Crypto Exchange Ranking Methods Still Contested as CMC Takes More Heat For reasons of vanity as well as for those of industry health, it’s important to have a good method for ranking crypto exchanges and coins. But as the past few years have shown, no foolproof method has yet been developed. CoinMarketCap has enjoyed the de facto status of being the leading ranking platform, but according to some, a string of controversies has shaken faith in its ability to provide neutral results.To get more news about crypto exchange ranking, you can visit wikifx.com official website. CMC’s first flirtation with scandal happened when Bitwise published a report suggesting 95% of the volume reported on the website was fake. The revelation rocked the sector, as many business leaders, investors and commentators alike saw the data as evidence of adoption and a growing number of use cases. CMC has been in the spotlight almost continuously since April of this year when the data provider was purchased by Binance for an unspecified amount rumored to be in the hundreds of millions. Almost immediately after the takeover, CMC changed its ranking system, and its new owner shot to the top spot. The action drew fierce criticism from competing exchanges as well as from industry leaders. CMC changes again Binance and CMC both claim that they function as independent entities following the takeover. But in a now-infamous tweet, Binance CEO Changpeng Zhao appeared to imply that he had managerial control over CMC when weighing in on the Twitter debate about its ranking of exchanges by web traffic. With some questioning the extent to which the two companies are actually independent of each other, CMC has been continually fine-tuning its ranking methodology. Perhaps alluding to shaken trust in its own services over the past few months, CMC’s interim CEO, Carylyne Chan, explained the platform’s new “confidence score.” Chan told Cointelegraph that the idea behind the new confidence indicator is to not rely on volume as the sole data source, rather using a range of factors to ascertain data accuracy from each exchange: CMC then uses the estimated volumes to detect “outliers,” where its machine learning model can spot which exchanges are reporting exponential volumes relative to its predictions. Under the new algorithm, the top exchange is awarded a score of 1,000 points. Other exchanges are then given scores against the performance of the top exchange. While this may be a big change from the previous system that reportedly relied heavily on web traffic figures, there hasn’t been a major reshuffle at the top of the rankings: Binance is still in first place. Chan said that the company’s decision to implement the changes was not influenced by its new owner: While the confidence factor could be viewed as an improvement, it has not been met with universal acclaim. One Twitter user going by the name of Cosmonaut criticized CMC for placing BitMEX, a popular derivatives exchange, in 175th place. Deribit and Bybit, two other well-known derivatives platforms, were ranked closely at 179 and 177, respectively, at the time of reporting. Puzzlingly, BitMEX was found to have a near-perfect web traffic score of 960 but a liquidity score of zero. In fact, 175th place appears to be a cliff-edge for exchanges that find themself at the precarious end of CMC’s rankings, as after this all exchanges have liquidity scores of zero. A CMC representative offered an explanation that the ranking only takes spot exchanges into account, with the derivatives platforms soon to be included. But this does not account for another of Cosmonaut’s hawkish observations. The Twitter user pointed out that several exchanges in the top 50, such as CoinDXC and Huobi Russia, also have liquidity scores of zero.