Coinmarketcap Wants More Transparecy: Exchanges Must Now Prove Their Volume
Coinmarketcap is taking very seriously its commitment to promote transparency and trust in the ecosystem. In a post published on its official website on the occasion of the platform’s birthday, the company explained how its team is working hard on redesigning the way they collect and share information.
The CMC team explained that they are aware of their responsibility. After 6 years, Coinmarketcap has become the most used and reliable tracking service of the crypto-verse, which is why they decided to do something about the comments that questioned the reliability of the information provided by the exchanges and published on coinmarketcap.com.
As covered before by Crypto Crimson, the crypto index fund provider Bitwise Asset Management sent a study to the SEC revealing that about 95% of the total trading volume reported by exchanges is fake. After the news spread, Coinmarketcap announced its plans to counter this scenario and present reliable information to the public.
Coinmarketcap Announces DATA
The initiative launched a few hours ago is known as DATA (an acronym for Data Accountability & Transparency Alliance) and seeks to promote a global alliance with crypto exchanges to provide “greater transparency, accountability, and disclosure from projects in the crypto space.”
CMC explained that DATA’s main objectives are:
Review, align, and enhance reporting standards across the industry.
Identify gaps, propose strategies and measures to enhance data accountability and transparency.
The platform also noted that a significant number of
exchanges have already joined the initiative:
“Today, 12 exchanges have already joined the Alliance to lead the data transparency cause: Binance, Bittrex, OKEx, Huobi, Liquid, UpBit, IDEX, OceanEX, Gate.io, KuCoin, HitBTC, Bitfinex, and with many more DATA partners to follow.
Each of these exchanges is contributing significantly to the ongoing standard-setting discussions, and are paving the way for accountability and disclosure in the cryptocurrency space.
Should an exchange fail to comply with coinmarketcap policies, its stats “will be excluded from all price and adjusted volume calculations on the site”
Also, they announced a platform overhaul, adding new features such as a block explorer compatible with Bitcoin and Ethereum, a virtual store, updates to its Crypto API pricing, and the much awaited Android and iOS apps.