Beware 51% of Daily Bitcoin Volume in 2022 is Fake, Says Report

An analysis by, said that more than 51% of the total Bitcoin trading volume on various exchanges is fake.


Commenting on the report, BanklessTimes CEO, Jonathan Merry, said, “It’s difficult to talk about cryptocurrency without talking about Bitcoin. Yet, there is a concern that a large part of the daily traded volume of Bitcoin is fake. This puts into question the legitimacy of exchanges and the reliability of data.”

The majority of this fake volume is due to wash trading. Wash trading is illegal, where an asset is bought and sold simultaneously on the same platform to create false liquidity. This is often done by bots or spoofing orders.

Another factor contributing to the fake volume is stablecoins such as Tether (USDT). Tether pairs very well with Bitcoin and is often used to buy and sell Bitcoin on exchanges. This results in much volume being generated without any actual Bitcoin changing hands.

Faking trading volume can be a way for exchanges to attract new customers. By appearing to be more popular than they actually are, exchanges can trick investors into thinking there is more activity and liquidity on their platform.

Investors should be wary of exchanges that report false figures. You must do your research and only use exchanges you trust. Full story and statistics can be found here: 51% Of Daily Bitcoin Volume in 2022 Is Fake

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