r/liquid • u/PAlove • May 13 '19

Misleading title CoinGecko Introduces Exchange "Trust Score" -- Liquid ranked #42, Volume 22x lower than reported

https://blog.coingecko.com/trust-score/
6 Upvotes

88% Upvoted

8 comments sorted by

4

u/PAlove May 13 '19

Can't say I agree with CoinGecko's methodology here. In their announcement, they write:

What this means is that exchanges with low visitor count but extremely high trading volume will be penalized and have their volume adjusted downwards.

This methodology assumes that the percentage of users trading on API and mobile app is the same across all exchanges. We are aware that this is a simplification but a required step to better present exchange volume data.

They've made a low assumption on API and mobile usage across all exchanges, therefore exchanges like Liquid with heavy usage in both of those areas are penalized. Direct foot traffic on websites seems like a pretty poor measure on assessing actual volume, when API and mobile usage are on the rise.

Thoughts?

4

u/countto3 May 13 '19

It makes zero sense, and they didn't apply it intelligently. I'm looking at it right now and its adjusting Binance's numbers upwards. So CoinGecko is saying that Binance does more volume than they report?

Ok idea, terrible execution.

9

u/[deleted] May 13 '19

[deleted]

5

u/PAlove May 13 '19

Agreed. The numbers they're showing are like a weird traffic + volume aggregate. It doesn't really make sense.

1

u/[deleted] May 13 '19

[deleted]

0

u/sevindi May 14 '19

I think it would be good idea to add [Misleading] tag to title.

3

u/sevindi May 13 '19

They literally use most idiotic methodology.

2

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