Concerns over irregularities in the reported volume of digital asset markets have taken the space by storm. The recently documented SEC report submitted by Bitwise and subsequent investigations by other research-based websites on the heels of the former, have only added fuel to the already controversial affair.
In an attempt to address concerns over inaccuracies in the reported volume by cryptocurrency exchanges globally, Ripple, the US-based blockchain tech firm, in a recently released post, introduced a new set of steps and a new approach to the second quarter of 2019.
According to the post, Ripple would be actively working with” trusted partners” to “understand the scope and scale of the problem.” It further detailed,
“We are evaluating our approach to XRP volume reporting, including reviewing new options and requirements for sourcing market data.”
In what it claimed to be a “conservative approach to XRP sales,” Ripple would substantially lower XRP sales in Q2 of this year, in the short-term. CoinMarketCap had previously set a target of 20bps for programmatic sales of XRP volume, which was likely to drop to less than 10bps in the current quarter. The long-term target was to “begin raising the bar industry-wide,” stated the team.
The move follows recent reports of cryptocurrency exchanges reporting fake volumes. The report further highlighted the need to address major concerns associated with the wider crypto-adoption of the space. The company stated,
“At Ripple, we believe in proactive transparency. We hope others in the crypto ecosystem will follow our lead, and ultimately, that our joint efforts will fuel a growing level of trust, among institutions and consumers alike, and the entire digital asset market will thrive. Until we do this, we cannot expect to see wide-spread adoption of digital assets or blockchain technology.”