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A Crypto Website Changes Its Data, and $100 Billion in Market Value Vanishes (wsj.com)
Paul Vigna, writing for WSJ: Prices for some of the most popular cryptocurrencies dropped sharply Monday. One apparent reason: an adjustment from a popular website on its digital-currency price quotes (Editor's note: the link may be paywalled; alternative source). A website called coinmarketcap.com on Monday removed data from some South Korean exchanges from its price quotes for a range of virtual currencies including bitcoin, Ethereum and Ripple's XRP. The move followed a South Korean government crackdown on cryptocurrencies. The move by coinmarketcap caused some amount of chaos when prices across the board suddenly plunged. In mid-Monday trading, XRP had fallen 26% over the past 24 hours, Bitcoin Cash was down 18%, and litecoin was down 12%. Of the top 40 cryptocurrencies, 31 were down, including bitcoin and Ethereum. [...]
Coinmarketcap has become one of the most popular destinations for price quotes as the sector surged last year. According to Amazon's web-ranking service, coinmarketcap is currently the 154th most popular website in the world, in the same ballpark as Chinese retail giant Alibaba.com. The website's rejiggered prices led to a flip in market-value rankings on the site. Ethereum, with a $109 billion total market valuation, moved into second place, the spot previously occupied by XRP, which fell to third place with a $97 billion market value. Bitcoin remained number one, with a $255 billion market value.
Coinmarketcap has become one of the most popular destinations for price quotes as the sector surged last year. According to Amazon's web-ranking service, coinmarketcap is currently the 154th most popular website in the world, in the same ballpark as Chinese retail giant Alibaba.com. The website's rejiggered prices led to a flip in market-value rankings on the site. Ethereum, with a $109 billion total market valuation, moved into second place, the spot previously occupied by XRP, which fell to third place with a $97 billion market value. Bitcoin remained number one, with a $255 billion market value.
Fortunately my investment in Flooz hasn't lost any value due to this issue.
It is an auction, a shuk, a market. If there is less bitcoin value in the market the finite wealth of humankind will be bid against all other goods, services, investments, arms, scams, precious metals, and currencies.
The value is not lost, it is just redirected.
An nothing of real value was lost. At least if a 100B in monopoly money went up in flames it would keep your warm for a bit.
I read at +2. If your post doesn't reach that level I will not see or respond to it.
... on something with no intrinsic value. bubble time.
if this is supposed to be a new economy, how come they still want my old fashioned money?
All financial markets are a zero sum game. Every dollar you make comes out of someone else's pocket - less commissions and fess and every dollar you lose goes into the pocket of someone else.
Keep in mind that I am talking about the markets themselves and not IPOs or anything else.
All I know is that you can trust Dogecoin to hold its value of 1 Doge = 1 Doge.
#DeleteFacebook
LED or floralescent?
rewriting history since 2109
It has nothing to do with the nth crackdown. Prices have been significantly higher in South Korea compared to the rest of the world for many coins, if you take the South Korean Won (KRW) trading pair and then convert that price to its US Dollar (or Euro, or whatever) equivalent. However you should see the crypto/KRW exchange rates as a closed system, as it is not an easily traded coin internationally, which make arbitrage (almost) impossible.
It is correct for CoinMarketCap to filter out the crypto/KRW pairs to arrive at an average price, as you were never actually able to trade your coins for the KRW listed (unless you're Korean, of course), and they had a very significant effect on the price if many coins.
Of course, real traders care only about the specific prices of the exchanges they can actually exchange at.
but the technology is still useful. Which currency will dominate?
One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
fu
Who knew
BitcoinAverage, CryptoCompare, and Coinhills all seemed to automatically detect Bithumb's prices as outliers and removed them from their averages. Against these other indices, CoinMarketCap's prices were artificially inflated and they've now re-normalised. My own trading scripts do not trust a single rate data source, detected something was strange with CoinMarketCap, and gave me no problems.
