Which word comes into your mind when you hear or think of the word ‘cryptocurrency’? It might appear to be a strange word for some people, while some may think of it as a currency type. But it’s neither of them.
Cryptocurrency is digital money that is developed using the most complex technology, called Blockchain. And, bitcoin is the first-ever developed digital currency that created a pathway for today’s “cryptocurrency” regime.
Bitcoin is just one type of cryptoasset or cryptocurrency. Check this list with all cryptocurrencies.
If you are exploring ideas to start a cryptocurrency business in 2020 or 2021, you have definitely made a daring yet excellent choice.
When it comes to the digital economy, cryptocurrency is the name of the game. Crypto coins are ruling the roost across digital trading platforms.
NOTE: Before you move ahead to explore cryptocurrency business ideas, make sure that cryptocurrency trading is legal in the region where you want to start your business. Cryptocurrency trading is illegal or irregulated in most countries. Do check the Regulation of Cryptocurrencies Around the World before doing anything else.
How Much Do You Know About the Cryptocurrency Market?
The more you know your business, the less you fear and better your start. The cryptocurrency business is full of opportunities and hopes to dismay and despair. However, the success lies beneath the type of cryptocurrency business you choose as well as how you plan and execute.
According to old statistics on Statista, security and trading fees were considered the most problematic as 40% of traders expressed their concern about security while 37% about high trading fees.
The good news is that technology has evolved, and you get robust security while there are plenty of cryptocurrencies in the market, all of which do not require high trading fees.
Well, we are not going to explain the opportunity and challenges in detail in this article, hoping that you may have gone through all. If you haven’t, you should explore it now as it will help you create your cryptocurrency business plan and sketching mobile and web app ideas. In this article, we shall discuss some of the top cryptocurrency business ideas based on cryptocurrency trends.
Let’s Explore the Cryptocurrency Market Glimpse
Cryptocurrency is an disruptive concept that has already become the strong alternative of fiat currency and is expected to become the single largest player in the digital economy. The cryptocurrency market valued at 1.03 billion US dollars while it is expected to reach 1.40 billion US dollars in 2024 with 6.18% CAGR.
Some of the Interesting Facts about Cryptocurrency
- Bitcoin accounts for 63.8% cryptocurrency market, but it’s just one type of cryptocurrency
- One bitcoin costs $ 8,874.68 with Market Cap $143,584,911,738 (as of Oct. 20, 2020)
- There are 5,201 cryptoassets as of March 15, 2020 (source: finivi.com)
- Crypto market capitalization is over $155bn (as of March 15, 2020)
- There are around 54 million Blockchain wallet users worldwide at the end of September 2020 (Source: Statista)
List of 8 Cryptocurrency Business Ideas for 2021
Take a look at the top selected cryptocurrency business ideas to kickstart in 2021. The ideas given here are based on practical experiences, researches, expert advice and many other findings.
#1. Cryptocurrency Exchange Business
Cryptocurrency exchange business refers to a platform that enables customers or buyers to trade in crypto currencies or digital currencies for other assets.
So far (before March 2020), 300 digital asset exchanges across the globe reported
The cryptocurrency exchange business has been gaining popularity for the last couple of years. 2020 and 2021 are going to be very crucial for startups and entrepreneurs who are looking to build a cryptocurrency exchange business platform. The reason we said this is because the current on-going pandemic has changed the way people interact with businesses.
The cryptocurrency exchange business can be most profitable, provided that you make a robust business plan. You can also explore some of the already existing cryptocurrency exchange platforms, like binance, coinbase, LocalBitcoins, and many others alike. It will help you with a better understanding.
Being a platform owner, you can charge fees for withdrawing, depositing, and transferring cryptocurrencies.
Kinds of Cryptocurrency Exchanges
- Centralized exchange
- Decentralized exchange
- Hybrid exchange
- Order book exchange
- Ads based exchange
- Binary options exchange
#2. Cryptocurrency Crowdfunding
Are you exploring quicker fundraising solutions? A crowdfunding strategy is the way to go. Just like fiat currencies, digital currencies can also help startups and entrepreneurs raise funds. One of the biggest problems that startups face today is fundraising. They face rejection when their ideas are not so attentive. In such cases, they choose crowdfunding platforms to raise funds.
Crowdfunding platforms make ideas visible to audiences worldwide. If someone likes the business ideas given on the forum, they might contribute certain funds for the proposed projects.
So, if you build a blockchain-powered crowdfunding platform, it will bridge the gap between investors and startups. Good business ideas will get attention from audiences around the world and raise funds quickly.
