Yesterday, July 3rd, the research center of Alameda Research in cooperation with the FTX Global Derivatives Exchange published the results of the research trading volumes. According to the report, 68.7% of information about tradingTrading
– is an economic term that means the process of independent trade, independent analysis of the market and the conclusion of trade transactions.Details volumes from CoinMarketCap is not true.
Cryptocurrency trading volume research
The research center of Alameda Research in collaboration with the FTX Global Derivatives Exchange found that the lion's share of the indicators of trading volumes is fictitious transactions (wash trades). Earlier, a similar study was conducted by Bitwise Asset Management.
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According to the results of Bitwise Asset Management, more than 90% of fake information is on the market. The researchers explain this difference in testimony by the too strict approach of Bitwise employees.
We remind that wash trades transactions are one of the most famous forms of market manipulation. The bottom line is the simultaneous purchase and sale of a crypto-asset by the same person (or group of people). That is, orders to buy and sell are placed, and then the investor trades "with himself". This is necessary to artificially increase trading volumes on exchanges or for a specific cryptocurrency.
Information about trading volumes is untrue by almost 60%. Recall that the educational project from Binance Academy a few days ago warned the owners of cryptocurrency about a new kind of phishing manipulations – a dust attack.
Editor: Pereyidenko Ihor