Create Your Own Token: 10 Tips for Getting Started
Cryptocurrencies have been very popular for several years now, especially since the rise of Bitcoin. In addition to Bitcoin, there are hundreds of altcoins on the market today. And the best part: new coins are constantly being added. The financial crisis and inflation are prompting people to try their luck with cryptocurrencies and create their own coin. If you would like to create your own cryptocurrency, there are some important things to keep in mind. In the following article, we will share these tips with you.
Inhaltsverzeichnis
- 1 Create Your Own Token: 10 Tips for Getting Started
- 1.1 The Essentials at a Glance
- 1.2 What Exactly Is a Cryptocurrency?
- 1.3 Create a Token: How to Succeed With One
- 1.3.1 1. Create a Coin or a Token? An Important Decision
- 1.3.2 2. Creating a Token: Financing Your Cryptocurrency
- 1.3.3 3. An ICO or STO Can Help Fund Your Token
- 1.3.4 4. The Path to Creating a Token: From Idea to Implementation
- 1.3.5 5. Start Small With Development
- 1.3.6 6. Build a Team of Professional Developers
- 1.3.7 7. Assemble a Team of Advisors and Experts
- 1.3.8 8. Choose a Blockchain
- 1.3.9 9. Find an Exchange Partner
- 1.3.10 10. Engage a Professional, Experienced Agency
- 1.4 The Most Well-Known Crypto Tokens on the Market
- 1.5 Your Own Coin or Another Blockchain—Which Makes Sense?
- 1.6 Conclusion and Summary
- 1.7 Free Consultation
- 1.8 Further Articles
| Eigene Token erstellen – Übersicht | |
| ⭐ Vorgabe: | Eigene Token erstellen |
| 🏆 Dauer: | Ca. 3 Monate |
| 💰 Kosten: | Projektspezifisch |
| 📺 Zielsetzung: | Coin oder Token erstellen |
| ⚡ Technologien und Kenntnisse: | Blockchain, Bitcoin, Ethereum, Dash |
The Essentials at a Glance
- Creating your own cryptocurrency is the goal of many projects.
- Developing a cryptocurrency requires careful planning.
- Building a cryptocurrency demands expertise and experience.
- When developing a cryptocurrency, many decisions have to be made.
- You have several options when creating a cryptocurrency.
- Financing is a critical factor when launching a cryptocurrency.
- One key question is whether you want to create a token or a coin.
What Exactly Is a Cryptocurrency?
A cryptocurrency is digital money that uses blockchain technology for transactions. Many examples of such currencies already exist. You are probably familiar with terms like Bitcoin, Ethereum, or Dash. All of these coins are cryptocurrencies.
The digital money is used primarily by investors as an investment vehicle. Some merchants, however, also accept payment in cryptocurrencies, especially Bitcoin. Some cryptocurrencies and the projects behind them have even set themselves the explicit goal of using their currency as a means of payment. Thus, some coins have credit cards, bank accounts, and other options that make these coins far more than an investment vehicle—they also enable everyday payments.
Create a Token: How to Succeed With One
In principle, a cryptocurrency is not created and issued by the state or an authority, even though it is usually subject to regulatory oversight. This means that, theoretically, anyone can bring a cryptocurrency to market. What’s important is that you have the necessary capital and a team of developers at your side. Creating a cryptocurrency is no easy task and should not be underestimated. In this section, we show you how to create your own cryptocurrency and what to watch out for.
1. Create a Coin or a Token? An Important Decision
The first crucial decision you need to make comes right at the beginning of your project: whether your cryptocurrency should be a coin or a token. But how do they differ, and which is right for your endeavor?
A coin is a fully-fledged, standalone cryptocurrency. You have to develop the coin itself as well as its blockchain. You also need infrastructure, an experienced development team, etc. Another important factor is that developing a coin requires more capital. In return, you’ll have a completely independent coin with its own infrastructure and won’t be dependent on the technology or structures of other providers. Additionally, building your own coin offers maximum flexibility, as you can influence the features, decisions, and so on.
