How can we stop centralized exchanges from manipulating the price of tokens

[Ben_Cryptopolitan]

While everyone keeps have individual opinions and speculations on the next prices of cryptos, especially on the next altcoin season, I'll say we are moving nowhere because of price manipulation by exchanges. The actions of some exchanges is dropping the prices of tokens unnaturally and these affects market and industry confidence. How can we attract new money into the market when top wash trading exchanges like Bitforex and Bibox still exists and deceives people freely?

nobody cares about the volume numbers on no-name chinese exchanges. anyone who has been around this space longer than a few months knows the numbers are bogus.

and how is wash trading "dropping the prices of tokens unnaturally"?

Take this little assignment upon yourself;

1.) Open an account with Bitforex or Bibox, but most especially Bitforex.
2.) Fund it with a minor amount of BTC or ETH to trade.
3.) Pick any average token that has a BTc or ETH pair.
4.) Buy the sell 1 order, which will most likely increase the price of the token.
5.) Stay for about 5 mins on site and watch as their internal bot will trade down the price of that token.

This trading down occurs at intervals, if there are huge natural trades going on, you won't notice this and the exchange will be silently making money, but the price will be going up slowly or be about stagnant. This can be verified when you analyze exchanges with big real volumes like Binance and big wash trading volumes like Bitforex or bibox. Also, most times it is visible that wash trades are going on because you'll see orders which are short lived say few seconds on order book. Now when this goes on, your portfolio price doesn't naturally go down..it is manipulated down..If these exchanges trade the prices up, they would love money.

[Ben_Cryptopolitan]

While everyone keeps have individual opinions and speculations on the next prices of cryptos, especially on the next altcoin season, I'll say we are moving nowhere because of price manipulation by exchanges. The actions of some exchanges is dropping the prices of tokens unnaturally and these affects market and industry confidence. How can we attract new money into the market when top wash trading exchanges like Bitforex and Bibox still exists and deceives people freely?

I don't need to add links to prove, but just google these exchanges and add the wash trading to your search term, you'll be marvelled at the results you'll find. 

Manipulation only really works when the trading volume of a coin is low - that way you only need a little money to move the price.

Once the trading volume for a given coin is huge, it's hard to manipulate because you need loads of money to do it.

So the answer is build your community, make sure your coin is popular which results in large trading volumes for it - and the manipulation diminishes.

You think so? Read https://modernconsensus.com/cryptocurrencies/tether/bitforex-coinmarket-cap-bitcoin-tether/, search tweets, and also Google Bitforex Eth Price manipulation, and answer for yourself.

[CjMapope]

While everyone keeps have individual opinions and speculations on the next prices of cryptos, especially on the next altcoin season, I'll say we are moving nowhere because of price manipulation by exchanges. The actions of some exchanges is dropping the prices of tokens unnaturally and these affects market and industry confidence. How can we attract new money into the market when top wash trading exchanges like Bitforex and Bibox still exists and deceives people freely?

I don't need to add links to prove, but just google these exchanges and add the wash trading to your search term, you'll be marvelled at the results you'll find. 

This actually happens alot, especially in the shady new exchanges that are trying to cause some kind of FOMO for their platform
i always just tell my crypto buddies to basically ignore CMC, and just DYOR on all projects and exchanges
and dont trust those IEOs,  cause they get manipulated just as bad

[Ferris419]

Everyone who spends 5-6 months in the crypto market knows well which exchange has fake volume, but still, people love trading in centralized exchanges. A third-grade centralized exchange has higher volume than a top tier decentralized exchange. Because most of the potential coins chose CEX over Dex, they offer fake asset security, promise a lot, and we fall into their trap easily. Therefore, exchange manipulated the coin price to show people that they have higher volume, so, they can offer high fees for new token listing or for the IEO launchpad by showing the high rank in Coinmarketcap. CMC is another tool where they are like supporting these fake volume exchanges. That's why I like Coingecko most, wherein the trust score section we can see which exchange has real volume. Personally I think, We have no way to stop these manipulations until everyone moves on DEX, which seems not possible in the near future.

[Willitivity]

Over time, it's been a fact that centralised exchanges perform way better than their decentralised counterparts. When it cones to having a wide array of trading pairs, listings and volumes. It's very painful to see that sometimes these centralised exchanges can pull up fake volumes just to attract more users. But I don't believe that has a far reaching impact on the general market prices.

