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Bancor joins Binance & Bittrex in CoinMarketCap’s DATA; aims to enhance accountability, reporting standards

Akash Anand



Bancor joins Binance, Bittrex and others in CoinMarketCap's DATA, aims to enhance reporting standards
Source: Pixabay

The world of cryptocurrencies has gone through a lot of controversies recently, with the latest one involving exchanges allegedly fudging trading volumes and possibly, manipulating them. To combat this, CoinMarketCap had launched the Data Accountability and Transparency Alliance [DATA], aimed at enhancing accountability and increasing reporting standards across the blockchain industry.

The alliance has managed to get a lot of major crypto players on board, including Binance and Bittrex. The latest addition is Bancor, the popular decentralized liquidity network. DATA’s official release stated,

“The DATA seeks to promote greater transparency, accountability, and disclosure from projects in the crypto space. This initiative is underpinned by our belief that the provision of additional data points would i) empower our users to make more informed decisions and ii) provide a means for projects to differentiate themselves through enhanced disclosures.”

The conglomerate further plans to identify gaps in the reporting sector of the cryptoverse and propose strategies and measures to enhance data accountability and transparency. DATA comprises of 22 organizations now, which apart from the aforementioned companies, also includes popular exchanges like OKEx, Huobi, Bitfinex and Bithumb.

Some exchanges like Huobi and OKEx, who are part of DATA, were also called out by a recent Bitwise report for skirting the line between fake and real trading volumes on their respective platforms. Speaking about OKEx, the Bitwise report said,

“While there may be a smattering of real bitcoin volume on OKEx, the charts are clear: the vast majority of bitcoin volume here is entirely fake.”

For the analysis, Bitwise had considered transactions from 28 April to 5 May, where an irregular volume spike was noticed. According to Bitwise, the data betrayed none of the natural rhythms of a cryptocurrency exchanges.

The report did not fail to address Huobi either, with the statement reading,

“We also recognize that Huobi might have taken action to clean up wash trading on their platform within that time frame, but that view is challenged by the fact that Huobi’s reported bitcoin trade volume did not meaningfully drop during that time.”

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Bitcoin is an enterprise; its users are comparable to traditional shareholders, claims Goldmoney Founder




Bitcoin: Age old discussion about Bitcoin being a commodity or security brought to life; Could it be a security?
Source: Unsplash

Bitcoin was conceived in the backdrop of banks bailouts and the 2008 financial crisis. The recession and the loss of faith in banking, financial institutions gave Bitcoin a platform to rescue the ones affected, giving them hope for a better financial system without the hassle of corrupt institutions. With the rise of Bitcoin’s fame, both in the darknet and in the mainstream, questions about its regulations had to arise.

The question was put to rest when the SEC/CFTC ruled Bitcoin as a commodity and taxed it. However, Goldmoney’s Roy Sebag brought this discussion up again recently in his tweet thread, where he said that Bitcoin as an enterprise is working towards its good, comparing its users to traditional “shareholders” among other things, while concluding that Bitcoin is a security. He tweeted,

“Is Bitcoin a security? <10 years old so regulators haven’t even had enough time to truly learn how it works (think Napster or Kazaa in early days). Miners are clearly issuing coins and responsible for governance, an absence of formal relations among them is irrelevant….”

In successive tweets, Sebag attributed miners with the role of “stewarding” the so-called enterprise. In return, these miners get paid in “direct fees” or in “share appreciation.” In Bitcoin’s case, it is the mining reward, which is “BTC”. Similarly, buyers are compared to “shareholders” with a common interest in the enterprise, i.e. profit. Sebag added,

“Coins trade at exchanges. The common enterprise is designed for the price appreciation of coin.”

Bitcoin could face a shutdown by the government, just like it did with big players in file sharing, said Sebag, who added that Bitcoin could also be interpreted as a security under the “34 act of the SEC.” The Goldmoney Founder concluded that “this realization rests on the belief that neither Bitcoin nor any common enterprise is truly decentralized.”

However, his inputs weren’t very well-received by many in the crypto-community. Casa’s CTO Jameson Lopp refuted Roy Sebag’s ideas, tweeting,

“Roy will believe what he wants to believe, though if he’s not actually participating in Bitcoin then his beliefs are irrelevant to its consensus formation.”

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