Want to know the cost of blockchain project development? You’re on the right page. We will share with you the exact factors, and resources that affect the cost of development. Before we get to a number, we must understand the logic behind it.
In translation, we shall first understand what types of blockchain projects can be built. Then we will see which tools & languages are used for developing a blockchain app. We’ll also help you conclude what’s better- hiring freelancers or a development team for your next dApp.
Note: More complex tools usually increase development costs.
There are 3 types of projects in a nutshell:
These types of projects are made to increase your target audience and to make sure that your company is keeping at par with the latest technologies.
FOMO literally means Fear Of Missing Out. This acts more like a marketing tactic than an actual project.
FOMO projects should be avoided by companies who are unsure about blockchain technology or are unprepared for the same. This might lead to a bad impression on the company, and they might never retry again.
Opportunistic solutions are software/ applications that are custom built to solve very specific problems that are already known.
Often it has to do with bookkeeping, recordkeeping, or smart contracts. Thus, this might be a lucrative way for the company to get good clients.
However, there is a challenge to opportunistic solutions. The challenge is that firms risk losing control over the data or the contract as they are integrated into the blockchain. And thus, the data will be stored across many different devices.
Decentralized apps or dApps run on a peer-to-peer network of computers and devices instead of a single computer or device. These are outside the purview or control of a single authority.
Apps like Uber, Lyft, and Facebook run on a specific server, giving the parent company complete control over their apps. However, in the case of dApps, it is not running on any particular server, so the organization can’t have absolute control.
|Factor||Freelancer / hour||Outsourcing / hour|
$100 – $1000
$3800 – $7000
$16450 – $27500
$1000 (starting from)
From this table, it is clear that outsourcing is clearly the better choice if you want to build a blockchain project. Although outsourcing might have a larger bracket for the cost, it takes up way less time. In addition to that, you don’t need to worry about managing hosting solutions, tools, hiring developers, etc.
Outsourcing will allow you to focus more on marketing and how to improve your application overall. In addition to that making, all the freelancers coordinate with each other is very difficult. Outsourcing bypasses that problem.
Idea Usher has an experienced team of expert developers and designers that can help you create beautiful blockchain projects.
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Whenever you are building anything, there are costs associated with various factors of the build. There are: materials, tools, labor, etc. Blockchain technology is not an exception to this. These can be hosting solutions, infrastructure services, choice of the P2P network, the native currency, development tools, and programming languages.
Let’s take a look at these in detail:
You will need IaaS (Infrastructure as a Service) providers to give you access to the infrastructure that you require.
There are various IaaS providers such as AWS or IBM cloud IaaS. These are a few big brands that can help you greatly with your projects. This especially is helpful for startups as they don’t need to invest in an in-house infrastructure build.
Building a P2P network from scratch can be a difficult task, and you have to get capable networking engineers and cryptography experts on your team.
FYI: network engineers specialize in managing and developing P2P networks, while cryptography experts deal with encrypting and securing your data on the network.
Also, you will need skilled front-end developers to make your projects more appealing to the users. These are the wizards that make your work look better and sharper in every way.
Whichever blockchain network you choose, you have to buy some cryptocurrency native to that particular network. So if you are working with the Ethereum blockchain, you have to buy ETH or some other cryptocurrency working on the same chain.
This again will cost you money. As ETH and other cryptocurrencies’ value against USDT keeps fluctuating, it is difficult to predict the exact amount of ETH you are going to require. But, you can check it out on crypto exchanges like Robinhood, Coinbase, etc.
Some of the tools that cost money while making the blockchain projects may also cost money. Let’s look at the various tools used by companies to make blockchain projects:
Investing in a good hardware wallet is also very important as it will help you store the cryptocurrencies you bought offline and some of the data. Hardware wallets go for cheap and can start from as low as $119. Ledger is a company that has many hardware wallets you can choose from according to your requirements. Although not mandatory, it will be a good addition to securing your data/ crypto on the network.