[DeepChipolino]

...................................

This trading down occurs at intervals, if there are huge natural trades going on, you won't notice this and the exchange will be silently making money, but the price will be going up slowly or be about stagnant. This can be verified when you analyze exchanges with big real volumes like Binance and big wash trading volumes like Bitforex or bibox. Also, most times it is visible that wash trades are going on because you'll see orders which are short lived say few seconds on order book. Now when this goes on, your portfolio price doesn't naturally go down..it is manipulated down..If these exchanges trade the prices up, they would love money.

This is common practice for many exchanges, including stock exchanges. There are market makers whose responsibilities include creating liquidity and reducing volatility when possible. You may perceive this as unfair trading. Of course, MMs take every opportunity to make money. We know that most crypto assets are so illiquid that even $100 can shift the market. And creating liquidity can be beneficial to customers.

[carlisle1]

, I'll say we are moving nowhere because of price manipulation by exchanges.

while this issue is very true and has been tackled so many times yet proof wasn't enough to justify the reality here

The actions of some exchanges is dropping the prices of tokens unnaturally and these affects market and industry confidence. How can we attract new money into the market when top wash trading exchanges like Bitforex and Bibox still exists and deceives people freely?

thats why there is a need for us to inform the community not to fall from this deceiving and misleading with our help the victims will be lessen

I don't need to add links to prove, but just google these exchanges and add the wash trading to your search term, you'll be marvelled at the results you'll find. 

but you must add links for faster references so in just one click we already have proofs

[CryptoBry]

I read a lot of accusations of manipulations and wash trading done by some cryptocurrency exchanges even including the most famous ones. This topic is a hot one in some crypto-focused forums I am also a member of and yes even in this forum. On my part, manipulations in any form is really not so acceptable especially so when we are basing on data for our trading decisions. However, the reality is that exchanges are brazen in tinkering with data all because they feel that they can easily get away with it and there seems to be no backlash suffered by manipulative exchanges. And I think that there is where we can start. There should be an effective way we can send this message to them and them fear the possibility of regulators coming their way.

[Nivia1st]

I don't need to add links to prove, but just google these exchanges and add the wash trading to your search term, you'll be marvelled at the results you'll find. 

Did it and I found these.

OVER $6 BILLION IN DAILY TRADING VOLUME FAKED ACROSS TOP 100 EXCHANGES

https://www.reddit.com/r/Bibox/comments/7yuarq/bibox_wash_trading/

Crypto Exchanges Are Cleaning Up Wash Trading, BTI Says

How can we attract new money into the market when top wash trading exchanges like Bitforex and Bibox still exists and deceives people freely?

Actually, we don't have to attract them, they will come in normally when they see the market shines again. This usually happens when they see the market starts to trigger a bull run. We're just now at the middle of bears and bulls but eventually, 'new money' from institutions will sudden come afterwards.

yes you're right, we don't need to do anything for this. sooner or later "new money" will come to the market. but manipulation makes negative sentiment on crypto never disappear. I hope there will be firm action on this matter. maybe the SEC can help, but unfortunately the average crypto exchange doesn't come from the US. so it's difficult to solve the problem of manipulation.

[MBMauL]

yes you're right, we don't need to do anything for this. sooner or later "new money" will come to the market. but manipulation makes negative sentiment on crypto never disappear. I hope there will be firm action on this matter. maybe the SEC can help, but unfortunately the average crypto exchange doesn't come from the US. so it's difficult to solve the problem of manipulation.

manipulation is mostly done by exchanges to attract trade. on average, for new coins registered in large exchanges, there is a system like this. the trading volume looks high and of course, it makes other traders curious about what is happening to the asset.
this will not give such negative sentiment. traders and investors are now smarter and will not buy or trade coins in such exchanges.

[Quidat]

While everyone keeps have individual opinions and speculations on the next prices of cryptos, especially on the next altcoin season, I'll say we are moving nowhere because of price manipulation by exchanges. The actions of some exchanges is dropping the prices of tokens unnaturally and these affects market and industry confidence. How can we attract new money into the market when top wash trading exchanges like Bitforex and Bibox still exists and deceives people freely?

I don't need to add links to prove, but just google these exchanges and add the wash trading to your search term, you'll be marvelled at the results you'll find. 

