How Much Does Blockchain Development Cost in 2024?
11 June, 2024If you are looking for secure and transparent transactions, Blockchain technology can be your safest companion. Apart from bringing improved transparency and security, Blockchain helps in cost reduction, fast transaction and traceability.
The faith in Blockchain and its future is getting stronger not only amongst tech enthusiasts but also among businesses and governments. A latest report by Fortunely says, 74% of tech enthusiasts believe in the immense potential of Blockchain technology.
If you do business and explore the option of developing a Blockchain app, then estimating its cost would be the most important aspect that can help in better financial decisions. For Blockchain app implementation, you need to understand multiple aspects of cost estimation.
This guide will help with information on different aspects of blockchain app development cost:
Breaking Down Blockchain Development Cost
While calculating the cost of blockchain development various factors should be taken into account. Before development you must know about the market opportunities, challenges and the total time required to develop an app and so on.
Here’s the breakdown of the cost of various steps in Blockchain development:
| Phase | Estimated Percentage | Description |
| Consulting & Planning | 15-25% | Feasibility studies, technology selection, market research, project roadmap development and business process analysis. |
| Design & UX/UI | 10-20% | System blueprints, user interface design, prototypes, wireframes, and user flows. |
| Deployment & Infrastructure | 5-15% | Setup, maintenance, and cloud platform costs |
| Development | 40-60% | Coding, integration with existing systems, smart contract development, and testing. |
| Security Audits & Testing | 10-20% | Important to ensure security of platform and smart contract. |
| Maintenance & Support | 15-25% | Maintenance, bug fixes, and updates, user support. |
| Contingency | 5-10% | Unexpected issues or any changes in scope. |
Blockchain Development Cost Based On Types
Having knowledge about different types of Blockchain development costs, such as dapp development cost, NFT Marketplace development cost, or Cryptocurrency Exchange development cost, will provide insights into Blockchain development. Here’s a breakdown of popular types in Blockchain app development:
| Type of Blockchain App Development | Description | Estimated Cost of Blockchain App | Time Frame |
| NFT Marketplace | Non-Fungible Token marketplace is a public Blockchain platform. It is possible to buy and sell NFT here. | $25,000 to $5,0000 | 1 to 3 months |
| Decentralized Autonomous Organization (DAO) | DAO is a legal structure that works without any governing body. All members work collectively in the success of a single entity. | $20,000 to $40,000 | 1 to 4 Months |
| DApp | Decentralized application (DApp) is an app that operates independently with smart contracts, which uses blockchain. Costing varies depending on the dapp requirement. | $35,000 to $150,000 | 2 to 8 months |
| Cryptocurrency Exchange | Trading app that allows users to exchange multiple cryptocurrency. This differs with the type of crypto currency exchange. | $25,000 to $200,000 | 4 to 8 months |
| Cryptocurrency Wallet | It is a mobile app used to sell, buy and store cryptocurrencies. | $25,000 to $75,000 | 2 to 4 months |
Cost of Blockchain Development based on complexity
The cost of implementing blockchain also varies based on the complexity of the project. Here are the cost of Blockchain development based on the different levels of complexity:
| App Complexity | Estimated Cost | Time Frame |
| Blockchain Development Low Complexity | $30,000 to $60,000 | 1 to 3 months |
| Moderately Complex Blockchain Development | $60,000 to $150,000 | 3 to 6 months |
| Highly Complex Blockchain Development | $150,000 to $300,000 | 9+ months |
Industry-Based Blockchain Development Costs
The next key factor that impacts the cost of blockchain development is the industry type. As you would be aware, different types of industry have types of needs and preferences. If you want to develop a Blockchain app for the finance industry the app must include strong security features. It includes data privacy, high-security encryption, secure transactions and much more.
If you want to develop a Blockchain development app for games then the blockchain game development cost will be based on a totally various set of requirements. It includes digital assets, in-game economies, virtual world, and community engagement.
Here are rough estimates of developing Blockchain apps in different industries:
| Industry | Use Cases | Estimated Cost Range |
| Finance & Banking | Trade finance, digital identity, payment systems, fractional ownership. | $120,000 to $300,000+ |
| Healthcare | Drug supply chain tracking, medical records management, secure data sharing | $75,000 to $200,000+ |
| Supply Chain Management | Tamper-proof records, tracking, logistics optimization, provenance. | $80,000 to $300,000 |
| Gaming | Digital assets, in-game economies, community engagement and virtual worlds. | $80,000 to $300,000 |
| Real Estate | Tokenized assets, fractional ownership, title management and secure transactions. | $50,000 to $150,000 |
| Logistics & Transportation | Document verification, insurance claims processing, freight tracking, fleet management. | $75,000 to $300,000 |
| Energy & Utilities | Renewable energy trading, smart grids, carbon credits management and data transparency. | $80,000 to $300,000 |
| Government & Public Sector | Identity management, voting systems, public records management, secure data sharing. | $150,000 to $1,000,000+ |
| Media & Entertainment | Royalty management, digital rights management, content distribution, and fan engagement. | $80,000 to $200,000 |
| Non-profit & Social Impact | Charitable donations, Supply chain transparency, microfinance, impact investing. | $35,000 to $100,000 |
Cost of Blockchain App Development Based On Geographical Location of the Team
The cost of the development of a Blockchain app would also depend on the location in which the app was developed. The development cost of Blockchain will be different in the USA and India. The difference is cost based on the three main factors:
Standard rates
Local economy
Taxes etc.
Final thoughts
Budgeting for your new blockchain app venture can be daunting. The cost of developing blockchain apps is often higher than traditional apps because of the immutable nature of the blockchain. Although there are workarounds for building upgradables smart contracts, most users trust blockchain platforms because of the immutability factor. This contributes largely to the increase in development costs.
However, the web3 space is booming and startups looking to build new and exciting projects have a real opportunity to capture the market early and build innovative solutions. Before starting your next blockchain venture, factor in the different blockchain app development costs before you source funds or bootstrap your project. Hiring a trusted blockchain development company is the first step towards your journey.
If you’re a web3 founder looking to break into the blockchain space with your innovative idea, reach out to BlockchainX’s experienced consultants to get started today.