- The leading crypto data provider CoinMarketCap (CMC) has made changes in its exchange ranking system.
- Additionally, it enlists Binance at the top with a 1,000 score followed by BitMEX and Coinbase Pro.
- The platform also described a brief update to its liquidity scoring system and a unified page for exchange rankings.
The leading crypto data provider CoinMarketCap (CMC) has made changes in its exchange ranking system. It now includes a metric of Web traffic with regards to its calculation. The change went live on Thursday after the announcement by the platform. It was acquired by a top crypto exchange Binance for around $400 million just a few months ago.
Binance at the top followed by BitMEX
Further, the CMC team stated that besides asking exchanges to submit their users’ count, there will be a good intermediate proxy as web traffic. This will be the default metric for ranking exchanges from now.
https://twitter.com/cz_binance/status/1260991192956727296
Additionally, it enlists Binance at the top with a 1,000 score followed by BitMEX and Coinbase Pro.
Moreover, the post further stated that CMC is planning to keep working on changes to its scoring pattern. The site revealed that CMC is planning to simplify the metrics for its new users who seek quick information.
The platform also described a brief update to its liquidity scoring system and a unified page for exchange rankings.
Over 95% of rankings are fake
CMC hasn’t changed its stand on using web traffic, it has removed an indicator which it created in 2019. The latter was designed to provide accurate data and clear off wash trading.
Though, getting ranked on top of exchange comparison sites are important for the market value of the exchanges. However, a report exposed that up to 95% of exchange volumes are false as they use wash trading to expand their volumes and get the top ranking.
Theoretically, top ranking is important for the exchanges as it increases exposure for the brand. This makes the exchanges to appear as the most popular exchange and thus attracting new customers.