Binance’s Proof of Reserves gets a security boost thanks to Hacken’s discovery
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Crypto Exchange Ranks is almost 2 months old! During such a short period of time, we conducted several important pieces of research that uncovered fraud behind crypto exchanges. In the latest, we have discussed such a phenomenon as transaction fee mining or how to start an ICO without ICO. We do believe that empowering our users with knowledge is of high importance as it’s the only way for the blockchain industry revolutionize the world.
Today, we want to talk about CER, General Score dashboard in particular. The analytical weekly digest is here! We continue to educate our users and subscribers about CER’s functionality and the benefits the platform offers. We are going to talk about the General Score dashboard: what it shows, how it is calculated, and what the key parameters are. Let’s begin!
Crypto Exchange Ranks General Score (GS) is a complex rating of crypto exchanges which consists of four main totals: Liquidity Score, Withdrawal & Limits Score, Cyber Security Score and Public Opinion Score. The platform runs custom algorithms and recalculates the scores every 24 hours.
Within the analyzed period (13-19 Aug) the TOP-3 leaders of CER’s General Score have changed: Binance solidly occupies the first position, while Korbit has jumped from the 5th to the 2d position due to the stable growth of their Liquidity Score; Coinone dropped from 2d position in GS to the 3d due to the decrease by 0,42 point in Liquidity Score.
The leader of this week is Binance with a GS of 7,71 as of August 19th. It is worth noting that Binance`s GS hasn’t fallen below 7 points because the exchange has a consistently high Withdrawal & Limits score (9,81 – 1st place among 18 crypto exchanges covered by CER), Public opinion score (8,40 – 1st), Cyber Security score (9,01 – 3rd), and Liquidity score (6,21 – 3rd). Coinbase exchange is not in the Top-3 (on August 19th Coinbase has a GS of 6,67 and ranks 5th), but this exchange had a third place in the GS rating for four times during the week (August 13-14, 17-18). It is also worth noting that on August 19 Binance and Korbit had a sharp increase in liquidity comparing to Coinone.
From Graph 1, which shows the dynamic of the Top-3 exchanges by GS, it can be inferred that Binance`s and Korbit`s GS have had similarly positive trends during the week (up 0.65 points and 0.73 points respectively). As opposed to them, Coinone experienced a downtrend (down 0.11 points), which can affect the presence of this crypto exchange in the Top-3 rating next week. The range of Korbit’s GS is 0,73 while that of Binance is 0,65; Coinone has a range of 0,23. It is useful to note that Bithumb’s range rose significantly on August 14-15 (4,70% and 3,89% respectively). Binance’s range increased on the last day of the week (when it shows +0,34 points or +4,61% per day). The maximum GS values for this week were 7,71 for Binance, 7,11 for Korbit, and 6,94 for Coinone.
Want to learn more about how CER counts General Score and what it means? Read the article
Тhis week the three outsiders are Bittrex (16th rank), Gemini (17th rank), and Exmo (18th rank). Withdrawal & Limits score for Gemini and Exmo (1,00 and 1,28 respectively vs. 4,96 for Bittrex), Cyber Security Score for Gemini and Exmo (6,72 and 6,83 respectively vs. 8,37 (6th rank) for Bittrex), Liquidity Score for Bittrex (3,31 (18th rank) vs. 4,37 and 5,05 for Exmo and Gemini respectively) contributed to the individual low GS scores. Bittrex was the only exchange to have experienced a decrease in the GS value (Bittrex` GS dropped by 0,16 while Exmo`s GS and Gemini`s GS increased by 0,19).
Graph 2, which shows the dynamics of the Bottom-3 exchanges by GS, shows that Bittrex has a negative trend – its score has gradually decreased with an average of 0,53% per day (from 4,94 on August 13th to 4,78 on August 19th). At the same time, Gemini and Exmo experienced an increase in GS (+0,75% and +0,80% respectively). It is worth noting that Bittrex became one of the Bottom-3 exchanges on August 15th – its score is lower than that Kucoin. The Bottom-3 exchanges have been stable throughout the week and show no significant volatility. The minimum GS values for this week were 4,78 for Bittrex, 4,36 for Gemini, and 4,00 for Exmo.
Table 4 shows daily GS changes of all exchanges during the week of August 13th-19th as well as the GS score volatility.
Table 3 shows a color-rendered GS dataset (the lowest ranks are colored in red and the highest ones in green). All exchanges are sorted by the newest ratings (GS on the last day of the week – August 19th). Table 3 also has a Trend column that graphically shows the trends of GS for different exchanges during the week. Table 4, on the other hand, shows relative indicators such as daily GS changes and the overall weekly GS volatility. Kucoin exchange had the highest daily GS growth percentage-wise on August 14th — its GS rose by 9,13% from 4,60 to 5,02. Kucoin also had the highest growth rate in terms of its absolute value – the increase in its GS on Tuesday was 0,42 points. At the same time, Kucoin experienced the largest percentage drop (on August 19 the GS decrease by 7,79% to 4,85); it is also the absolute drop leader of the week — minus 0,41 points in just one day. It is worth noting that Cex.io aspires to become a leader: its score increased on August 15, 16, and 19 (+0,38 points (+7,85%), +0,41 points (+7,85%), and +0,40 points (+7,46%) respectively) allowing this exchange get ahead of Bitfinex, Okex, and Poloniex at the end of the week (see Table 5). As a result of rapid growth, Cex.io has the highest volatility – 0,37. Other exchanges did not experience any sharp changes in GS.
The table shows that Korbit and Cex.io climbed 3 positions up the rating due to stable growth (Korbit) and sharp rises (Cex.io) (see Table 4). Further, Coinbase left the Top-3 list allowing Korbit and Bithumb to move up the rating. As far as the bottom half of the table is concerned, Bittrex fell behind by 3 positions (currently holding 16th position) so this exchange is one of the Bottom-3 exchanges by GS. It is useful to note the Bitfinex lost 3 positions due to a relatively low growth rate as compared to its competitors – Cex.io, Huobipro, and Kraken.
Binance is leading our GS rank with 7,71 points on August 19th and average GS of 7,33 during August 13th – 19th.
The highest increase since the beginning of this week – Cex.io (+15,90%)
The highest decrease since the beginning of this week – Bittrex (-3,24%)
The highest GS daily increase – Cex.io (+7,85% on August 15-16)
The highest GS daily decrease – Kucoin (-7,79% on August 19)
The highest rank weekly growth – Korbit, Cex.io (+3 positions)
The most unstable (volatile) exchange – Cex.io.
The most stable exchange – Bittrex.
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