Altcoin News: Another DEX Suspected of Falsifying Trading Volumes

August 27, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

Bitpie cryptocurrency wallet developers claim that up to 99% of visitors and trading volumes on the decentralized Tokenlon exchange from imToken startup are falsifications. It was written by the Chinese portal 8btc.

According to Bitpie, until August 18, Tokenlon had a small number of users, but after that date, the exchange’s performance began to grow rapidly. At the same time, Tokenlon published messages in which it drew attention to the increase in activity on its platform. Tokenlon traffic in the short term grew by 424%, which allowed it to become the leading decentralized exchange in the Ethereum system.

Image credit: dappradar.com

CEO and founder of Bitpie Wen Hao drew attention to a suspicious pattern, which follows most of the transactions on the platform.

“0.35 ETH from an address, 0.1 ETH was transacted in imToken after an hour, or 0.2 ETH was transacted in imToken the next day and 0.02 in a few days. Before it played the trick, dozens daily user traffic are, but the next day there are more than a thousand, and all from the same address with small amount like 0.x, 0.3, 0.4 ETH,” he explained.

ImToken founder Ben He issued a counterclaim:

“Tokenlon officially launched less than a month, but topping first of ETH DEX. However, our trading volume is less than one-thousandth of that of traditional exchanges. Running DEX is the most difficult path, but the path we choose determines who we are. How could a brambling know a swan’s lofty ambition?”

Tokenlon officially launched as an independent decentralized exchange on the 0x puncture about a month ago. ImToken claims that during the beta testing phase, the new DEX transaction volume exceeded $30 million, while over the past week, according to Dappradar, the figure was $2.3 million.

Author: Marko Vidrih