[2018-01-08] Coinmarketcap Excludes South Korean Prices

[davey76]

Coinmarketcap Excludes South Korean Prices, Total Market Cap Drops by $50bn

Most cryptocurrency enthusiasts are well aware of how the prices on Coinmarketcap look skewed. This is mainly because they continue to factor in the Korean prices for the global average. Although that is only normal, it also makes the markets look a lot healthier than they really are. As a result, the platform is now no longer including the Korean prices for all currencies. The trading volume still counts though, which is only normal.

For the past few months, all cryptocurrencies have seen their market caps go up quite spectacularly. In a lot of cases, the individual prices per currency or token were nowhere even near what people can fetch for it on the exchanges. That is mainly due to the involvement of South Korean exchanges. Mainly Bithumb, but also Korbit, Coinone, and a few others. All of these trading platforms artificially inflate prices and market caps as they trade at a very steep premium over the rest of the world.

More: https://themerkle.com/coinmarketcap-excludes-south-korean-prices-total-market-cap-drops-by-50bn/

[1Referee]

Coinmarket cap is a noob site anyway. But I can somewhat understand the reason for them to remove South Korean prices, mainly because of how they are showing similar patterns to how the Chinese exchange giants were in full operating glory. They at some point have been taken out of various statistical sites later on, and rightfully so. South Korean exchanges were looking more like a circus than actual legitimately volume generating exchanges. I always look at Bitstamp or GDAX for exchange rates, and all other exchanges don't have much value for me. Bitstamp has always been a reliable exchange in terms of its price, and that consistently throughout the years, and it's still like that today.

[Virtual miner]

It is a good measure I would say. When BTC moved to 11000 just a few days ago it still looked like 13k on CMC Thanks to Korean exchanges and their gigantic volumes which showed prices of more than 15k. This Skewness really disrupted the global average. Korean exchanges are flourishing these days with huge volumes in KRW. Korea might be the very next hub of cryptocurrencies after China and japan.

[uslfd]

No idea why Korean mkt for bitcoin has been so strong despite measures from govt to cool their local market.
Excluding Korean price will certainly make the headline price lower than it currently is.

[davey76]

Well, coinmarketcap calculates the worldwide weighted average of the cryptos. It does not make sense to me to exclude one country, just because the prices are higher there. If you want to know the value of one exchange, follow that exchange or click on the market tab to see the other prices.

For CMC to make this change without prior notice, knowing lots of people use the site and the api, is just irresponsible.

[jjacob]

Coinmarket cap is a noob site anyway. But I can somewhat understand the reason for them to remove South Korean prices, mainly because of how they are showing similar patterns to how the Chinese exchange giants were in full operating glory. They at some point have been taken out of various statistical sites later on, and rightfully so. South Korean exchanges were looking more like a circus than actual legitimately volume generating exchanges. I always look at Bitstamp or GDAX for exchange rates, and all other exchanges don't have much value for me. Bitstamp has always been a reliable exchange in terms of its price, and that consistently throughout the years, and it's still like that today.

I think the Chinese markets were excluded from initial calculations because they offered no fees trading. This artificially inflated volumes. I don't see that problem with Korean exchanges. I think it is a tad unfair to exclude them. The volumes are legit and the prices are legit. It is just that Koreans are willing to pay a lot more for crypto currencies.

[saycryptohello]

The rejection of South Korea's prices is controversial, primarily because the regulated South Korean market has processed over 40% of Ripple's global trading volume.