Wash Trade
By CoinGecko | Updated on Mar 03, 2020
Wash trading is a way to artificially inflate the trading volume of any tradable assets on an exchange. To wash trade, a single party becomes both the buyer and seller to trade the asset back and forth at high speeds. This activity will be conflated into an exchange's regular trading volume to appear as if ther are a lot of trading activity on the market. This is ussually done either by a "market maker" to help a coin appear appealing to trader or by an exchange itself to trick traders into thinking they are trading in an active exchange.
Related Terms
Full Node
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Bear Market
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Bakkt
Bakkt is a company developed by the Intercontinental Exchange (ICE), owner of the New York Stock Exchange. It specializes in Futures/Options contracts for cryptocurrencies.
Explain Like I'm Five (ELI5)
To explain in such simple terms that even a five-year-old would be able to understand it.
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