Design and implementation of a software system for the composition of a database and automated trading system on different cryptocurrency trading markets

Abstract

Cryptocurrency is a means of digital exchange that, by its design and operation, complies with the functions of traditional money allowing the exchange of goods and services by using cryptography to verify and store transactions in a public ledger. The purpose of this project is to design and implement a cryptocurrency trading platform able to connect to multiple exchange APIs in order to gather market data information as well as place orders automatically on different market pairs. The platform is designed to allow the integration of new cryptocurrency exchange APIs. Furthermore, the software also allows the configuration of different trading strategies based on real time market data information. The present project will constitute the basis of future trading research analysis on the cryptocurrency market. In addition, an analysis, description and comparison of the most important cryptocurrencies and exchanges is presented. More specifically, the working principles and the key technological differences between most relevant cryptocurrenies based on market capitalization are discussed. A general overview of characteristics, digital coins offered, current performance and fee analysis of different cryptocurrency exchanges is conducted. Finally, an evaluation of trading strategies based on real data gathered by the designed platform is performed.