• typewriter
    Alt coins,  Bitcoin,  Ethereum,  Media,  United States

    Must-reads for September 27, 2018: Fake volume, low volume, and other bad choices

    Here are the crypto stories you should be watching today

    Crypto’s Open Secret: Its Multibillion-Dollar Volume Is Suspect (Bloomberg via Yahoo Finance) Nearly two months ago, we wrote about BitForex, the Singapore-based exchange with suspicious trade volumes and a horrible logo. Bloomberg has finally caught up to Modern Consensus and they have some more details about it. Why would BitForex do it? “Transaction mining, also known as trade mining, is a controversial practice. On BitForex, users earn the equivalent of $1.20 in digital tokens issued by the exchange for every $1 they pay in transaction fees. It’s a system that critics say is tailor-made to encourage wash trading — in which a trader, or a team of traders, buy and…

  • volume manipulation
    Bitcoin,  Tether

    BitForex accused of using Tether, wash trades to manipulate CoinMarketCap data

    Never heard of BitForex? You’re not alone, but on Friday, they dominated Tether and Bitcoin trade volumes

    Another day, another Tether controversy—and a new exchange is being accused of inflating trade volumes in the process. On Friday afternoon Eastern Time, CoinMarketCap data showed that a tiny upstart exchange called BitForex was responsible for nearly $4.3 billion worth of tether transactions in 24 hours. That’s a shockingly high amount given that the average daily volume of tether has been $2.8 billion worth over the past 30 days. It also put BitForex in second place for bitcoin trading volume, more than eight times that of third place Binance. Such volume from a little exchange was very unusual and CoinMarketCap excluded BitForex’s data from its totals. BitForex is an outfit…