A cryptocurrency analyst reckons: Cryptocurrency exchanges faking trading volumes

A cryptocurrency analyst has come out to dispute the trading volumes reported by cryptocurrency exchange platforms. The analyst reckons that close to 20%, in other words, $3 billion trading volumes are nothing but fake publicity. Some cryptocurrency exchanges are in fact selling to themselves to inflated the volumes.

The analyst, Sylvain Ribes through an article said that a Chinese exchange platform OKex has been faking almost 90% of its trading volume. “A bit of wash trading and artificial volume inflation is to be expected in a thoroughly unregulated market,” said Ribe.

In his research, he found out that the trend is widespread among the exchanges from China. Some small exchanges even reporting higher trading volumes compared to bigger exchanges like Bitfinex. He added, "But it's the day and night cycle in China! I do not believe it speaks highly of OKex engineers that they actually reflected upon ways to make wash trading less conspicuous than a straight constant stream of trades, but all they could come up with was a perfect sine wave,"