False Data On Crypto Trading Volumes Are Useful — Changpeng Zhao
Changpeng Zhao, the head of the leading Binance trading platform, stated in an interview with Cointelegraph that the inaccurate information of some crypto exchanges on trading volumes may be useful for the digital currency industry.
Cointelegraph journalists devoted one episode of their video program to the fake information of crypto trading platforms and tried to understand the reasons for them.
Responding to the questions, Zhao expressed the opinion that the analytical data of a number of companies that monitor the crypto trading make the industry more transparent. Besides, according to him, the attempts to blame CoinMarketCap for market manipulation are groundless.
Zhao stated that CoinMarketCap has no relation to manipulation, despite numerous accusations. The portal has a simple enough mechanism and uses the data coming from crypto exchanges, the head of Binance explained. He added that his company provides assistance to the analytical resource.
Zhao believes that regarding the exchanges that manipulate the reports, it is necessary to introduce penalties providing for their exclusion from ratings. He claims that crypto platforms need to be more attentive to transactions, monitor suspicious operations, work better with analytic information, and comply with security requirements.
Earlier, the researchers of the Bitwise project presented data that most of the trading volumes on CoinMarketCap are not true and accused the analytical resource of deliberately distorting information and deceiving investors. The service representatives announced their intention to change the mechanism of ranking crypto exchanges.