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 <p class="is-style-lead">Solidus Labs research finds $2 billion in deceptive wash trading activities across Ethereum-based decentralized exchanges.&nbsp;</p> 
 <p>Newly released data from Solidus Labs, a crypto trade surveillance and risk monitoring platform, indicates that a staggering $2 billion worth of crypto assets has been wash-traded on Ethereum-based decentralized exchanges (DEXs) since 2020.</p> 
 <p>The report casts a spotlight on the pervasive but preventable issue of market manipulation in the world of decentralized finance (defi).</p> 
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    <p lang="en" dir="ltr"> Major Update! Unveiling Part Two of our Crypto Market Manipulation Report! Our data <a rel="noopener noreferrer nofollow" title="shows" href="https://thebittimes.com/tag/shows.html">shows</a> a shocking $2 billion #wash<a rel="noopener noreferrer nofollow" title="trade" href="https://thebittimes.com/tag/trade.html">trade</a>s on DEXs since Sept 2020. That's affecting over 20,000 tokens! ️<br><br> Full details here in our <a rel="noopener noreferrer nofollow" title="report" href="https://thebittimes.com/tag/report.html">report</a>: https://t.co/pcRvMBGfb0</p>— Solidus Labs (@Solidus_Labs) September 12, 2023 
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 <h2 class="wp-block-heading" id="tracing-the-pattern-wash-trades-and-manipulated-crypto-pools">Tracing the pattern: Wash trades and manipulated crypto pools</h2> 
 <p>Wash trade is a malicious tactic where traders place both buy and sell orders with themselves to artificially influence the market. Of roughly 30,000 DEX liquidity pools studied, Solidus Labs identified a striking 67% where wash trading had been conducted. In these manipulated pools, wash trading comprised 16% of the total trade volume.&nbsp;</p> 
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 <p>The <a rel="noopener noreferrer nofollow" title="report" href="https://thebittimes.com/tag/report.html">report</a> also <a rel="noopener noreferrer nofollow" title="shows" href="https://thebittimes.com/tag/shows.html">shows</a> how wash trading was used by scammers to lure investors into rug pull projects.</p> 
 <p>One particularly glaring example involved a meme token dubbed “SHIBAFARM.” The token was launched in mid-2021 when the meme coin hype was off the charts. As Shiba Inu (SHIB) and Dogecoin (DOGE) were also soaring at that time, the project used FOMO to attract investors.&nbsp;</p> 
 <p>Solidus Labs found that a network of related wallets artificially inflated the token’s value, luring unsuspecting investors before suddenly pulling the plug, netting a profit of over $2 million.</p> 
 <p>The findings of the report are especially concerning given the growing prominence of defi, which often operates in less regulated spaces than traditional financial markets.&nbsp;</p> 
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/2b-of-crypto-assets-wash-traded-on-decentralized-exchanges-report-shows-tbt62496.html">https://thebittimes.com/2b-of-crypto-assets-wash-traded-on-decentralized-exchanges-report-shows-tbt62496.html</a></p>

$2b of crypto assets wash traded on decentralized exchanges, report shows

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