• Tue, 25 Jun 2019, 03:37 PM
  • All times are UTC
  • Edition:
    International
Copy link
Increase text size
Decrease text size
Link copied

CryptoCompare debuts cryptocurrency Exchange Benchmark to tackle fake trading volume

Thu, 13 Jun 2019, 06:00 am UTC

Crypto data and indices provider CryptoCompare has launched its first cryptocurrency Exchange Benchmark which ranks over 100 active spot exchanges worldwide.

The launch comes amid growing concerns of wash trading and incentivised trading schemes being used by cryptocurrency exchanges to inflate volumes.

CryptoCompare said that its Exchange Benchmark shows “the problem has been getting worse with lower quality exchanges (ranked C-F) increasing market share by 30% in the last 12 months, demonstrating the need for a ranking methodology that does not rely on aggregate volumes.”

The new product, it said, will offer investors and traders a comprehensive, granular and reliable source of information on the best trading venues.

“In response to industry concerns over inflated volumes and the lack of reliable metrics for assessing cryptocurrency exchanges, we are excited to launch the CryptoCompare Exchange Benchmark. We look forward to bringing greater transparency to the digital asset class and improving decision-making for market participants by providing a dataset they can trust,” Charles Hayter, Co-Founder and CEO of CryptoCompare, said.

The Exchange Benchmark employs both qualitative (due diligence) and quantitative (market quality based on order book and trade data) approach and uses correlation-of-volume-to-volatility and standard-deviation-of-volume as inputs to CryptoCompare’s 30+ metrics. It will feed into CryptoCompare’s aggregate indices to create reference rates for the top tier exchanges, establishing a new, trustworthy dataset.

In its press release, CryptoCompare said that the most trusted exchanges based on the analysis of exchange data for the period 1st-31st May 2019 include Coinbase, Poloniex, Bitstamp, bitFlyer, Liquid, itBit, Kraken, Binance, Gemini, and Bithumb.

The analysis, it said, is based on public information with ranking components including various factors such as geography, legal/regulatory, investment, team/company, data provision, trade surveillance, and market quality.

The launch comes on the heels of a recent collaboration between CryptoCompare and Nasdaq to launch a cryptocurrency pricing product, which will be available on Quandl, a Nasdaq-owned data platform providing financial, economic and alternative datasets.

Last month, CoinMarketCap announced Data Accountability & Transparency Alliance (DATA) which aims to enhance cryptocurrency data reporting standards across the industry. Binance, Bittrex, OKEx, Huobi, Liquid, UpBit, IDEX, OceanEX, Gate.io, KuCoin, HitBTC, and Bitfinex, have already joined the initiative. In addition, CoinGecko also announced a new “trust score” for ranking cryptocurrency exchanges to address the growing problem of fake volume data.

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $11,352.80 (+3.82%)
  • Ethereum (ETH) $311.07 (+0.48%)
  • XRP (XRP) $0.464700 (+0.37%)
  • Bitcoin Cash (BCH) $471.76 (0.00%)
  • Litecoin (LTC) $133.25 (-1.71%)
  • Bitcoin (BTC) $11,352.80 (+3.82%)
Jun 21, 2019 (Friday)
10:49
Crypto Technicals: BCH/USD tracks Bitcoin higher, spikes over 7% to hit 2-week highs, bias bullish
10:45
NEM launches NEM Studios to spearhead development of blockchain engine ‘Catapult’
09:47
US wants Swedish crypto scammer extradited, sentenced for fraud
09:10
IOTA, Primority to develop smartphone app to track potentially fatal food allergens using blockchain
09:10
Crypto Technicals: ETH/USD tests 288 (2019 high), momentum with the bulls
09:07
Reserve Bank of Australia highly skeptical of cryptocurrency adoption
07:27
Facebook's digital wallet Calibra may not be available in India: Report
07:17
Energy sector gets its own enterprise-grade blockchain network
06:20
Wanxiang, PlatON collaborate to build blockchain-powered smart city in China
05:49
Paxful-The White Company partnership enables converting bitcoin into prepaid cards
05:49
Crypto Technicals: Bitcoin continues grind higher, edges closer to the crucial $10,000 mark
05:25
Samsung betting on blockchain with new priorities and solutions
05:18
Thales and MGI enter blockchain partnership for safer, more efficient cargo shipping
04:46
LINE's crypto exchange BITBOX adopts Chainalysis AML compliance solution
03:37
Major cryptocurrency exchange KuCoin lists rival Binance Coin, supports Binance Chain projects
03:34
MetLife’s LumenLab pioneers blockchain initiative to automate life insurance claims
03:30
Social currency startup Roll raises $1.7M to bring monetization opportunities for content creators
Jun 20, 2019 (Thursday)
12:29
Video streaming service YouNow files with SEC to distribute Props token
11:53
Crypto Technicals: IOTA exhibits signs of near-term bearishness, close below 21-EMA confirms weakness
10:46
Crypto Technicals: Monero hits new 7-month highs above 108 handle, close above 55W EMA to see bullish continuation
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft