Huobi's VP accuses BNB and CMC for 'distorting' crypto rankings

[Baofeng]

The Vice-President of Huobi, Ciara Sun, recently critized Binance, for somewhat manipulating the ranking system and obviously put CZ's Binance on top of the ranking.

We all know that coinmarketcap was recently acquired by CZ so I'm not surprised by how they are going to present the ranking to give them some advantage.

Is this the start?



https://twitter.com/CiaraHuobi/status/1261269765395345409

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[CaVO32]

I think CMC is not "distorting" the rankings but they have their own criteria regarding their rankings. If Huobi wants to be the number one in terms of the criteria they are presenting, then create their own ranking website or suggest it to CMC to have that kind of rankings as well. I guess CMC will be open to suggestions and will not operate in totalitarian style. CMC is in hotspot right now because it is now owned by BNB, so we will expect more criticisms from other exchanges in the next coming months.

[GreatArkansas]

+1 to CaVO32.
Binance acquiring Coinmarketcap is an extremely big advantage of the Binance, especially Coinmarketcap is the most popular price-tracking website for cryptocurrencies.
This could also be a threat to some exchanges, but also for Binance. With this kind of issue (faking the data), some people will also start to hate Binance.

There is a lot of alternatives for Coinmarketcap there, like, Coinpaprika and Coingecko.

[Rengga Jati]

Since Binance acquired CMC, of course, there will likely be some changes. Previously there were indeed many who doubted the independence of CMC if it was acquired by Binance. some things are feared is the manipulation of data exchange and ranking, because Binance itself is a large exchange.

However, the Binance and Coin Market Cap Parties have confirmed that Binance will not be directly involved in internal matters related to ranking. Zhao ensured that the acquisition from Binance won't change the independence of CMC from the external stakeholders:

“Binance has no bearing on CoinMarketCap rankings. CoinMarketCap stays committed to providing the most accurate, timely and quality cryptocurrency data in the industry while benefiting from Binance’s expertise, resources and scale.”

-snip

And about the accuse from The Vice-President of Huobi, we exactly cannot understand it is true or not. There should be some proof of the acquisition. And in my opinion, instead of posting there, why isn't it better to contact the CMC and confirm it? That might be better.
Actually, this might also be a question mark related to the independence of CMC. Is it really independent or is there an intervention? Maybe in the future, there will be other accusations that consider the involvement of Binance as a rival exchange. So, it would be better if the CMC also provides data related to the allegations so that the public understands which is exactly correct.

Source:
https://cointelegraph.com/news/binance-announces-coinmarketcap-acquisition-cz-gives-the-scoop

[btc_angela]

This is just probably what is in store in the future for CMC. And it looks like this will back fire for Binance in the long run. Because others will see this as a way to manipulate the rankings and put them on top and will likely tailor made their criteria for themselves. CMC will not be seen as a singular entity and will highly influence by CZ. For Huobi, they can still rank better in other platforms and there are a lot of alternatives. It's good though that she expose this as early as today.

[stadus]

Whether we like it or not, people or the competitors will always say negative about Binance because it was very clear that  Binance own CMC now and they could be bias, of course as an owner, you should serve your personal interest.

This would not change, we will see more of this in the future and it will be useless for Binance to acquire CMC without benefiting it.

though they said this.

https://cointelegraph.com/news/binance-announces-coinmarketcap-acquisition-cz-gives-the-scoop

CMC will operate independently
While the companies are going to work closely together, CMC will still continue to operate as an independent business entity, both Binance and CMC emphasized. Zhao stressed that the acquisition will not change CMC's independence from external stakeholders:

[Distinctin]

you can't find a transparency for CMC when it's acquired by an exchange, the owner can easily manipulate the data that they will put but it will be hard for people to question since Binance itself is not a shitty exchange, in fact people think that Binance is the number 1 exchange.

Competitors has to understand and accept that this is the perks Binance can get, they can put any exchange in the top if they wishes to, if they like for their exchange to be advertise, then they better purchase a CMC like. 

