Popular crypto market data resource CoinMarketCap has just launched a new metrics that will provide investors with information on market liquidity, The Block reports.
According to the platform, the objective this new metrics is to fight the fake trading volumes of some exchanges.
The "liquidity" metrics will become the basic tool CoinMarketCap will use to rank both trading pairs and exchanges.
Liquidity will be calculated taking into account several factors, including order-book depth changes and distance from mid-price. Calculations are made by polling the market pair at random intervals for 24 hours and averaging the result.
CoinMarketCap announced back in March its intention to reorganize the way it classifies cryptocurrencies and trade metrics after a Bitwise investigation revealed the trading volume of some of the platforms and coins included in the portal was fake.
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