Tech News, Magazine & Review WordPress Theme 2017
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • CRYPTO LIVEWIRE
    • Latest
    • Press Releases
    • Sponsored Posts
    • Submit Your Content
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • EXPLORE
    • eToro
No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • CRYPTO LIVEWIRE
    • Latest
    • Press Releases
    • Sponsored Posts
    • Submit Your Content
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • EXPLORE
    • eToro
No Result
View All Result
The Daily Hodl
No Result
View All Result

CoinMarketCap Admits Fake Crypto Volume an Issue, Plans Revamp for BTC, ETH, XRP and Altcoins

by Daily Hodl Staff
March 25, 2019
in Trading
‏‏‎ ‏‏‎ ‏‏‎ ‏‏‎
‎‎‎ ‏‏‎

Crypto price aggregator CoinMarketCap says it plans to make a number of changes to address concerns that the site reports fake volume for Bitcoin, Ethereum, XRP and more than 2,000 altcoins.

The influential site was called out by crypto index and beta fund provider Bitwise in a new report submitted to the SEC. Bitwise says its research shows that about 95% of the volume reported on CoinMarketCap is fake.

“Despite its widespread use, the CoinMarketCap.com data is wrong. It includes a large amount of fake and/or non-economic trading volume, thereby giving a fundamentally mistaken impression of the true size and nature of the bitcoin market.

We will demonstrate in multiple different ways that approximately 95% of this volume is fake and/or non-economic in nature, and that the real market for bitcoin is significantly smaller, more orderly, and more regulated than commonly understood.”

In response, CoinMarketCap’s global head of marketing Carylyne Chan told Bloomberg the company will roll out a number of changes to give users better data, including new liquidity analytics, reports on hot and cold wallet balances and site traffic data exchanges.

“For instance, if an exchange with low traffic has $300M volume and just 5 BTC in its wallet, users will be able to draw their own conclusions without the need for us to make arbitrary judgment calls on what is good or bad. We want to state that our philosophy is to provide as much information as possible to our users, so that they can form their own conclusions and interpretations – and not introduce our own bias into that mix.”

Chan says the coming changes will be the latest in a series of updates designed to address concerns of inaccurate volume. The site has been working to combat concerns for months, citing fee-free/transaction mining models, low-fee models and artificial volumes generated by wash trading. CMC says the goal is to prevent traders and bots from sending crypto back and forth – at no cost – corrupting the data.

In July of last year, it issued a statement that it was going to address volume concerns. At that time it introduced a number of changes and remove a volume requirement for new exchanges.

“Previously, we had volume requirements for exchanges in order to filter for more popular exchanges that could be listed on CoinMarketCap. It was a necessary but not sufficient requirement, since we receive hundreds to thousands of requests a day to list new exchanges and coins.

This was not meant, in any way, for us to introduce censorship, but rather for us to use a simple and easy-to-understand criteria for exchanges to figure out what they need to be on CoinMarketCap. Due to the recent changes in the exchange landscape, and the concerns aired by our community, we have removed the volume requirement for exchanges.”

CoinMarketCap says it’s open to feedback on how to eliminate issues with data and says users can get in touch through the company’s request form.



Check Latest News Headlines


Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Submit a Press Release

Crypto Livewire – Press Releases

  • Cryptocurrency to Fight Cancer: From Bitcoin to Altcoins
    January 26, 2021
  • How Traders Are Gaining by Holding Crypto: Staking Tron (TRX) and Cardano (ADA)
    January 21, 2021
  • QuiverX to Integrate Chainlink Proof of Reserve To Power Transparent, Decentralized Crowdfunding
    January 15, 2021
  • The Online Family Office and High Net Worth Blockchain Conference
    December 22, 2020
  • How Blockchain Empowers Wuhan’s Digital Economy Growth – World Blockchain Conference
    December 14, 2020
Submit a Guest Post
Bitcoin
$31,794.00
$31,794.00
0.08%
Ethereum
$1,315.44
$1,315.44
1%
Polkadot
$16.35
$16.35
4.93%
XRP
$0.265734
$0.265734
0.37%

Spotlight

  • Kraken’s Dan Held Tackles Greatest Fear, Uncertainty and Doubt About Bitcoin’s Future
    January 20, 2021
  • Ethereum, Polkadot, BinanceChain and More – Blockchain Technology Trends for 2021
    January 24, 2021
  • Coinbase Bump Alert: US Exchange Announces Support for Crypto Asset on Custody Platform
    January 21, 2021
  • Push for Bitcoin ETF Heats Up As Valkyrie Digital Assets Files Registration
    January 25, 2021

DON’T MISS A BEAT

Crypto headlines delivered daily
to your inbox
BTC, ETH, XRP news alert options

By joining The Daily Hodl news list you agree to our
Terms and Conditions and Privacy Policy.

Check your inbox for confirmation email.

Cryptocurrency news and analysis, covering Bitcoin, Ethereum, Ripple, XRP, altcoins and blockchain technology

Categories

Bitcoin • Ethereum • Trading •
Ripple and XRP • Altcoins •
Blockchain • Regulators •
Scams • Crypto101 • HodlX • Explore • Futuremash •
Crypto Livewire

ABOUT US | EDITORIAL POLICY | PRIVACY POLICY
TERMS AND CONDITIONS | CONTACT

JOIN US ON TELEGRAM

JOIN US ON TWITTER

JOIN US ON FACEBOOK

COPYRIGHT © 2017-2021 THE DAILY HODL

No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • CRYPTO LIVEWIRE
    • Latest
    • Press Releases
    • Sponsored Posts
    • Submit Your Content
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Blog
    • Press release
    • Sponsored post
  • EXPLORE
    • eToro

© 2020 The Daily Hodl

We use cookies to give you the best online experience possible. Continue browsing if you are happy with that, or see how to manage cookies.