Ethereum

Banana

<div class="watcher-guru"><p>Price manipulation via <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/wash-trading.html">wash trading</a> is a common strategy that entities use to earn profits. Usually, entities buy and sell the same asset simultaneously to create a false impression of market activity. Nevertheless, the trade reflected no change in actual ownership.&nbsp;Liquidity is fragmented in <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/crypto.html">crypto</a>, and as a result, smaller markets are easier to manipulate via large orders. Solidus Labs recently revealed that the price of billions of dollars worth of <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/crypto.html">crypto</a> has been manipulated over the past three years. As far as specific numbers are concerned, the report revealed,</p><p>“<strong>Since September 2020, liquidity providers (LPs) on Ethereum-based decentralized exchanges (DEXs) have wash-traded at least $2 billion worth of <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/crypto.html">crypto</a>currency, manipulating the prices and volumes of more than 20,000 tokens</strong>.”</p><figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper"><blockquote class="twitter-tweet"><p>📢 Major Update! Unveiling Part Two of our Crypto Market Manipulation Report! 🚨 Our data shows a shocking $2 billion #washtrades on DEXs since Sept 2020. That's affecting over 20,000 tokens! 📊⚠️<br><br>👉 Full details here in our report: https://t.co/pcRvMBGfb0</p><div class="quads-location quads-ad33739 " id="quads-ad33739" style="float:none;margin:0px 3px 3px 3px;padding:0px 0px 0px 0px;"><div class="publift-ad add"><div></div></div></div> — Solidus Labs (@Solidus_Labs) September 12, 2023 </blockquote></div></figure><p><strong>Also Read: Banana Gun’s&nbsp;Crypto Crashes by 99.7%: ChatGPT Finds Contract Bug</strong></p><h2 class="wp-block-heading" id="h-wash-trading-must-be-prevented-for-markets-to-thrive">Wash Trading Must be Prevented for Markets to Thrive</h2><p>A report by the National Bureau of Economic Research [NBER] in 2022 revealed that 70% of unregulated exchange transactions are <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/wash-trading.html">wash trading</a>. In fact, even in the NFT market, <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/wash-trading.html">wash trading</a> is a common occurrence. Over the past month, the Ethereum blockchain has settled $216 million via NFT sales. However, data from CryptoSlam revealed that $125.9 million was wash traded. On Solana, the proportion was comparatively low, while on Polygon, the <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/wash-trading.html">wash trading</a> figure was significantly high.</p><figure class="wp-block-image size-large"><img width="1024" height="372" src="https://cdn.thebittimes.com/images/2023/09/13/f86fb45d7621693b1a3b99f3085dd0f8.webp" alt="" class="wp-image-111613"><figcaption class="wp-element-caption"> Source: CryptoSlam </figcaption></figure><div class="quads-location quads-ad15192 " id="quads-ad15192" style="float:none;margin:0px 3px 3px 3px;padding:0px 0px 0px 0px;"><div id="primisContainer" class="add"></div></div><p><strong>Also Read: This is Bitcoin’s Strongest Recovery Excl. ‘ETF-Rally’ Since July 13</strong></p><p>Arguably, fair markets are crucial for sustainable growth. Nevertheless, there seems to be a lack of clarity on certain conditions. The report pointed out that there are still question marks regarding who is responsible for <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/wash-trading.html">wash trading</a> prevention and detection. Even so, DEX-based <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/tag/wash-trading.html">wash trading</a> is detectable, and, in many cases even preventable. Solidus’ report asserted,</p><p>“<strong>Wash trading may be a new problem for DEXs, but, much like&nbsp;insider trading, it’s one with a proven solution.</strong>“</p><p><strong>Also Read: Binance: SEC’s Requests Are ‘Burdensome’</strong></p><div class="quads-location quads-ad33742 " id="quads-ad33742" style="float:none;margin:0px 3px 3px 3px;padding:0px 0px 0px 0px;"><div class="publift-ad add"><div></div></div></div></div><div class="cs-entry__tags"><ul><li>crypto</li><li>nft</li><li>wash trading</li></ul></div><p>Source: <a rel="noopener noreferrer nofollow" href="https://thebittimes.com/over-20-000-crypto-tokens-have-faced-wash-trading-since-2020-tbt62514.html">https://thebittimes.com/over-20-000-crypto-tokens-have-faced-wash-trading-since-2020-tbt62514.html</a></p>

Over 20,000 Crypto Tokens Have Faced Wash Trading Since 2020

Table of Contents

TheBitTimes

Other articles published on Sep 13, 2023

Animoca CEO Says Company Doing Just Fine Despite $110M Debt

Bitcoin bounce on potentially good inflation data?

VeChain, Toncoin, Compound, Maker prices rise as US CPI spikes

Tencent Cloud Launches Blockchain RPC with Ankr for Web3

Bitcoin Bullish Divergence Confirmed-Bearish September Could Knock-Over to Trigger An Uptober!

Here's Major Reason Why Bitcoin (BTC) Surged to $26,500 and Then Fell Back

Join our free newsletter for daily crypto updates!