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: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning
  • 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: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning

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

Solana (SOL) Set For Price Run To $2,700 — But This Condition Must Hold

Solana (SOL) has registered a 0.58% loss in the past day, representing a slight price retracement from its strong weekly...

Semilore Faleti 9 hours ago
Bitcoin

Who Flipped The Switch? Bitcoin STHs Accumulate While LTHs Take Profit

Over the last month, Bitcoin ranged within the $100,000 — $110,000 price region until its recent breakout to reach a...

Opeyemi Sule 11 hours ago
XRP

XRP To Hit $4 This Week? This Crypto Expert Thinks So

XRP is back in the spotlight after a sudden pop in price. At press time, the token traded at $2.80,...

Christian Encila 8 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

Bitcoin

Bitcoin Stalls After Rally: Will It Blast Through $125,000 Or Slip Back To $110K?

Scott Matherson 2 hours ago
Bitcoin

Kiyosaki Awaits The Next Bitcoin Sale: ‘My Fellow Pigs And I Are Feasting’

Christian Encila 3 hours ago
Ethereum

Ethereum Breaks Critical $2,800 Level — Can Bulls Hold For Major Rally?

Semilore Faleti 6 hours ago

Premium Sponsors

Press Releases

  • アルトコイン急騰の今買うべき仮想通貨プレセール

    ...

    5 hours ago
  • 仮想通貨おすすめ|強気市場で爆発的成長が見込まれる注目のミームトークン

    ...

    5 hours ago
  • BTC最高値更新の中で注目される新たなレイヤー2プロジェクトが狙う仮想通貨1000倍の可能性

    ...

    5 hours ago
  • ビットコインが11万8,000ドルの最高値を記録する中で注目すべき仮想通貨プレセール

    ...

    1 day ago
  • 仮想通貨 おすすめ|急騰するDogwifhatとFartcoin、注目の低価格ミームコインとは?

    仮想通貨...

    1 day ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

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.