Also, I'd take the market cap figures and rankings with a pinch of salt. Some coins don't have their supplies listed (e.g. Super Bitcoin which is ranked #1107 but would be ranked #30). Some have far higher total supplies than "circulating" supplies (e.g. SolarCoin which is ranked #248 but would be ranked #3 by total supply). Coins have different issuance models and wildly different inflation rates (Compare Bitcoin with Zcash which both produce coins according to an exponential decay with a total supply upper-bound of 21 million coins, but because Bitcoin started 8 years earlier, Bitcoin's current supply is 16.8 million where Zcash's is only 3 million).
TL;DR, if you're buying or selling based mainly on the numbers on coinmarketcap.com then you'll eventually burn yourself.
Tulip bulbs couldn't be used as a proof of existence or even a message board.
Dumping messages into OP_RETURN is really fascinating since it's as immutable as you can get.
As a currency, eh. But there aren't many places where you can write a message and have it backed by several billion dollars of continuing to exist in the future.
What does it have to do with Crypto?
Lol
netcraft confirms... news at 11
On Slashdot.
Get out the soap bars and pillowcases, everyone who let this happen gets a blanket party.
"When information is power, privacy is freedom" - Jah-Wren Ryel
If you want to get in on the cryptocurrency mining scene, you need a good motherboard that allows for multiple GPUs: ASRock H110 Pro BTC+, ASUS B250, Biostar TB350-BTC, and GIGABYTE GA-H110-D3A.
Cryptocurrency valuations are criticized for the simple math of point price times total supply. What about more traditional commodities such as gold or crude oil? Surely the price of gold will plummet if someone starts selling huge amounts?
As a friend pointed out recently, the simple math for market caps makes sense assuming it's the same for everything. It's a tool for comparing things against each other, not a measure of absolute worth. Most of the "money" in the world is locked up outside active circulation and doesn't represent any tangible worth, and cryptocurrencies are just a tiny portion of it all.
Slightly OT, my two standard replies to any /. cryptocurrency story:
Escher was the first MC and Giger invented the HR department.
Olympics are expensive, y'all.
-- Tigger warning: This post may contain tiggers! --
Indeed.
In Jan 2016, dogecoin was valued at 15 million.
In Jan 2017, dogecoin was valued at 24 milion.
Now, it's valued at 1.7 billion
quite impressive. It really shows off the fundamental strengths of a bubble economy.
Smells funny to me, only happened after futures trading was approved.
Just a Literal correction. These kinds of things happen all the time with large markets.
unless government regulated.
That is the future the east and soon the west will be enforcing. Most people will thing it is to stop criminals, when it is really to ensure they get all of their taxes and that people cannot freely move to other jurisdictions with their assets in place, unless they are so allowed by the powers that be.
The push for a cashless society is another way to enforce this, and we are soon going to see exactly that. Combined with electric cars people will on average travel less, and when they do it will be via mass forms of transit, bus, train, airplane, boat. All of which create chokepokes of surveillance, much easier to process and support than trying to track every car on the roads.
Coinmarketcap should have announced this change before execution. Not notifying users was irresponsible and has damaged their reputation as a reliable data provider.
Sure they could. Throw a turnip at someone. It proves you exist. Write a message on the turnip bulb before you throw it. Now you have a message board. Still more useful than bitcoin.
I still have more fans than freaks. WTF is wrong with you people?
Messages that anyone put there in 2014 are still there today and still exist in every Bitcoin, Bitcoin Cash and other fork's blockchain.
Short of sha256 breaking they're going to exist there.
I have the feeling that if I bought any dogcoin, I'd just get bitten.
Slow down, cowboy! It has been 4 hours since you last posted. You must wait another few hours.
I have the feeling that if I bought any dogcoin, I'd just get bitten.
I thought it was Dodgecoin?
Then buy the quantity of Dogecoins that you can afford to lose. Example: only buy $20 worth of Dogecoins.
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