CoinMarketCap implemented the first phase of its Data Accountability and Transparency Alliance [DATA] in June. Consequentially, it had asked exchanges to submit mandatory data and indices, including live trading and order book data, to it within 45 days. However, some exchanges failed to comply with the instruction and the impact of it was noted by various projects on its platform.
StrongHands [SHND] claims to be the first crypto to introduce a combined proof-of-stake/proof-of-work minting system. On July 4, SHND asked CoinMarketCap to communicate with CoinExchange, an exchange that failed to comply with CoinMarketCap’s DATA announcement because of which, SHND users were suffering. SHND tweeted,
“Dear @CoinMarketCap and @coinexchange_io Please work together to get the verifications done. This process is being painful not for us but for all other coins listed! This lack of communication is creating big problems to holders and supporters!”
CoinMarketCap confirmed this discrepancy and responded,
“This is a consequence of the implementation of Phase 1 of our DATA initiative (https://blog.coinmarketcap.com/2019/06/17/data-phase-1-complete-new-listing-methodology/ …). Exchanges that did not comply will be excluded from volume-weighted average price and adjusted volume on CMC. They can reinstated once they submit the required API updates.”
The project is available only on a handful of exchanges and could not report the accurate value of its crypto due to the exchange failing to report data. Placed on the 922nd position on CoinMarketCap, SHND was falling by 22.49% over day and by 35.01% over the past seven days.
However, more had similar issues. A Twitter user, @xxt4x7, asked CoinMarketCap to rectify Nash Exchange’s data regarding circulating supply and total supply, regarding which CoinMarketCap was previously informed. However, no action had been taken.
The platform informed the user that it had asked for an API endpoint that displays the total supply value on the block explorer in real time as NEX value. Alas, they did not receive the said data.
CoinMarketCap’s Data accountability and Transparency Alliance [DATA] has claimed its first victim, but at least the platform is taking steps to legitimize the trading volume and data provided by other exchanges. This development is encouraging for the cryptoverse.