Recently launched cryptocurrency exchange BitForex displayed a huge spike in trading volumes suggesting improper activity.
BitForex, a relatively new cryptocurrency exchange, on Thursday showed again weirdly high trading volumes. The exchange, which was launched in June with headquarters in Singapore and an official registration in the Republic of Seychelles, has already come under the spotlight for possibly fake volumes, along with several other markets.
According to CoinMarketCap data, as at 04:00 UTC, BitForex had a trading volume of some $14 billion for the past 24 hours, roughly 10 times the volume on established big exchanges like Binance, Huobi, and OKEx. About half of the BitForex 24-hour trading volume stemmed from BTC/USDT pairs, around one third came from ETH/USDT pairs, more than 10% from BCH/USDT pairs and almost all the remaining was made by LTC/USDT pairs.
Specifically, the trades of Bitcoin (BTC) against Tether (USDT) look peculiar, with a large number of repeated orders of exactly 0.0020 BTC.
Meanwhile, BitForex looks like a modern, well-made exchange, requiring Google Authenticator and a phone binding to start trading. Excluding the chat support in Chinese, the market looks intuitive. However, the trading data point to faked volumes or bot activity.
Although the Bitcoin market seems to be mostly affected, BitForex continues expanding every day, with addition of new tokens. It has just launched its native BF Token, which has been changing hands at between USDT 0.08 and 0.012. Trading has become immediately extremely active, at $3.9 million for a few hours now.
On its website, BitForex claims the BF Token is the proof of platform ownership.
“BitForex will give back 80% of its trading fees to BF holders. In the future, BF holders will have the right to participate in platform building major decisions and community management,” it elaborates.
BitForex supports some 200 tokens on its platform, though some markets see negligible trading.
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