NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: SOL Strategies: The First Solana Treasury Company Listed On Nasdaq
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: SOL Strategies: The First Solana Treasury Company Listed On Nasdaq

Latest Research Shows Fake Volume On Crypto Exchanges Is Greatly Exaggerated

Samuel Wan
Samuel Wan
4 years ago
3 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Findings from Alameda Research show fake crypto exchange volume is not as prevalent as previously thought. In a study released yesterday, findings show 68% of reported exchange volume is fake. This compares to a report from Bitwise Asset Management, released three months ago, that puts the figure between 80% – 90%.

Alameda Research Uses Different Methodologies For A More Accurate View of Crypto Volume

While neither scenario is particularly palatable, fake volume is still a reality that plagues the crypto industry. Although there has been a counter response since Bitwise released their findings, for example in CoinMarketCap developing more transparent tools and metrics, Alameda Research believes using different methodologies can give a more accurate view of the problem.

Researchers developed six criteria to apply to a sample of 48 crypto exchanges. This list includes big exchanges like Gemini and Binance, right the way through to lesser-known organizations such as Exmo and FCoin. Each criterion, when applied to a given exchange, resulted in either pass, fail, or undetermined. In the end, a weighted score, to take into account the higher significance of particular tests, between 0 and 5 was assigned. With 5 being the mark of an exchange that reports real volume.

Full details of the tests and the methodologies applied are available in the report. They include manual investigation of trading patterns, that is, observing whether trades correspond with an order previously seen on the order book. And, comparing the hourly volume to that of an index of well-established and legitimate exchanges.

A comparison of hourly volume for two exchanges against an index of hourly volume derived from legitimate exchanges. Courtesy of Alameda Research.

Alamada Research’s Findings

A score of fake volume, which takes into account live data, can be found at ftx.com. It shows, of the exchanges investigated, fake crypto volume comes to 68%. A value significantly less than research from Bitwise, which puts fake volume as high as 90%. As such, under these alterntaive methodologies, the findings made by Bitwise exaggerated the problem of fake volume.

Crypto volume evaluation

Bitwise concluded that only ten exchanges have real volume. Those being: Binance, Bitfinex, bitFlyer, Bitstamp, Bittrex, Coinbase Pro, Gemini, itBit, Kraken, and Poloniex. Whereas the findings above concur but also show several other exchanges that deserve recognition, including Huobi, Korbit, and Zaif.

Boycott The Bad Actors

On that note, it’s fair to say that the practice of faking crypto volume will not go away until legislated against. At present, in a largely unregulated global trading environment, the temptation to inflate activity is a strong one. Especially so, given the financial rewards for climbing up exchange rankings.

But Analyst, Sylvain Ribes describes a situation where the greed of bad actors tarnishes us all. As such, until such time as global exchange regulation happens, if at all, we each have a responsibility to shun the bad actors. He said:

“”Crypto doesn’t need regulation!”, we all claim. It is high time we proved it. Because as it stands the state of crypto is arguablly a testament to the failure of the free market.”

In short, fake volume is yet another reason why outsiders deny the legitimacy of crypto assets. And so, regardless of where we stand on a particular matter, or whatever it is that divides the community, one thing we can all agree on is the need to boycott fake volume exchanges.

Featured Image From Unsplash

Tweet123Share220ShareSend
Samuel Wan
Samuel Wan

Samuel Wan

Samuel Wan is passionate about different cultures and eating good food. He has years of experience working in business and finance — a burgeoning interest in Bitcoin and cryptocurrencies since 2017. UK based.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Solana SOL SOLUSD

Whales Inject $1B Into Solana DeFi as Transactions Surge 500%, Here’s Why

Solana (SOL) is back in the spotlight after whale investors injected more than $1 billion into DeFi protocols, sparking a...

James Halver 3 hours ago
coinbase-xrp-avoirs-divises-par-3

Coinbase divise ses avoirs XRP par 3 : repositionnement stratégique ou perte de confiance

Coinbase vient de faire une coupe massive dans ses réserves de XRP. En quelques semaines, la plateforme est passée d’environ...

guillaumev 6 hours ago
altcoins-pump-crypto-imminent-septembre-2025

3 altcoins bien placés pour un pump crypto imminent en septembre 2025

Septembre 2025 remet de l’essence dans le moteur des altcoins. Les volumes se réveillent, les communautés s’échauffent et les graphiques...

guillaumev 7 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

MemeCore

MemeCore Explodes 3,800% For ATH — But Is A Collapse Around The Corner?

Christian Encila 29 minutes ago
solana-price-prediction-1000-snorter-100x-opportunity-tw

Solana最新價格預測SOL將飆至1000美元 Snorter成下個百倍幣機遇

Mark Mak 2 hours ago
Ripple

Africa Becomes Ripple’s Next Battleground For RLUSD Stablecoin

Christian Encila 2 hours ago

Premium Sponsors

Press Releases

  • 50万ドル調達の新興プロジェクトが次の大型ミームコイン候補に浮上

    ...

    3 hours ago
  • イーサリアム売却後に注目される次のアルトコイン投資先4選

    ...

    3 hours ago
  • アルトシーズン前に投資候補となる仮想通貨プレセールの紹介

    ...

    4 hours ago
  • 仮想通貨おすすめ:市場回復期に注目すべき銘柄リスト

    ...

    4 hours ago
  • 今日注目すべき1ドル未満の新しい仮想通貨 ― 9月6日版

    今日注目すべき1ドル未満の新しい仮想通貨...

    4 hours ago

Newsletter

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.