- Minswap calls out CoinMarketCap for charging to amend incorrect data.
- Ergo publicized a similar issue with CoinMarketCap last month.
- Questions over the accuracy of CoinMarketCap data are being asked.
In the digital age, data is considered more valuable than gold or oil due to the insights it can provide to direct strategy and decision-making. This makes comprehensive, accurate datasets highly prized commodities. CoinMarketCap (CMC) has risen to become the leading crypto data aggregator. However, the company came under fire recently when Ergo accused it of exploitative data practices.
Recently, Minswap, a Cardano-based decentralized exchange, updated the community on its ongoing fight to have CoinMarketCap amend incorrect data. However, like Ergo’s experience, Minswap failed to convince CoinMarketCap to make the necessary data changes.
CoinMarketCap Wants Hefty Payment
Minswap drew attention to ongoing issues related to incorrect data being displayed on the CoinMarketCap website. Despite months of back and forth, Minswap stated, “Unfortunately, we were unsuccessful in resolving this issue with Coinmarketcap,” in an update.
The issue lies with the CoinMarketCap website showing incorrect information for Minswap trading pair volume. Minswap claimed they first tried to resolve the issue in June by submitting a series of support tickets, providing CoinmarketCap with solutions, such as access to its own API or script hashes to fix the data discrepancy.
However, no further along in resolving the issue, Minswap claims that the latest response from CoinMarketCap was to purchase its “CMC Priority” tier at the cost of $50,000.
In response to the extortionate charge, Minswap referred its followers to use rival data aggregator platform CoinGecko. This move echoed Ergo’s response, which also referred CoinGecko, as its frustration with being asked to pay to amend incorrect data boiled over.
Disincentives to Accurate Data
Last month, Ergo publicized its experience with CoinMarketCap in trying to amend incorrect data on the circulating supply of the ERG token. Ergo stated that it had spent over a year attempting to get the correct information displayed on the CoinMarketCap website, but to no avail.
Ergo was told to pay a $5,000 fee to resolve the data discrepancy, which they labeled akin to paying “hostage fees.” Ergo made the point that CoinMarketCap’s policy to charge for amending incorrect data gives rise to inaccurate data, as projects are disincentivized to push through the correct information.
On the Flipside
- Decentralized data oracle networks aim to solve issues like inaccurate data and data aggregator hegemony.
- Charging to amend incorrect data highlights concerns about transparency and ethics in the crypto sector.
Why This Matters
CoinMarketCap is the leading crypto aggregator, and its position gives it immense influence on the market. While the company can set its own policies, charging exorbitant fees to amend incorrect information is exploitative. With more projects calling out this practice, CoinMarketCap risks damaging its standing within the crypto community.
Learn more about Ergo’s run-in with CoinMarketCap over inaccurate data here:
CoinMarketCap Integrity Questioned Amid Ergo Fee Controversy
Read about Coinbase severing all ties with Bitcoin SV here:
Goodbye Bitcoin SV: Coinbase Dumps Controversial Fork