Kinds of crowdfunding modules
- ICO (Initial Coin Offering)
- STO (Security Token Offering)
- IEO (Initial Exchange Offering)
- ICO refers to the website where people showcase their projects to woo investors.
- STO refers to a token sale platform where tokens are backed and secured to avoid scams.
- IEO refers to a platform where projects will be verified by a separate team to prove its authenticity.
#3. Create Cryptocurrency Wallet
Cryptocurrency wallet stands for a software program that acts as a platform to store and receive digital money. This business initiative aims to provide users safe and secure means of sending and receiving digital currency.
It is just like standard wallets, allowing users to pay for purchases, send digital currency to relatives, exchanges, and more. However, it differs from ordinary digital wallets in specific terms.
For example, cryptocurrency wallet platforms are divided into two parts —hot wallets and cold wallets. A hot wallet refers to online cryptocurrency currency storage, while a cold wallet refers to offline storage.
Cold wallets are considered safe for storing cryptocurrency, and most traders use it to secure transactions. If you plan to create a cryptocurrency wallet business, you need to explore ways to implement it.
For example, whether you want to develop a mobile app-based wallet, web-based wallet or want to create for both —mobile and web. Once you decide, you need to begin with mobile and web app ideas.
Types of crypto wallets
- Mobile wallet
- Desktop wallet
- Hardware wallet
- Paper wallet
- Web wallet
You can develop crypto wallets and allow people to store trade and exchange crypto currencies. You can charge fees for various activities, such as developing accounts for people and on a successful transaction.
#4. Become a Cryptocurrency Business Consultant
If you are interested in cryptocurrency or digital currencies, then you must be having enough knowledge about them. If you trust, you can guide someone who gets the best out of digital currencies, then becoming a consultant is an excellent choice.
Being a cryptocurrency business consultant, your role could be;
- Financial statement analysis related to crypto
- Providing investment advice, planning, and products
- Financial planning, guide, and advice
- Assisting clients by providing coaching and arranging a live session
Similarly, you can provide plenty of similar services to clients. The best part of this business is that you can offer clients services either by visiting their offices (if nearby) or remotely.
All you need to do is you must have a registered agency. Keep marketing and branding your business as a leader in your region. In short, your personal skills and knowledge about digital currency will lead to success.
#5. Cryptocurrency MLM Business:
You may already have an idea of what multi-level marketing (MLM) is. The cryptocurrency business success lies in the trust you build, and a smart contract is the way to bring.
The one thing that can help you gain your business success is your practical skills to convince and knowledge.
The other benefits of this business are that you get less competition. Most of them (cryptocurrency MLM business) are young and growing, and if you can win trust, you can make the most out of this business.
#6. Provide Services for Cryptocurrencies
Did you know? On May 22, 2010, a man paid 10,0000 BTC for two pizzas. That is worth more than 5.4 million US Dollars today.
With the rise of online shopping websites and apps, more people are attracted to online shopping. You can create your shopping website displaying your products and services for sale. When you get a response from customers and show interest in buying products, you ask them to pay in cryptocurrency.
#7. Start a Mini Grocery Business that will Accept Cryptocurrency
It might be a novel cryptocurrency business idea, as cryptocurrency is an online substance. From transactions to trade, everything is done online in the crypto world. You need to choose the region where people are aware of bitcoin and cryptocurrency. If they are not, help people understand it by creating marketing strategies. Now, build online grocery stores and sell/deliver grocery products for cryptocurrency.
#8. Create a Bitcoin News Site/blog
If you have good knowledge of cryptocurrency and love writing, then starting a blogging site. To start a blog you need hosting. Check this list with Hosting providers that accept bitcoin. It will be almost no upfront investment business and can help make a good profit.
You can deliver regular updates, news, and development about bitcoin and other cryptocurrencies. The success metrics for this business lie upon how quickly you provide the information.
To deliver decisive, concrete, and fact-based news, you must remain updated with every development and happenings in the crypto world. Your aim should be to provide exclusive cryptocurrency news.
Simultaneously, if any incidents related to bitcoin or cryptocurrency occur, people should get it from your site. Once you start getting readers, monetization is the way to earn profits. You can create a robot that can help you with day trading and start a faucet rotator to make profits from referrals.
When it comes to starting a business in the crypto world, you may get an end number of solutions. The cryptocurrency business ideas which we have provided here are based on businesses which are trending. You can explore many other businesses based on cryptocurrency to start.
However, we would suggest you begin after making a proper plan. Create the best business plan, explore mobile and web app ideas for your cryptocurrency business, and get engaging solutions.
And last but not least, explore everything, from business scopes and competitions to needs and demands.