What cryptography hardware and/or software does a bitcoin exchange need to employ?

Question

We have an operating equities exchange. To exchange bitcoin or other crypto-currencies, what cryptographic hardware or software would we have to use?

Answer 1

An exchange does not necessarily need their own hardware, as they won't be mining anything. However you will defenitely need some hardware.

1. A server
   • Where else do you host your exchange? Your laptop?

2. A dedicated device for cold storage

   • Every good exchange needs a cold storage wallet, to ensure that if you get hacked, you won't lose all your funds. -A cold storage wallet is basically a dedicated device that has never touched the internet. This is very effective against malware, as there is no way for malware to access your computer unless the actual hacker has access to your device.

3. A dedicated device for your own node

   • You defenitely don't want the guy hosting your node to fake an incoming transaction and get you to credit them with free funds! Host your own node that will not be tamlered with.