[ajaymukund]

To become the top 1 exchanges, they need to have many different elements, not just deposit volume. but the game is like that, whoever owns it has the right to rule and others to follow. CZ didn't naturally spend $ 400 million to buy CMC, he already had a plan in place for these marketing.

[stadus]

To become the top 1 exchanges, they need to have many different elements, not just deposit volume. but the game is like that, whoever owns it has the right to rule and others to follow. CZ didn't naturally spend $ 400 million to buy CMC, he already had a plan in place for these marketing.

CMC has new features, which I guess they evaluate on their own, but before it was really different as exchanges are only ranked based on its 24 hours trading volume, but due to some exchanges faking its volume, CMC are making their own evaluation by adding some factors to determine the overall ranking of a site.

https://coinmarketcap.com/rankings/exchanges/

as you can see, they already have the following :

Web traffic factor
Average liquidity.

[Darker45]

To become the top 1 exchanges, they need to have many different elements, not just deposit volume. but the game is like that, whoever owns it has the right to rule and others to follow. CZ didn't naturally spend $ 400 million to buy CMC, he already had a plan in place for these marketing.

CMC has new features, which I guess they evaluate on their own, but before it was really different as exchanges are only ranked based on its 24 hours trading volume, but due to some exchanges faking its volume, CMC are making their own evaluation by adding some factors to determine the overall ranking of a site.

The 24-hour trading volume reflected on CMC prior to Binance acquiring it was segregated between "Reported" and "Adjusted." This was a way for CMC to somehow counter the questionable volume figures reported by the exchanges themselves. Binance not only disregarded this, it also removed it altogether and shifted into another metric of ranking exchanges by which Binance will rise to the first rank.

Is this the start?

This is the start of a Sun and a Zhao squabble.

[Jating]

you can't find a transparency for CMC when it's acquired by an exchange, the owner can easily manipulate the data that they will put but it will be hard for people to question since Binance itself is not a shitty exchange, in fact people think that Binance is the number 1 exchange.

Correct, so we don't know if this is a good move from Binance to acquire CMC in the first place because they are going to be accused of data manipulation.

Competitors has to understand and accept that this is the perks Binance can get, they can put any exchange in the top if they wishes to, if they like for their exchange to be advertise, then they better purchase a CMC like. 

I doubt though that competition will take this likely. It's a cut-throat competition, and everyone will make a move to step the bar high just like what Binance did prior to the acquisition. And competitions doesn't like it obviously, so there's going to be a lot of tweets going back and forth, attacks that can make exchanges interesting again. They will have to show their strengths and let everyone knows the weaknesses of their competitors.

[Bttzed03]

Like what I said in another thread:

With web traffic, the "Top Cryptocurrency Exchanges" clearly equates to the "Most Popular Cryptocurrency Exchanges".

If they will use average liquidity, the rankings would be a mess. There are more less 90 exchanges with more than zero liquidity but there are 341 in total. Bitmex has zero liquidity according to CMC data will be ranked 90+ but we all know it is quite popular among traders.

If you sort the rankings by average liquidity now, Bibox, Bitfinex, Huobi Global, Coinbase Pro currently outranks Binance.

No matter what Binance or CMC says, it's obvious that the recent ranking change largely favors Binance.

CZ knew he and Binance will be criticized for implementing these changes but still went for it. At the end of the day, they spent millions on CMC not to make it "reputable" market data aggregator but to make Binance more popular and "more reputable". Huobi and other exchanges just have to suck it up.

[slackovic]

Whether it's a manipulation or not, we can't argue that Binance is the most popular exchange right now. When did you see a pump caused by Huobi listing? Or any other exchange that claims to be the most popular?

On the other hand, there are number of competitors to CoinMarketCap so if anyone dislikes those changes, they can use any other site. My personal favorites are CoinGecko and CoinPaprika (I can't decide which one is better ).

[carlisle1]

The Vice-President of Huobi, Ciara Sun, recently critized Binance, for somewhat manipulating the ranking system and obviously put CZ's Binance on top of the ranking.

Expect more of this in future as Binance and CMC are starting to be one solid company and Houbi will surely miss the Position in exchange
 popularization ,no wonder how many of this issue will come sooner.

