A report published by CryptoCompare on August 21st reveals that exchanges are still the larger contributor to cryptocurrency trading volumes on a global level, even though systems like Bitcoin Loophole hold a huge piece of the investment pie.
Let’s discuss the available information together at Top10CryptoBots. July reports of low-quality D-E rated exchanges account for almost up to 64% of the total crypto trading volume – that is a shocking total of $316 billion. On the other hand, all AA top-rated platforms sum up for just 5% which is only about $31 billion.
There just might be a silver lining according to CryptoCompare, even after the crypto trading volume being overshadowed by low-quality exchanges. As the trade volume on top rated AA and A exchange platforms increased by 29% and 10% separately.
When on the other hand the low quality (representing $142 billion)- E rated crypto exchanges observed a 20% decrease in trade volume in July as compared with their stats from June.
CryptoCompare’s data reveals that trade volume from top-rated, AA-B, exchanges increased by 4.4% when compared with the minimal 0.7% increase in that of low-rated, C-F, exchange platforms.
Low-rated exchanges, from C-F, reportedly observed the greatest average trade sizes in the market. Some of which are- CoinBene, Coinsbit, and Lbanks, these witnessed the average trade volumes of 1.1, 1.6 and 3.7 BTC respectively.
When compared to top-rated, AA ranked exchanges like Coinbase, Lbank’s average trade volume was around 15 times greater. However, Lbank only handles around 25,000 trades per day whereas Coinbase handles over 100,000 trades daily.
The report further reveals that four top-rated platforms, ranked from AA to B, Liquid, OKEx, BitFlyer, and Binance have topped the chart with the highest average daily trade count, where Liquid handles over 400,000 trades per day and Binance handles over 300,000 trades on an average.
Separating Fact from Fiction
As the report states, awareness is increasing in the crypto exchange market about the prevalence of untrustworthy trading exchange platforms, market manipulation via faked trading volume reports which involve trading and spoofing strategies.
CMC has put forth an ultimatum in June 2019 in front of all global crypto exchange platforms to report accurate data. If they fail to provide true data regarding trade volume and other related information, they may get delisted from the website.