One of the biggest mysteries in the Bitcoin world, aside from the real identity of Satoshi Nakamoto, is how much of it is being bought and sold on exchanges each day. As pointed out in a tweet from Messari founder, Ryan Selkis, the answer very much depends on who you ask.
Bitcoin Volumes – Compare And Contrast
To highlight the point, Selkis compared the reported 24-hour volume for popular exchange, OKEx, on a particular day, with multiple data providers. The results ranged from $67 million to $2.5 billion, which seems like a large enough spread that the true answer should be contained somewhere within.
But seriously, the margin of error there is so great that we cannot gain any meaningful information from it. So why is there such a disparity in reporting?
The problem has stemmed from the very nature of the beast. Volume on exchanges happens off-chain, so we must rely on the exchanges themselves to report daily volumes.
One of the longest standing bitcoin and cryptocurrency data providers, CoinMarketCap (CMC) then diligently…