CoinMarketCap Reclaims Trade Listings Due to Inaccurate Volumes
On the 19th of July, CoinMarketCap.com announced that it would make massive changes to its list of exchanges as a result of misleading trade volume data. On the 16th, CMC removed its minimum volume requirements used to cut down and set a cap on registered exchanges on its website.
As the website has stated, this is the initial move prior to several changes and will involve direct management and a proper response to large worries regarding the validity of the volume numbers on cryptocurrency exchanges. Despite stating that through accessing an exchange’s application program interface, volume data is accurately combined although CMC has confirmed recognition of several issues regarding accuracy.
Among the new plan is a new system for mining transactions and their fees which compensate for transaction fees through native coins. According to CMC, this provides an opportunity for users to spike up volumes through trading for more native tokens. Additionally, the website also addresses the incredibly cheap transaction fees used to continuously encourage trading and regular fluctuation that occurs. It may also join a ranking system for users and their accounts, judging by trade volume.
In addition, CoinMarketCap.com states that artificial trading volumes continue spreading heavily throughout several cryptocurrency exchanges, usually relying on automated bots to continue trading with native coins as a sole means of holding onto a minimum volume requirement.
Since admitted to the difficulty of the current issue, CoinMarketCap.com began implementing alternative approaches for a user to sift through volume data and filtering it for more transparent results.
As a means of processing volume reliability, new metrics will be live soon like seven and ten-day listings on the site. As an active observer of the cryptosphere, CMC is consistently overseeing several issues within the environment. Its latest endeavor involved a Bitcoin.com link posted on its website which was followed by extreme accusations of misleading buyers into purchasing BCH as opposed to BCT. The link was promptly removed.
More controversy occurred at the beginning of 2018 after CMC decided to any exchanges from South Korea on its website during Korea’s crypto-craze, due to excessive premium prices on digital coins.