CoinMarketCap To Implement Better Crypto Ranking System ByAli RazaPRO INVESTOR Updated: 01 September 2019 The crypto industry is continuously looking for ways to reduce the obscurity around cryptocurrencies and their trade. Crypto trading heavily relies on how the cryptocurrencies are ranked and ensuring that these rankings are accurate is vital to the future of the industry. Market manipulation Due to the obscurity around crypto-assets and their volatility, it is easy to manipulate the markets and value of each cryptocurrency. One common method used to manipulate crypto markets is wash trading, which involves one person trading against themselves. These trades create the false impression of high trade volumes on the given platform, and it can increase the price of the crypto asset being used. False trade volumes and their subsequent effect on the price of cryptocurrency affect the credibility of the industry as a whole. Investors end up being skeptical about placing their money in cryptocurrency because there is no certainty that the numbers before them are a true reflection of how the market is performing. Creating a transparent ranking system CoinMarketCap is one of the most trusted crypto ranking platforms, and the firm says that they are working towards creating a better ranking system for cryptocurrencies. The new metrics being developed by CoinMarketCap are due to be launched mid-November. The company has introduced a new feature that will not rank any cryptocurrency that does not meet any of the conditions set out in section 10 of CoinMarketCap’s methodology. The company lists the top 200 cryptocurrencies in the world and helps investors make the right decisions on the market. CoinMarketCap says that for a digital asset to make the top 200, it has to have significant liquidity or trading activity on three or more centralized crypto exchanges. The exchanges on which the cryptocurrency is being traded should meet all reliability conditions set by the company or should be a DATA partner. Even if a cryptocurrency has a large market cap, it has to meet these requirements before CoinMarketCap can rank it. The solution proposed by CoinMarketCap will use a dynamic system which focuses on the liquidity of the different crypto assets instead of their trading volume, which can be manipulated. It will also help to include all cryptocurrencies in the ranking systems despite how large their market cap is. The creation of a more transparent ranking will help increase the credibility and transparency of online crypto trading across the board, and more investors may take an interest in this asset class.