CRYPTOCURRENCY EXCHANGES FAKING VOLUMES AND THEIR EXHORBITANT LISTING FEES

[Da2ja3]

Another industry problem has been recorded in the blockchain industry as a top 30 Cryptocurrency exchange is asking projects to use trading bots to create fake volume. Today been the 18th day of June 2018,Joseph Young shared a listing proposal of the unnamed exchange on twitter.
In the feedback of the proposal submitted by FRESCO founders,The exchange states in Chinese characters that they ‘help you achieve 50BTC daily volume’ with API and Trading Assistant provided,the exchange further said that when you create good volume, your tokens candlestick chart will be very attractive to lure more investors into purchasing your tokens.

 This is the response the exchange gave to the Co founder of an ico wishing to list

Our Trading Assistant is a simple trading bot, that solves the depth and volume of your token with ease'. However it is suggested to have 'an expert working on it, because you know money is involved. If you want to create market cap management, we will provide the API and let your engineering team customize the trading bot for your project, According to the Exchange.

You can verify this story on the twitter handle of fresco
https://twitter.com/_akahry_/status/1008705354648047616


Please share your thoughts
Thank you

[Da2ja3]

 I think very soon, cryptocurrency will soon be tagged overrated if regulations don't creep in

[Da2ja3]

The world’s largest stock markets such as the New York Stock Exchange (NYSE) and Nasdaq charge companies $225,000 to $300,000 for initial public offering (IPO) listings and a $70,000 annual fee. Cryptocurrency exchanges charge $500,000 to $1 million to list digital assets, which involve a process that is significantly simpler than listing stocks.

[Da2ja3]

To list coin that will still bring money for them by trading it 1m dollar and you said it not wickedness

[franky1]

so a guy made a tweet saying an exchange does fake trades.

1. does not prove exchanges do it internally
2. does not prove exchange said that
3. dos not show which exchange it is
4. does not show it does it using zero deposit(backed) funds

all its saying is an ICO owner could get the first 50btc of trades at zero fee. which is not illegal

all in all i think its a honeypot trap the SEC are trying in the hopes of using empty evidence from an unidentified 4th party (hearsay of hearsay) but that just seems too obvious. but i think the SEC might be desparate to find something to then grab any reason to say manipulation via exchange insiders occurs.

i think the tweet owner should report the evidence and proof it actually happens instead of a graphic he could have created himself to invent evidence.
until real proof is available that documents trades done by bots that hold no real balance. then we cant just say its happening.

[Mpamaegbu]

I read same allegation last week of exchanges indulging this sharp practice, especially on Bitcoin and then using clients funds to trade. No exchange was mentioned. As it was a sweeping allegation, I quickly made a rush to certain exchanges I use but couldn't find anything untoward. I don't know how this crazy things happen and I think names and link evidences (I mean concrete evidence, not social media link.) should be made available to the reading public so that we know these bad eggs.

[Vit83]

This called Market Making this person who gives liquidity to market to decrease volatility. This works everywhere in traditional stock markets. Why you so surprised about such things in crypto where there is no regulation at all)

[Harlot]

Another reason why we need some kind of regulation when it comes to cryptocurrency exchanges. Remember fake statistics and charts leads to fake results. If I am a trader I want to make my buy and sell analysis on the real price chart of a cryptocurrency. I really don't want to buy something that I don't know has fake price action. By buying one you know that you are at the mercy of the manipulators. This kind of price manipulation uses deceit which is punishable by penal law. Government of countries need to make a quick action about this one.

[Da2ja3]

so a guy made a tweet saying an exchange does fake trades.

1. does not prove exchanges do it internally
2. does not prove exchange said that
3. dos not show which exchange it is
4. does not show it does it using zero deposit(backed) funds

all its saying is an ICO owner could get the first 50btc of trades at zero fee. which is not illegal

all in all i think its a honeypot trap the SEC are trying in the hopes of using empty evidence from an unidentified 4th party (hearsay of hearsay) but that just seems too obvious. but i think the SEC might be desparate to find something to then grab any reason to say manipulation via exchange insiders occurs.

i think the tweet owner should report the evidence and proof it actually happens instead of a graphic he could have created himself to invent evidence.
until real proof is available that documents trades done by bots that hold no real balance. then we cant just say its happening.

Are you saying this thing is not real?? The man has emails, if he wanted to make a case, but that will be indirectly shooting himself in the foot... If you read the concurrent tweet from the twitter handle i provided, this is a cankerworm and if it is not curbed will eat deep into cryptocurrencies

[Da2ja3]

Another reason why we need some kind of regulation when it comes to cryptocurrency exchanges. Remember fake statistics and charts leads to fake results. If I am a trader I want to make my buy and sell analysis on the real price chart of a cryptocurrency. I really don't want to buy something that I don't know has fake price action. By buying one you know that you are at the mercy of the manipulators. This kind of price manipulation uses deceit which is punishable by penal law. Government of countries need to make a quick action about this one.

you have just spoken my mind, things likes present a young industry in a bad light. This extortion is pure greed.

[Da2ja3]

This called Market Making this person who gives liquidity to market to decrease volatility. This works everywhere in traditional stock markets. Why you so surprised about such things in crypto where there is no regulation at all)

Is this a justification??

[Da2ja3]

I read same allegation last week of exchanges indulging this sharp practice, especially on Bitcoin and then using clients funds to trade. No exchange was mentioned. As it was a sweeping allegation, I quickly made a rush to certain exchanges I use but couldn't find anything untoward. I don't know how this crazy things happen and I think names and link evidences (I mean concrete evidence, not social media link.) should be made available to the reading public so that we know these bad eggs.

When the conditions becomes unbearable, people will have no choice than to voice out. Then we will see concrete evidence.

[romero121]

Fake volume is a major issue with the cryptocurrency industry. Similar thing happened in the past with majority of the China based exchanges doing the fake volume and that helped pump the price of bitcoin. Over the days PBOC came up with the plans to inspect the fake volume prevailing around the exchanges. This lead to the drastic downfall in price during those days.

[carter34]

This is why it is difficult to just trust datas released by exchanges as their volume. This further strengthens the call for regulation of exchanges.

[gentlemand]

As ICO fever is now over I don't think we'll be hearing too many stories about this again for quite some time, but it goes to show crypto has degenerated into yet another quagmire with exchanges as the new banks.

Even after all this time there's little to no obligation to publish audits or verify that trades are organic. We haven't got a clue what's going on behind the scenes of some enormous operations.

Between now and the next bubble I expect we'll see some decentralised exchanges that are attractive and easy enough to get a decent crowd using them. It'll be interesting to see what effect that has.

[pooya87]

this is not the first time some attention seeker on the internet has claimed they have "proof" and then  based on that claim started some conspiracy theory.

does he have proof of all the exchanges doing that or did he just see one small one doing it and then extrapolated it to all of them?
which exchange is that? for example there is a huge difference between a big exchange like Coinbase with a shitty small one like Yobit. when Yobit manipulates stats like volume or even price nobody gives a shit because it is not even affecting the market it is so small.

[gentlemand]

this is not the first time some attention seeker on the internet has claimed they have "proof" and then  based on that claim started some conspiracy theory.

I'd say this behaviour is the norm, not the exception.

The places looking to be fully legit like gdax obviously aren't going to indulge in it, but it's a free for all everywhere else.

[code]

the crypto-currency market, it's all the same dirty exchange methods, only in a new area. was expected