The Strategist

BanklessTimes: 51% of Bitcoin trading in 2022 was bogus

10/07/2022 - 10:07

In 2022, fake transactions accounted for 51% of daily bitcoin trading, reports the BanklessTimes website.

© 2018 Advantus Media, Inc. and
© 2018 Advantus Media, Inc. and
"It's difficult to discuss cryptocurrencies without mentioning Bitcoin. However, there are worries that a sizable amount of the everyday volume of bitcoin trade is fake. This throws into doubt the reliability of data and the authenticity of exchanges," says Jonathan Merry, CEO of BanklessTimes.

Such fraudulent transactions frequently involve a strategy in which assets are concurrently acquired and sold on the same platform, often by bots.

Analysts at BanklessTimes claim that this is done to artificially exaggerate trade volume, either to draw more users to exchanges or to give the impression that a specific cryptocurrency is more well-liked. Additionally, stablecoin transactions are frequently linked to fraudulent trade. For instance, Tether is often used to purchase and trade Bitcoins while maintaining ownership.