CryptoMediaClub
Thursday, July 3, 2025
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis
No Result
View All Result
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis
No Result
View All Result
CryptoMediaClub
No Result
View All Result
Home Blockchain

Over 20,000 Crypto Tokens Manipulated in Decentralized Exchange Wash Trading

13.09.2023
A A
0
122
VIEWS
ShareShare

A recent analysis by market monitoring business Solidus Labs shed light on the prevalence of wash trading in the crypto industry, finding that over 20,000 crypto tokens had been manipulated through decentralized exchange (DEX) wash trading in the last three years.

On September 12, Solidus Labs published their 2023 Crypto Market Manipulation Report, which included some alarming data. A sample of 30,000 Ethereum-based DEX liquidity pools was examined, and it was discovered that roughly 70% of them have carried out wash trades since September 2020, totaling about $2 billion in cryptocurrencies.

Wash trading is a dishonest form of market manipulation where a party simultaneously buys and sells the same item to give the impression that the market is active and liquid. While wash trading does exist in traditional finance, the paper emphasizes that cryptocurrency markets are particularly susceptible to it since their liquidity is split across numerous centralized and decentralized exchanges, creating smaller, more easily manipulated markets.

The ongoing regulatory discussion regarding who is responsible for identifying and blocking on-chain wash trade represents one of the main obstacles to solving this problem. Decentralized finance (DeFi), which has no geographical boundaries, further confuses things and makes it unclear who should be responsible for monitoring.

Asaf Meir, the founder, and CEO of Solidus Labs, emphasized the need to prevent market manipulation in the cryptocurrency sector, particularly in light of increased regulatory scrutiny and expanding institutional usage. “The wash trading activity we have unearthed here is a clear sign of market manipulation,” he said, “and it must be prevented for crypto and DeFi to flourish.”

The paper also identifies a variety of actors involved in wash trading, including token deployers looking for rapid profits, speculators trying to take advantage of future token airdrops, exchange, and marketplace operators boosting trade volumes to draw in users and investors, and token airdrop exploiters.

According to a 2022 study by the National Bureau of Economic Research, wash trades accounted for more than 70% of unregulated exchange volumes in the cryptocurrency sector. On data and analytics websites like CoinMarketCap and CoinGecko, these dishonest practices frequently inflate exchange rankings, and they may also have a momentary impact on the pricing of cryptocurrencies on these exchanges.

The frequency of wash trading emphasizes the necessity for ongoing watchfulness, regulatory frameworks, and market surveillance to guarantee the honesty and transparency of the cryptocurrency market, particularly as it develops and matures.

The post Over 20,000 Crypto Tokens Manipulated in Decentralized Exchange Wash Trading appeared first on BitcoinWorld.

Share9Tweet6ShareSharePin2

Related Posts

Kazakhstan Crypto Reserve: Unlocking a Bold Future for National Digital Assets
Blockchain

Kazakhstan Crypto Reserve: Unlocking a Bold Future for National Digital Assets

30.06.2025
0

Skip to content

Read moreDetails
Web3 Security: GoPlus Unveils Crucial Clarification on Venus Protocol $2M Theft

Web3 Security: GoPlus Unveils Crucial Clarification on Venus Protocol $2M Theft

25.06.2025
TRON Upgrade: Exciting v4.8.0 Proposal Promises Enhanced TRX Blockchain

TRON Upgrade: Exciting v4.8.0 Proposal Promises Enhanced TRX Blockchain

20.06.2025
Tether CEO Demands Ditching Cloud After Gigantic 16 Billion Password Data Breach

Tether CEO Demands Ditching Cloud After Gigantic 16 Billion Password Data Breach

20.06.2025
Major Leap: Upbit’s Banking Partner Joins Forces for South Korea Blockchain Advancement and Stablecoin Study

Major Leap: Upbit’s Banking Partner Joins Forces for South Korea Blockchain Advancement and Stablecoin Study

13.06.2025
Load More
Next Post
Only 16.3% of Short-Term Bitcoin Holders in Profit Amid Recent Volatility

Only 16.3% of Short-Term Bitcoin Holders in Profit Amid Recent Volatility

0 0 votes
Рейтинг статьи
Subscribe
Notify of
guest
guest
0 комментариев
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

Recommended

SBF trial underway, Mashinsky trial set, Binance’s market share shrinks: Hodler’s Digest, Oct. 1-7

SBF trial underway, Mashinsky trial set, Binance’s market share shrinks: Hodler’s Digest, Oct. 1-7

2 years ago
SOFTSWISS Consolidates iGaming Community and Develops Actively

SOFTSWISS Consolidates iGaming Community and Develops Actively

1 year ago
CZ Places Crypto Wallets Forward of Exchanges as Greatest Pockets Rakes in $10.3M in Presale

CZ Places Crypto Wallets Forward of Exchanges as Greatest Pockets Rakes in $10.3M in Presale

4 months ago
Gemini invests $24M for expansion in India

Gemini invests $24M for expansion in India

2 years ago

Categories

  • All news
  • Altcoins
  • Analysis
  • Bitcoin
  • Blockchain
  • Ethereum
  • NFT
No Result
View All Result

Highlights

Solana dominates real value rankings, DEX volume during H1

Binance Pay Lights Up French Riviera: 80+ Merchants Now Take Stablecoins Instantly

Bithumb Launches Spinoff as Part of IPO Bid as More Banks Join Stablecoin Union

StanChart predicts Bitcoin’s new cycle may defy past patterns with ETF and policy tailwinds

Trump Family Rakes In $620M+ From Crypto: Meme coin Windfall, Token Sales, and a 20% Bitcoin Stake

What If Bitcoin Hits $200K? AI Projects Dominance Spikes and Altcoin Frenzy

Trending

Scammers Steal $250K in Crypto Posing as Trump-Vance Inaugural Committee
All news

Scammers Steal $250K in Crypto Posing as Trump-Vance Inaugural Committee

03.07.2025
0

Nigeria-based one or more scammers allegedly impersonated the Trump-Vance Inaugural Committee, stealing $250,300 in Ethereum-based USDT from...

First US Solana Staking ETF Sees $12M Inflows on Debut With $33M Volume

First US Solana Staking ETF Sees $12M Inflows on Debut With $33M Volume

03.07.2025
OpenAI Disavows Robinhood’s Tokenized Shares, Elon Musk Chimes In – What’s Going On?

OpenAI Disavows Robinhood’s Tokenized Shares, Elon Musk Chimes In – What’s Going On?

03.07.2025
Solana dominates real value rankings, DEX volume during H1

Solana dominates real value rankings, DEX volume during H1

03.07.2025
Binance Pay Lights Up French Riviera: 80+ Merchants Now Take Stablecoins Instantly

Binance Pay Lights Up French Riviera: 80+ Merchants Now Take Stablecoins Instantly

03.07.2025
  • All news
  • Altcoins
  • Bitcoin
  • Blockchain
  • Ethereum
  • NFT
  • Analysis
Editor: cryptomediaclub.com@gmail.com
Advertising: digestmediaholding@gmail.com

Disclaimer: Information found on CryptoMediaClub is those of writers quoted. It does not represent the opinions of CryptoMediaClub on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoMediaClub covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.

© 2023 Crypto News. All Rights Reserved

No Result
View All Result
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis

Disclaimer: Information found on CryptoMediaClub is those of writers quoted. It does not represent the opinions of CryptoMediaClub on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoMediaClub covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.

© 2023 Crypto News. All Rights Reserved

wpDiscuz