We all know that coinmarketcap was recently acquired by CZ so I'm not surprised by how they are going to present the ranking to give them some advantage.

Is this the start?

If the Battle against exchange is going to start then this is a good indicator how market is starting to bloom as well,so in the end this is a
Healthy competition and everything will benefits even users and the exchanges.

https://twitter.com/CiaraHuobi/status/1261269765395345409

for me?try to Use "BestChange" now for reference finding good exchange and with no manipulation issue.

[boyptc]

This is what cmc's about says.

While the Binance cryptocurrency exchange and its native token BNB are listed on CoinMarketCap, CoinMarketCap and Binance are separate entities that maintain a strict policy of independence from one another: Binance has no bearing on CoinMarketCap rankings, while CoinMarketCap has no influence over Binance's operations.

No Binance employee, including CZ, has control over CoinMarketCap's ranking algorithms or listing processes.

A matter of competition and Binance is known no matter what they say.

[slackovic]

This is what cmc's about says.

While the Binance cryptocurrency exchange and its native token BNB are listed on CoinMarketCap, CoinMarketCap and Binance are separate entities that maintain a strict policy of independence from one another: Binance has no bearing on CoinMarketCap rankings, while CoinMarketCap has no influence over Binance's operations.

No Binance employee, including CZ, has control over CoinMarketCap's ranking algorithms or listing processes.

A matter of competition and Binance is known no matter what they say.

What did you expect? That they will say - Hey, we are now owned by Binance and because of that Binance will always be the number one exchange on our site. Of course they will say that they are independent of each other. But that's not important... People that don't trust CMC anymore there is a lot of competitor websites that provide even more info than CMC.

[davis196]

Binance had acquired Coinmarketcap with marketing/advertising in mind.There's no other reason for acquiring a service like CMC.Now they are going to use Coinmarketcap as a promotion channel of their BNB token.
We can say "goodbye" to "Binancemarketcap",because no cryptocurrency user or trader that has a brain won't trust their fake rankings.By the way,Binancemarketcap is a pretty accurate name for re-branding CMC.
Huobi might follow Binance's example and try to acquire some of the Coinmaretcap competitors.

[boyptc]

This is what cmc's about says.

While the Binance cryptocurrency exchange and its native token BNB are listed on CoinMarketCap, CoinMarketCap and Binance are separate entities that maintain a strict policy of independence from one another: Binance has no bearing on CoinMarketCap rankings, while CoinMarketCap has no influence over Binance's operations.

No Binance employee, including CZ, has control over CoinMarketCap's ranking algorithms or listing processes.

A matter of competition and Binance is known no matter what they say.

What did you expect? That they will say - Hey, we are now owned by Binance and because of that Binance will always be the number one exchange on our site. Of course they will say that they are independent of each other. But that's not important... People that don't trust CMC anymore there is a lot of competitor websites that provide even more info than CMC.

Yes and that's what Huobi has to think of. There might be other websites that are the same as CMC but they are looking to the huge traffic that it gets and that's why they're saying what they want to say.

They were on rank 18 and Binance obviously goes #1, they should have expected that.

[kryptqnick]

I don't think it's manipulations, as Coingecko, to which I switched from CMC months ago, also says that Binance is #1 and Huobi is #2-3 (it keeps changing) by their Trust Score (it's explained here). I suppose the total coin marketcap is just not the key criterion when making these lists. CMC states on the page of the Top crypto exchanges the following:

CoinMarketCap ranks the top cryptocurrency exchanges based on traffic, liquidity and trading volumes.

What is interesting, is that based on this approach, Huobi is not even close to #2 (it's currently #18), and choosing the approach that would bring Binance and Huobi more apart might do with the conflict of interests.

[Tipstar]

Even the graph illustrated by him says it's the volume of USDT only. Huobi maybe one of the largest to transact with USDT but it doesn't mean it's number one in total transactions as binance features many coin pair than Huobi and many stable coins than Huobi do. If you visit Huobi market, you'll see USDT pair market on the front while their are multiple stable coin on Binance. BUSD and USDC is the stable coin that Binance prefers to USDT.