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Title: Coinmarketcap fighting exchanges volume inflation Post by: rosezionjohn on November 17, 2019, 11:16:34 AM They've admitted that their previous metric isn't enough to combat the problem of volume inflation and that they are thinking/hoping that this "Liquidity metric" will be the solution.
In the past year, with increasing volume inflation, the volume metric started to lose its purpose as a reliable way to gauge real trading interest. Other solutions, such as handpicking only a few “trusted” exchanges or using unrelated metrics like web traffic, were non-comprehensive and did not address the root cause of the issue. Our new metric will focus on what matters most to investors and traders: liquidity. With our Liquidity metric, we hope to provide public good to the crypto markets by encouraging the provision of liquidity instead of the inflation of volumes. They mentioned the details/methodology here (https://support.coinmarketcap.com/hc/en-us/sections/360006720132-Methodology) but it appears blank page when I open it. Here are the key highlights though: To highlight a few key points:
What do you guys think about this move by coinmarketcap? I would guess it's a move to salvage their losing credibility/reputation and bring back serious traders to use their platform again. I am not sure where to post this, please move if posted on the wrong board. Title: Re: Coinmarketcap fighting exchanges volume inflation Post by: tmfp on November 17, 2019, 11:32:51 AM I think it's a good move for a number of reasons, which I outline in a similar thread that I started yesterday. https://bitcointalk.org/index.php?topic=5202098.0 Title: Re: Coinmarketcap fighting exchanges volume inflation Post by: rosezionjohn on November 17, 2019, 11:37:04 AM I think it's a good move for a number of reasons, which I outline in a similar thread that I started yesterday. https://bitcointalk.org/index.php?topic=5202098.0 |