Messari rolls out "Real 10" volume metrics after study reveals 95% of bitcoin trading volumes are fake
Messari, the crypto information and data services firm, is taking a step today to help users get a better sense of trading activity on the myriad crypto exchanges, days after California cryptocurrency index and beta fund provider Bitwise released a study showing most volumes in the market are fake.
The firm is rolling out so-called "Real 10 Volume" metrics, which will only factor in data from exchanges that accurately report volumes. The information will be available alongside price, market capitalization, and reported volumes on Messari's OnChainFx dashboard.
"In the months ahead, we will work with additional exchanges to add their clean order book data to our feeds and onboard them to Messari's new exchange registry," Messari said in its newsletter.
Bitwise recently submitted a report in which it collected and analyzed Bitcoin trading data over four days in March across 81 cryptocurrency exchanges. The firm concluded that 95% of reported trading volume across these exchanges were questionable, including "patterns that indicated the trading on them appears manufactured."
The firm noted that only a few exchanges — including Kraken, Binance, and Coinbase — reported accurate volumes data. Messari's "Real 10 Volume" metric will only include those exchanges. "“Real 10 Volume” it is a vastly superior metric than current reported volumes, which are likely overstated by 20-50 times," Messari said.
Messari CEO Ryan Selkis said the lack of reliable data in crypto is one thing keeping large investors out of the market.
"This industry is still a joke to most investors and this is why."
"The Bitwise report was the research report of the year — maybe the entire bear cycle."
As for the registry, it's not clear what exactly Selkis and co. have in store, nor is it clear if any exchange would be interested in surrendering their precious data. The development, which is in its earliest stages, would follow the launch of Messari's token registry, which offers key information on a number of token projects.
