“Be sure that your coin is either the first in that area or has something very unique in its approach that differentiates it from other coins.”
According to a report by the Dentacoin Foundation, the cryptocurrency industry raised over $3.25 billion in 2017 alone – and it’s widely known to be the best performing global currency since 2010. At the growth rate industry players like Bitcoin is experiencing, it’s no wonder why many others are jumping in on the cryptocurrency bandwagon.
(See also: Bitcoin for beginners for a quick introduction to cryptocurrency).
We’re not just talking about digital transactions or investments, we’re talking about building a blockchain cryptocurrency for your company or industry.
Why bother? Well, aside from simplifying online payments, one of its most attractive features is transparency – ensuring all transactions are viewable by everyone, so trust will no longer be a barrier for a potential online customer.
Before you dive into a whole new and complicated market, here are some preliminary steps to develop unique blockchain cryptocurrency.
Form a business plan
Like any business, the first step to success is identifying a problem or niche. The cryptocurrency industry is part of a larger market where solid business ideas need to stand out from the crowd by addressing a distinctive problem and/or creating significant cost savings for customers.
“Cryptocurrencies that target specific industries are increasingly common, so be sure that your coin is either the first in that area or has something very unique in its approach that differentiates it from other coins,” Mariam Nishanian of the Dentacoin Foundation shares.
Take for example, the issue of increasing costs for patient acquisition in the dental industry, which reflects in the end consumer price for dental treatments. By introducing a new cryptocurrency in the global dental industry, Dentacoin addresses the high level of fragmentation in the industry while offering significant cost savings for consumers.
Find the right people
Once you’re confident of your business plan, the next step is to determine the right people to help get it off the ground. Launching a cryptocurrency requires a variety of skill sets and expertise, including a developer, marketer, lawyer and field professionals.
As cryptocurrencies live on distributed data that is connected through the Internet, having a good developer with adequate knowledge in this area is critical. Then, you’ll need the consult of field experts to determine ways to improve the specific industry your business is concerned with; and a marketer or project manager to communicate your solutions to the target market.
Finalise decisions
Here’s where things can get tricky – making decisions on the number of coins that will be issued and when this will take place.
But probably the most crucial decision of all is where to host the blockchain to support your currency and corresponding transactions. While the most flexible approach is to start from scratch, it’s also the most time-consuming and complicated one.
“Choosing an existing blockchain with a proven high level of security is more efficient if it meets the key needs of the project,” Mariam says.
Dentacoin nests in the Ethereum environment due to its well-established position in the cryptocurrency world, and more importantly because of the supported smart contracts.
“These transactions play a critical role in the Dentacoin concept, and finding a platform that specializes in this approach significantly enhanced Dentacoin’s ability to develop the network of Blockchain-integrated tools, dental clinics and products from the industry,” she explains.
Follow through
After everything has been finalised, it’s time to launch and evaluate your initial coin offering (ICO), which is considered as the public introduction to the coin. If the ICO fails, it may be necessary to reconsider the initial idea, but if the ICO meets the set target, the idea can now be further developed and brought into the marketplace.
As more adjustments are made, it is vital that news about these developments is shared with the market to assure the public and maintain transparency throughout.
Source: Dentacoin Foundation (www.dentacoin.com)