CoinMarketCap Set To Alter Listing Metrics – Details
CoinMarketCap (CMC) has promised to rearrange how it ranks member exchanges after research found overwhelming evidence of fake volume.
CMC is arguably the industry’s best-known tracking service for the market cap of Bitcoin (BTC) and altcoins, as well as for the activity on exchanges trading them.
Last week, research from cryptocurrency index fund provider Bitwise claimed that CMC hosts almost entirely fake volume statistics. This in turn deceives investors and inflates the profile of affected coins, Bitwise explained in the report.
CMC is now heeding the warnings represented in the research, which Bitwise sent to United States regulators for consideration as part of its application to launch a Bitcoin exchange-traded fund (ETF).
Execs wrote on Twitter “We are listening to all our users’ feedback, and we are working hard to add a suite of new metrics so users can get a fuller picture of exchanges and crypto on the site,”
In a chat with Bloomberg , CMC’s global head of marketing, Carylyne Chan, gave a glimpse of how the site’s rankings would change in future.
She said “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,’”