As reported recently, publicists Medium with a fascinating scale investigation aimed at exposing the fraudulent activities leading cryptocurrency site CoinMarketCap.
The platform was charged with providing users with false information in order to manipulate the market.
Team CoinMarketCap was seriously excited over the events and decided to publish his appeal to the users on Medium. We offer you to familiarize with the above facts. When translating we tried to preserve the line of copyright text.
6 myths about CoinMarketCap
If you have some time follow CoinMarketCap, you probably know that we rarely publish public statements. However, the last time we had to deal with rumors based on false information about CoinMarketCap (CMC), and we consider it our duty to clarify the situation.
When in 2013 we launched CoinMarketCap, our mission, as we have seen the provision of information on the cryptocurrency in an accessible form. We are guided by the same policy until now, making these or those decisions. We hope that by providing more information about how we manage the CMC, we can maintain your confidence and stay an authority in your eyes in the sphere of the ratings market and information about prices.
Myth 1: CoinMarketCap accepts payment for the inclusion of coins in the listing and for the updates
This is an outright lie. Although we encourage donations to improve the quality of service, CoinMarketCap does not accept payment of any form to circumvent the listing requirements or intentionally publish inaccurate information. We evaluate each request with the same level of control. In the future we can begin to accept payment to increase application priority, but money has never had influence on the final result of the evaluation.
Myth 2: CoinMarketCap involved in insider trading tokens before incorporating them to the listing on the website
Even if we had nefarious intentions, there is no way to make a profit, just knowing the exact time of the publication of information on our own website. Many new assets when they are first included in the listing, have low liquidity (low trading volumes). As is known to any experienced trader, it is very difficult to build a position in the markets with such low liquidity that would justify the risks, wasted time and resources. With regard to the inclusion in the listing of the new assets have a high liquidity and strong position, — the emergence of the CMC for them changes nothing.
Myth 3: the Number of coins in circulation just to calculate
It is important to note that among the users disagree about what it means to be in circulation. Some believe that the tokens controlled by the team / developer, there must be in circulation, the other that the circulation of the token starts from the moment of its “liberation”, others are inclined to think that in circulation can be considered tokens that are distributed among large investors, partners, etc. due to the complexity of calculations, information about the coin, specified in the documents, may disagree with the calculations published on the website.
We work closely with teams and developers to specify the number of coins in their blockchains. When possible, our developers will update information in real-time. This is done by tracking the addresses that we believe are not used and subtracting the balances of these addresses from the total supply. Collection and verification of this information takes a long time and this is why indicators of market capitalization is not placed on the website immediately. We believe that it is better to spend the time to maximally ensure the reliability of the data.
Myth 4: Employees intentionally neglect to CoinMarketCap update of information about the specific cryptocurrency and exchanges.
If you think that update information takes too much time, it is because we have not received concrete evidence from the developers of the coins/exchanges, to publish the requested changes. Developers often do not agree with our methodology and refuse to provide the requested information for verification. Our policy is to wait for clarification, and not to publish information we believe is inaccurate.
Sometimes even official announcements from teams and/or technical documents are not sufficient to meet our verification requirements: data may be outdated, and information about the amount of tokens in circulation — causing doubt. Given these reasons, and also a huge number of requests to update the information that we receive on a daily basis, the process of making changes to data on the website requires a longer time.
Myth 5: CoinMarketCap operated by one person
We have a dedicated team and office in each area of activity, as in any other business. We are still a small team based in new York, which is entirely absorbed by the daily operations of the site and sees no reason to publish a lot of information about who we are. Maybe that’ll change, but in any case we are not so much hidden, how much CoinMarketCap continue to develop to best serve our users and the entire cryptocurrency sector.
Myth 6: CoinMarketCap doesn’t care about the ecosystem of cryptocurrencies
This is the strangest statement of all spoken at one time. Since 2013, the mission CoinMarketCap was to provide the most accurate information about the cryptocurrency. We believe that our commitment to neutrality, anti-censorship and credibility of the reported information has played an important role in the success and popularity of the website. We will continue to move forward, remaining true to its values.
We pay close attention to the needs of our users and the community as a whole and work hard to meet those needs. Our plans include the development of a commercial API, mobile application, update the design and implementation of multiple functions that will enhance the quality of the use of CoinMarketCap.
What say you, friends? Convinced you representatives CoinMarketCap in his innocence and purity of intentions? If they managed to earn back your trust? Why — Yes, why not?