A token is also a cryptocurrency, but you only handle the development of the token itself, not the infrastructure. Tokens typically use the blockchain of another project, such as the Ethereum blockchain. This route is simpler and faster and, above all, requires less capital and resources. After all, you only need to develop the token and not the blockchain or full infrastructure. On the other hand, you’re less flexible in terms of functionality and possibilities. You have to use what the chosen blockchain offers. Changes must be implemented by the provider or operator of the blockchain, and in most cases you have little or no say.
| Möglichkeiten bei der Erstellung einer Kryptowährung | |
| Option | Funktionsweise |
| Coin | Komplette Kryptowährung mit Blockchain und Infrastruktur |
| Token | Nur der Token unter Nutzung einer fremden Blockchain und Infrastruktur |
Before delving further into cryptocurrency development, you need to make the most important decision at the outset: whether to create a coin or a token. A coin is rarely required and is usually developed only in conjunction with complex projects. In most cases, a simple token using an existing blockchain is sufficient.
2. Creating a Token: Financing Your Cryptocurrency
The next key step, closely linked to the points above, is financing your cryptocurrency. Although a coin is certainly the more expensive option compared to a token, a financing plan should be in place before development begins.
There are essentially two financing options. If you already have the necessary capital for your own blockchain and coin, you can start development immediately. Otherwise, you’ll need to create a dApp using an external blockchain. Another option is to secure financing through an ICO, STO, or similar action. This requires significant preparation and planning but is the most common path because few projects have the necessary capital from the start.
3. An ICO or STO Can Help Fund Your Token
In most cases, the necessary capital to develop a coin isn’t available. In such situations, an Initial Coin Offering (ICO) is the most popular way to obtain this capital. However, an ICO is also no trivial matter; it must be prepared and planned carefully. After all, you must convince investors to put their money into your cryptocurrency and project instead of the hundreds of other projects and currencies out there.
For an ICO, STO, etc. to succeed, you need to create something that interests users and attracts investors. It must solve a problem and stand out against the competition. Ask yourself why an investor should choose your project over your competitors’.
4. The Path to Creating a Token: From Idea to Implementation
For your project to succeed, you need an idea. You must create something that solves a problem for which the market has no solution yet, so you can win over potential customers and investors. In reality, solutions often exist, so your project must be better than the competition. How can you outperform well-established competitors? You need to research thoroughly and develop a concept. What do you, as a customer or investor, find lacking in these projects? What would you do better or differently? If you can answer these questions and integrate them into your planning, you’re already a big step closer to success. Remember: there are many tokens and coins a user can invest in. Why should they choose yours? Ask yourself whether you would invest in your own project.
5. Start Small With Development
Developing a full cryptocurrency is very complex and extensive—especially if you create a coin. In that case, you must program not only the cryptocurrency itself but also the associated blockchain. Another factor is capital and the resulting costs. Programming consumes a large portion of the budget.
We therefore recommend starting small. Develop a prototype and the basic structure (MVP) as well as what’s necessary to promote your project and attract investors. Once you achieve this goal, you can use the prototype to secure more capital, with which you can continuously expand it. Avoid trying to perfect everything right from the start. In the worst case, you’ll end up without capital and without investors because you lack a prototype for fundraising and marketing.
6. Build a Team of Professional Developers
For the programming of your cryptocurrency—whether coin or token—you need an experienced team of professional developers, because the technology behind blockchain and cryptocurrency is a complex field. You require developers who not only master various programming languages but ideally are also familiar with cryptocurrencies.
Just like the project team and advisors, your developers must convince investors. The best ideas are useless if you can’t implement them. Experts and investors are well-versed in cryptocurrency and will pay particular attention to whether you can realize your idea. That’s why a prototype is important—so your developers can demonstrate their expertise in practice.