Deal with it because even on most top tier exchangers do really have these issues.Getting rid of it? Never!
As long this market goes there would always a tendency of price manipulation and its an inevitable thing thats why
as an investor you should really be wise on how you would deal wit it.Talking about industry confidence it wont really come
to a point where it would be adopted 100% but at least we are heading to that way but expect there would be lots of factors
that can affect communities views.

[bustedsynx]

I have dealt with trading bots since Mintpal, Poloniex and Bittrex heydays. You cannot stop them and you actually don't know if the exchange is the one trading against you. It could always be one tricky whale trader.

But the thing is: Trends always show especially in the macro view.

[zeze18]

I have dealt with trading bots since Mintpal, Poloniex and Bittrex heydays. You cannot stop them and you actually don't know if the exchange is the one trading against you. It could always be one tricky whale trader.

But the thing is: Trends always show especially in the macro view.

I agree with you, as long as we can read the trend goes where. We won't get tricky by the big volume by the bots.
We should analyze not only from one exchange, we should look at many exchange before we take a trade

[marcbitcoins]

I think it is not the exchanges but the big whales can manipulate the market. There are so many market exchanges that it is impossible for them to be united just to pump and dump a certain coin except if the exchanges itself is the big whales then manipulation will be possible in which there is no way of how can they be stop.

[makishart]

I have dealt with trading bots since Mintpal, Poloniex and Bittrex heydays. You cannot stop them and you actually don't know if the exchange is the one trading against you. It could always be one tricky whale trader.

But the thing is: Trends always show especially in the macro view.

Exchange site is having full control over the trading bots that already manipulated the market and even the traders are also using bots make it even worse.
As a manual trader and i never try to take short term trade as my choice to trade.
But one thing that we must remember if exchange site will always use both these days, you don't need to prove it because so many times people have already discovered.

[NathanJB]

I have dealt with trading bots since Mintpal, Poloniex and Bittrex heydays. You cannot stop them and you actually don't know if the exchange is the one trading against you. It could always be one tricky whale trader.

But the thing is: Trends always show especially in the macro view.

Exchange site is having full control over the trading bots that already manipulated the market and even the traders are also using bots make it even worse.
As a manual trader and i never try to take short term trade as my choice to trade.
But one thing that we must remember if exchange site will always use both these days, you don't need to prove it because so many times people have already discovered.

We cannot get away with bots. That is part and parcel of trading nowadays. Can you give a specific exchange site that does not have bots? There is none. And the bots are, as you have said, coming from both trading platform itself and traders. But bots are not as brilliant as manual traders. You can actually play with them. They do not have enough reason as they are set in a limited manner. Sometimes, it is very itchy on my part to fight against bots. But sometimes I just choose to set my order and leave it like that. But you can always race against them if you have the time.

[Strongkored]

I have dealt with trading bots since Mintpal, Poloniex and Bittrex heydays. You cannot stop them and you actually don't know if the exchange is the one trading against you. It could always be one tricky whale trader.

But the thing is: Trends always show especially in the macro view.

That's what I think that there are other parties involved in this matter, what happened was not only done by CEX but also whale, and this becamse a partnership that benefits both parties, nothing can be done especially traders with small funds.

[eaLiTy]

The actions of some exchanges is dropping the prices of tokens unnaturally and these affects market and industry confidence.

Majority of the exchanges in the market are using fake volumes and it is documented and the price manipulation in tokens are evident and the manipulation will continue unless there is strict regulation for exchanges and if that happens then they will not dare to manipulate the price as it will attract heavy fines and suspension of license and so on, until then we have to accept these realities since this is a new market.
Even if some countries comes up with proper regulation most of these exchanges will move out to free heavens.

[BitcoinPanther]

Well. exchange manipulation of token price is rampant.  It is quite hard to stop them but if they are bound by government laws, then you can file a complaint on the institution that regulate exchanges.  If the government took notice and the exchange failed to provide evidence that they are clean,then, the exchange will be foreclosed.

[micalith]

We can have decentralized exchanges and let the community handle the issues with markets. I have seen that some centralized exchanges not only manipulate the prices but also sell tokens-coins that they don't even have in their wallets. When you try to withdraw, they can't send it. We need to inform each other about these false things and manipulations, this is how we deal with these exchanges.