The economy we have in this age has never been unchangeable. After centuries of transformation, we now have metal coins and paper currency to store value and exchange for goods and services.
Considering the world’s current situation, it won’t be baseless to think we are standing in front of another turn. Yes, it’s all about cryptocurrency. But, today, our focus is on cryptocurrency denomination and how to create one, more precisely.
So, let’s have a read.
How much does it cost to create your crypto token?
The discussion could naturally begin with the question- how to create a new crypto token? Before touching on the topic, we can consider brushing up on some basics.
What is a crypto token?
For the new people, it’s okay to puzzle or find the match between cryptocurrency and crypto token or simply ‘token’. To avoid confusion, the definition might be an excellent first step.
Cryptocurrency is not a single currency but, as a whole, different coins and tokens.
The distinction between cryptocurrency and crypto tokens makes it all clear. All tokens are cryptocurrencies, but not all cryptocurrencies are tokens. Because coins like Bitcoin, Ethereum, or Dogecoin have blockchains, a token or crypto token doesn’t have its own but instead uses other’s blockchains.
Now, what is a blockchain? The blockchain is the database or ledger that stores the transaction history of individual coins.
Factors to consider for investing in Cryptocurrency or crypto toke
Below are the factors you should study in a market before a crypto investment.
- Market Capitalization
- Liquidity Level
- History of the currency
- Frequency in Fluctuations
- Transformation Cost and Speed
- Top Cryptocurrencies That People Trust the Most
Cost to create your crypto token
It would be ‘the cost’ a trader thinks of first while going for a crypto token. To answer the prime question in this article, we have chosen TRC20 here.
However, it’s a misconception of people that developing the TRC20 token would be expensive. Well, that’s not true. Compared to the other tokens, it’s really low. However, the token uses the TRON blockchain.
To develop the TRC20, there is no predetermined expense. Below are some obvious factors for that the cost varies.
- Business types
- Features of TRC20
- Token’s design
- Total supply of the tokens
- Project’s complexity
- Distribution
- Ongoing maintenance and support
Apart from the above factors, the trader’s need and time are two other factors that influence the cost. The cost for the TRC20 token starts from nearly $4K.
How are crypto tokens created?
You may find the conversation at this stage a bit complicated, but it’s not like you have to know everything about blockchain technology. Anyway, it takes 4 steps to create a crypto token. Let’s have a brief idea about them.
Step 1: First, decide which crypto token you’ll go for. Different tokens have different properties, and you’ll have distinct parameters for each one.
Step 2: Develop a smart contract (a software) that will run in the particular blockchain you’ll be using.
Step 3: Run multiple tests to protect the contract’s code from making mistakes in calculations due to bugs.
Step 4: In the last step, deploy a smart contract.
Even if the steps appear simple, you must do your due diligence and learn more about them as you continue.
Is it legal to create your cryptocurrency?
There’s no reason for cryptocurrency to be illegal unless the function or intention of a trader goes against their country’s policy.
But, some countries still haven’t permitted their citizens to use it. Some other countries are in the process of allowing it, while in many places, it’s functional.
Some crypto tokens
Here are some Crypto tokens which use Ethereum blockchain.
- Tether (CRYPTO:USDT),
- USD Coin (CRYPTO:USDC),
- Shiba Inu (CRYPTO:SHIB),
- Chainlink (CRYPTO:LINK),
- Uniswap (CRYPTO:UNI)
Last words
Don’t worry if you are still confused about today’s discussion on how much it costs to create your crypto token. Take your time and read the article once again.
You can also practice demo trading and have more concrete ideas without risk or loss. Available tutorials are also helpful to make you more organized. Last but not least, acquire as much knowledge as possible about blockchains.
