Automated Cryptocurrency Purchase System for an Australian Exchange

Project background 

Overview

An Australian cryptocurrency and fiat exchange service required an automated system for cryptocurrency purchases. The system needed to execute transactions on localbitcoins.com, comply with Australian financial regulations and integrate with Xero accounting platform for automated bookkeeping.

To meet these requirements, we developed a secure and fully automated trading system that streamlines the entire process—from user verification to transaction execution and accounting.

Project Goals

• Develop a secure and compliant cryptocurrency purchasing system.
• Automate transactions on localbitcoins.com for buying cryptocurrency.
• Integrate with Xero to log all financial transactions.
• Implement KYC verification (GreenID) and 2FA authentication for regulatory compliance.
• Support fiat currency deposits and withdrawals, including bank card transactions.

Challenges

• The system had to meet strict Australian financial laws, including Know Your Customer (KYC) and data protection standards.
• The platform required a low-latency bot to execute trades efficiently on localbitcoins.com.
• 2FA authentication and full database encryption were essential to protect user data and funds.
• Every crypto transaction had to be accurately recorded in Xero.

Our approach

Solution

We built a scalable and secure backend using ASP.NET Core, with strong encryption mechanisms and KYC integration via GreenID. A trading bot was developed to execute real-time crypto purchases on localbitcoins.com for optimal execution speed and price. The system was also integrated with Xero for automatic transaction logging, eliminating the need for manual accounting.

To enhance security and compliance, we implemented multi-layer authentication (2FA) and full database encryption. Additionally, fiat deposit and withdrawal functionality was developed, allowing users to transact using bank cards.

Team

The development of this project required close collaboration between multiple specialists for seamless automation, compliance, and security. Two backend developers focused on building an ASP.NET Core architecture, implementing encryption, and integrating the trading bot with localbitcoins.com and Xero. A frontend developer designed and optimized the user interface using Angular. The DevOps engineer was responsible for deploying the system on Azure, configuring security layers, and ensuring high availability. To maintain the system’s reliability, a QA engineer conducted extensive manual and automated testing, identifying and resolving any performance or security issues before deployment.

Results

The system successfully automated cryptocurrency purchases while maintaining full compliance with Australian financial regulations. The integration of GreenID KYC and two-factor authentication strengthened user verification, reducing fraud risks and ensuring legal adherence. The trading bot efficiently executed transactions on localbitcoins.com, enabling fast and reliable cryptocurrency purchases. 

Thanks to the Xero integration, all transactions were logged automatically, eliminating the need for manual financial record-keeping. The implementation of secure fiat deposit and withdrawal mechanisms allowed users to conveniently manage both their crypto and fiat assets. As a result, the client now has a fully automated, secure, and regulation-compliant platform that optimizes cryptocurrency trading and accounting processes.