Just 4 per cent of crypto exchanges are 'trustworthy' for investors, report reveals

Wednesday 13 November 2019 13:30 CET | News

Less than 4% of over 250 exchanges analysed by Digital Asset Research have demonstrated the integrity of pricing, volumes, valuations, and infrastructure to be deemed as ‘trustworthy’ for investors.

These venues include Bitfinex, Bitflyer, Bitstamp, Coinbase Pro, Gemini, Itbit by Paxos, Kraken, Liquid and Poloniex. The analysis was conducted by Digital Asset Research (DAR), an independent cryptocurrency data and analytics company.

In prior examinations, DAR found that Bitcoin price discrepancies between ‘trustworthy’ exchanges and data from overall industry exchanges averaged 1.14% - equal to a USD 1 billion+ gap in market value. These discrepancies were significantly higher for less liquid cryptocurrencies.

Accurate, quality cryptocurrency pricing is critical for the industry to shift into its next growth stage. Price distortions hamper the quality of valuations and risk management. Regulators have cited quality of pricing and the potential for manipulation as the primary barrier to the approval of a cryptocurrency ETP.

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Keywords: Bitfinex, bitFlyer, BitStamp, Coinbase Pro, Gemini, Itbit by Paxos, Kraken, Liquid, cryptocurrency, pricing, report
Categories: DeFi & Crypto & Web3
Countries: Europe
This article is part of category

DeFi & Crypto & Web3