds and personal data, it is a reason to be wary.
Suspiciously low rates If the final price you are offered is several times lower than the average market price, it is a reason to double-check the competence of the cryptocurrency exchange software provider you are negotiating with. Chances are that you will find indications of unstable projects with low technical standards, questionable security parameters, lack of customer support, or all of the above.