The ethereum network is the industry standard when it comes to blockchain projects. This is because it has a lot of miners, which makes the system more decentralized and secure. (Miners are the computer systems that are continuously trying to solve the same problem, whichever system does it faster wins. And gets a little bit of ETH as a reward).
In addition to that creating your own P2P network will be much more expensive than just using ETH, which is basically open-source and mostly free. This allows you to spend less time, energy, and money on the P2P aspect of your project.
Other free networks that can be used to create blockchain projects are:
Blockchain developers in the United States will cost you an average of $100 per hour. That too, with costs even going as high as $200 per hour. The cost varies depending on several factors, viz. their experience, the particular project, and the location.
A blockchain developer should be capable of using networks like Ethereum, Polkadot, Cardano, etc. Also, he/she must be familiar with tools like Web3.js, Truffle, Remix, Infura, etc.
In contrast, going with outsourcing will help you in saving expenses here. You can get developers who charge starting $30-$80. Idea Usher already has a team of experienced blockchain developers who can help you facilitate and speed up your blockchain project with a price tag that you will be comfortable with. We also have front-end developers, UI/ UX designers, and all the tools you will require for your project.
To know how much it costs to build blockchain projects, we must look at the fundamental steps involved in the process, and how much each of them is roughly going to cost you.
To give the app a structure and a good user interface, you will need UI designers and front-end developers in your team, which will cost you anywhere between $20-$40 per hour and $61-$80, respectively.
We have already discussed the cost of blockchain developers, which ranges between $30-$200 depending on many factors.
Depending on which P2P network you choose to deploy your project into, the cost might vary. Most networks are open-source, but the native currency is going to account for a part of the capital. Also, the tools you are going to use can cost money, just like Infura.
On average, maintenance costs around 30-35% of the total cost. This includes regular updates and upgrades.
Third-party tools for hosting, notifying, storing, number, and collaboration for iOS development also cost a substantial amount of money.
To answer the question “how much does it cost to build blockchain projects?” we must first look at what are the primary factors that account for the cost.
The infographic given above will give you an understanding of how much it costs to build blockchain projects. Whether you talk about freelancer cost or outsourcing cost, these factors are valid for both.
To market your blockchain project properly, you need to look at some of the SaaS marketing tips such as:
If you follow these basic marketing tips and maintain a vibrant social media presence, you should generate clients faster and more effectively.
Now that you are well aware of how much it will cost to build blockchain projects, you will have to decide on multiple things like what kind of app you want to build.
Building blockchain projects is simply not enough. You also need to market it correctly. And then you can enjoy a good return on investment that went into development, once you acquire a good user-base.
A thorough estimation is always required when approaching a project as complex as blockchain. You also need to analyze your direct competitors for the features they have incorporated into their application and improve upon the same.
This will give you a considerable edge over their products and will add value to your consumer base. When it comes to balancing cost and quality, Idea Usher is the best option for you. You can contact us to get an exact quote on your blockchain solutions.
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Private Blockchain: $1500/mo, Public Blockchain: $0.01/ transaction-based for public blockchain: $750 for 3rd party.
As blockchain allows real-time tracking of a product within the supply chain without Removing middlemen from the process, it prevents extra costs, counterfeits, and frauds.
Since blockchain technologies no longer require third-party entities to deploy and maintain systems that keep a record of these transactions, the cost per transaction should be reduced.
You do not have to pay any fees when receiving bitcoin, and most wallets let you control the fees you want to pay.
Recently blockchain has gained quite a lot of traction in the tech world. Big companies like Visa, HSBC, Ford, and others are implementing blockchain technology into their arsenal. Once you have decided to use this enchanting technology.
Blockchain technology ETFs and the Crypto markets are booming, and this is the time to incorporate the same into your company’s infrastructure. This sector of the market is expected to grow to a massive USD 64.7 Billion by 2025, with a CAGR of 68.4%, making it one of the fastest-growing sectors of the market.
Idea Usher is a pioneering IT company with a definite set of services and solutions. We aim at providing impeccable services to our clients and establishing a reliable relationship.