Crypto bigwigs criticize CoinMarketCap.com over data problems | Crypto News

Crypto.com and Coinbase Global Inc. criticized the data provider for summarizing the huge benefits of cryptocurrency transactions.

Finger pointing has already begun after data glitches led to a brief demonstration of the astronomical gains for many cryptocurrencies at the end of Tuesday.

Crypto.com CEO Kris Marszalek criticized the popular data provider CoinMarketCap.com and said it was working to remove “expensive food” from its site. Coinbase Global Inc. President and Chief Operating Officer Emilie Choi also reported negative prices from CoinMarketCap.com, which has its rival Binance.

The event was a “sign of upcoming companies,” Choi said in an interview Wednesday at the Bloomberg Technology Summit. Coinbase, the largest crypto market in the US, has more than 70 million customers worldwide.

(Bloomberg)

While the cause of the glitches is still unknown, some company members point out the function that the API can perform, or the software interface. Websites use APIs to communicate with each other, and this website can create its own APIs so that other websites can store their data, for example.

Coinbase did not answer questions about how much it pays for CoinMarketCap data. Crypto.com declined to comment.

Technological challenges have plagued the world of cryptocurrency for a long time, and large-scale exchanges often have a problem in setting the stage for high-level trading. The anonymous part of the business since the development of cryptocurrencies has also made it difficult to crack hacks and steal.

“The idea here is that it happens all the time until people start to be patient,” said Owen Lau, an expert at Oppenheimer & Co. “While people are still looking at the causes, I would not be surprised to hear. That people would say that a customer is experiencing a program like Coinbase even though the problem stems from data provided by a third party.”

You do not have to tell us anything – we are already trying to get rid of it @CoinMarketCapAn unreliable price from our products.

-Kris | Crypto.com (@Kris_HK) December 15, 2021

“For these markets to be seen as reliable by corporations and regulators, we need reliable and transparent sources,” said Nic Carter, founder of Coin Metrics, a crypto data platform.