7. Assemble a Team of Advisors and Experts
Before launching your cryptocurrency—coin or token—you need to assemble a team of advisors and experts. Experts and advisors should be part of both your core team and your advisory council. Remember: Typically, your team cannot cover all areas. Make sure you fill the most critical positions internally. For everything else, engage external experts who support your project in the advisory council.
8. Choose a Blockchain
If you want to create a token and use another blockchain with it, you’ll need to select a blockchain. There are now numerous providers you can choose from. The two largest are Ethereum with the ERC-20 token standard and Binance Smart Chain (BSC) with the BEP-5 token. Take a close look and familiarize yourself with the pros and cons of each blockchain. Only then will you find a suitable provider that not only meets your expectations but can also optimally support your token.
9. Find an Exchange Partner
Many exchanges offer programs to promote new tokens. Various requirements must be met, but the result is worth it. Exchanges not only help with promotion; they often provide financial support and a significant trust bonus. Every investor knows that exchanges care about their reputation, and listed tokens must meet many criteria. This lends credibility and visibility to your token. It’s therefore worth considering an exchange partner.
10. Engage a Professional, Experienced Agency
Finally, we recommend seeking an expert advisor to support you from start to finish—ideally a crypto agency. Such an agency is knowledgeable not only in cryptocurrencies and token development but also provides the necessary developers and experts. Moreover, the agency handles marketing, updates, and advises you at every step. Marketing Faktor is one such agency and is a market leader in the DACH region. We have already helped numerous projects achieve success on the market. You could be next—arrange a free, no-obligation consultation with our experts.
The Most Well-Known Crypto Tokens on the Market
| Bekannte Kryptowährungen und Token | |
| Coin | Beschreibung |
| Bitcoin | Das Urgestein und der Vorreiter unter den Kryptowährungen. |
| Ethereum | ERC-20 Blockchain, größter Bitcoin Konkurrent. |
| Monero | Sehr bekanntes Open-Source-Projekt mit vielen Optionen. |
| Neo | Ein bekannter Altcoin mit einem interessanten Projekt. |
| Ripple | Ein bekannter und recht günstiger Altcoin. |
There are already a large number of cryptocurrencies—so-called altcoins—on the market. If you’re planning to create a token, it’s worth examining these coins to see how they’re structured, how they work, and what goals their projects pursue.
The most popular and widely used platform for creating your own coins is the Ethereum blockchain. Tokens based on this blockchain are called ERC-20 tokens. Most altcoins today are ERC-20 tokens. The reason is that the Ethereum blockchain is not only more accessible but also serves as a large playground for all kinds of cryptocurrencies. Especially when it comes to using smart contracts in conjunction with cryptocurrencies, the Ethereum blockchain is usually the platform of choice.
Analyzing these altcoins and their projects gives you insight into the competition and into which projects already exist. You’ll also learn what’s possible and which blockchain is most commonly used in which areas or for which purposes. Thorough analysis is the be-all and end-all for your own venture and should not be neglected.
Your Own Coin or Another Blockchain—Which Makes Sense?
As mentioned above, one of the first and most important decisions you must make is whether to develop a coin or a token. Whenever a token suffices, you should choose it because a token is faster and cheaper to develop than a coin.
Which option you select depends primarily on your capital and, beyond that, on the project’s objectives and goals. If another blockchain already enables your project’s implementation, it makes sense to at least consider using it. After all, there’s a saying that you don’t need to reinvent the wheel—and that applies here. In any case, it’s worth asking blockchain operators. They’re usually happy to support new projects and may even help implement new features you need, provided it’s feasible.
An independent blockchain is worthwhile only if you have a very complex project or require full flexibility. This approach is very extensive and requires many times more capital than a token on another blockchain. Ultimately, however, the decision is yours. Weigh the pros and cons carefully. Consider seeking advice as well. Marketing Faktor, based in Berlin and Munich, will be happy to assist you as a professional agency.
Conclusion and Summary
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