CoinMarketCap Completes First Phase Of Transparency Project With Support From 70% Of Exchanges
Sometime last month during its sixth anniversary, CoinMarketCap announced that it would be starting Data Accountability and Transparency Alliance (DATA), a new initiative designed to encourage and ensure transparency and a high level of responsibility in the cryptocurrency sector. The eventual goal for this is to make the space more welcoming and safe for customers so that they can make very educated choices.
The initiative began with a request to all cryptocurrency exchanges for the submission of some related data. Part of this submission includes live trading data and order book data that will help CoinMarketCap properly do it's rankings accordingly.
According to Carylyne Chan, CoinMarketCap’s global head of marketing:
“The new and detailed criteria for listings will provide clear and concrete guidelines for everyone looking to be listed on CoinMarketCap. We want to be as exhaustive as possible, eventually listing every qualifying project and exchange on CoinMarketCap.”
At the time, a deadline for the 14th of June, 2019 was set and now, CoinMarketCap has just announced the completion of its DATA Phase 1.
Phase 1 Completion
According to an official announcement from CoinMarketCap, more than 70% of all the cryptocurrency exchanges it presently lists, have successfully submitted all the required data and will continue being listed on the site for all calculations across board.
Speaking on the success of the first phase, Chan further expressed enthusiasm based on the responses and support gotten from exchanges, so far.
“We are highly encouraged after seeing strong support for our DATA initiative so far. With these submitted data points, we aim to provide more meaningful analyses and metrics for our users and empower them with information to do their own research even more effectively.”
“Non-Compliant” Cryptocurrency Exchanges
The rest of the exchanges, about 30% of them, are now being encouraged to submit the required data to help the rankings. Until they do that, the compliant firms will be giving priority and their rankings will always be listed above the others, until further notice. The announcement states that this ranking order
“applies to both the exchange ranking pages, as well as the markets tab for individual cryptocurrencies, where exchanges are listed by their contributing volume to that cryptocurrency.”
As soon as these submissions are made, they will be
“re-included in the price and volume calculations on a rolling basis.”
CoinMarketCap is also set to begin an “Untracked Listing” where it will show cryptocurrency projects which are yet to meet all of the company’s minimum requirements for “Tracked Listing”. A move out of the Untracked Listing will always be possible as long as the projects “exhibit strengths in a number of areas in the revised evaluation framework.”
Previously, Untracked Listings were not supported as any projects or exchanges who could not meet the proper requirements were not listed at all.
Furthermore, CoinMarketCap has also published it's policy to guide exchanges against being delisted. Some of the “offences” that could result in a de-listing include “suspicious trading activity”, deliberate deception, “low liquidity” and complete termination of business.
CoinMarketCap is also in preparation for the very first DATA roundtable with all of its partners. The meeting is scheduled to take place sometime in July and will discuss a few pressing issues including standardization of definitions, tickers and data disclosures via API. The announcement also says that while the company is still deliberating on a comfortable date for every partner to attend, they are looking forward to adding more topics of discussion.