CoinMarketCap, the biggest crypto data aggregator most people in the cryptospace refer to, had been accused by The TIE of allowing exchanges to report fake trading volumes. However, the data site has tried to clean up its act since, noted Joshua Frank, CEO of The TIE, in an interview with Dawid Paluch.

Paluch asked the CEO about the prevalent malpractices in the cryptocurrency space like wash trading and exchanges faking trade volumes, to which Frank said that he didn’t want to single out one website. However, CMC has taken steps to manage its data through the Data Accountability & Transparency Alliance (DATA), he said. However, there still are ill-players in the space who have managed to manipulate the market, despite DATA, he added.

“What is interesting to me, is that some exchanges affiliated with DATA appear to be potentially manipulating their trading volumes.”

According to the CEO, a report by The TIE suggests that 87% of all transactions are faked and the biggest issue in the market at the moment is that traders find it difficult to trade.

“You may place an order on an exchange that doesn’t have real trading volume and incur significant slippage on that trade.”

However, TIE has been working on these issues and when a user places an order through their website, the website executes it on the user’s behalf across all the world’s largest exchanges using smart-order routing technology. This ensures users have access to the largest liquidity pool, to prevent the order from slipping.

Considering the statistics, the market appears heavily manipulated. However, Frank believes that exchanges like Gemini and Poloniex are good actors as they are regulated exchanges. Non-regulated exchanges that lack terms and conditions make it easier to manipulate the market, he added.

“If there is nothing in their T&C, the message is simple: ‘hey, you can manipulate the market.’”

However, things have started to change in the field as the competition toughens. In the long run, being ethical and doing the right thing will benefit a lot, noted Frank.

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