Create your own cryptocurrency in 7 steps
If you're only creating a token, not every step in the tutorial below will apply. What's more important would be the three design steps above. Most of our instructions will cover the basics of creating a blockchain first before finally minting your coin.
- Choose a suitable blockchain platform
For a token, you'll need to pick the blockchain to mint your crypto on. BSC and Etheruem are popular options, but sidechains can also be a good idea. To create your own coin, you'll need to think about designing or hiring someone to create a custom blockchain.
- Pick a consensus mechanism
If you're creating your own blockchain or aren't sure which one to pick for your token, think about the consensus mechanism you want. These mechanisms determine how participants confirm and validate transactions on the network. Most blockchains use Proof of Stake as it has low hardware requirements and many different variations. Proof of Work, as used in Bitcoin, is considered by some as more secure but it’s often expensive to maintain and not as environmentally friendly.
- Design your blockchain architecture
This step is only needed if you're creating a coin. Not every blockchain allows the public to validate transactions or run nodes. The decision between having a private, public, permissioned, or permission less blockchain is important. Your blockchain architecture will depend on what your coin and project are attempting to do. For example, a company or country creating a coin might run a private blockchain for more control.
- Begin blockchain development
Unless you have expert development knowledge, you'll need external help to build your ideas. Once the blockchain runs in a live environment, it's extremely difficult to change its core concepts and rules. Make use of a testnet to ensure that everything works as planned and ideally cooperate with a whole development team to build your blockchain.
- Audit your crypto and its code
Auditing companies like Certik can check the code of your blockchain and its cryptocurrency to look for any vulnerabilities. You can then publish the audit publicly and also act on its findings. This process provides some safety assurance for you as the creator and for any potential users or investors.
- Double-check legal aspects
Now that you have your blockchain running and are ready to mint your cryptocurrency, it's best to ask for expert legal advice to check whether you will need to apply for permission. Again, this step is difficult to achieve alone and requires outside help.
- Mint your cryptocurrency
Whether you're creating a token or coin, you will need to mint the cryptocurrency at some point. The exact method will differ based on your tokenomics. For example, fixed supplies tokens are usually minted all in one go via a smart contract. Coins like Bitcoin are minted gradually, as miners validate new blocks of transactions.