Crypto’s Market Malpractice | CEO Warns Industry Must Reform or Face Irrelevance
By
Omar Ali
Edited By
Sofia Gomez
In a heated discussion surrounding the credibility of cryptocurrency exchanges, industry leader Arthur Cheong raised alarms over rampant price manipulation. Speaking at the recent Blockchain Summit on April 16, 2025, he suggested that failure to resolve these issues could render the majority of the crypto market ‘uninvestable.’ This critique comes amidst a notable decline in altcoin values, raising eyebrows among investors.
The Context
Cheong, the CEO of DeFiance Capital, didn't hold back during his remarks, asserting that collusion between market makers and exchanges is significantly distorting token prices. “If we don’t tackle manipulation, we’ll continue to see trust erode,” he claimed, underscoring findings that show nearly 88% of tokens listed on Binance have lost value over the last year. Interestingly, while Bitcoin and Ethereum maintain relative stability, altcoins are struggling to gain traction.
Investor confidence appears to be waning, further exacerbated by a series of high-profile security breaches that have shaken trust in these platforms. As Cheong pointedly remarked, "The entire industry needs to take security seriously; too many recent hacks are driving people away." With investors increasingly concerned about the integrity of their investments, online sentiment reflects a mix of wariness and hope.
Key Themes from User Feedback
The ongoing dialogue reveals three major themes:
Concerns About Market Security: Users are worried about the increasing number of hacks affecting exchanges, impacting broader investor trust.
Indifference to Altcoin Viability: There's a prevailing sentiment that aside from major players like Bitcoin and Ethereum, many altcoins are losing their allure.
Need for Transparency and Reform: A call for centralized exchanges to revamp their listing processes to enhance market integrity and investor confidence has emerged from the community.
Community Sentiment
The overall sentiment is largely negative but mixed with threads of optimism. Many users are urging a serious discussion on the problems raised, echoing sentiments like, “Are we finally going to address this problem?”
"We are in 2025 - after all that has happened, we still trust in exchanges?"
This reflects a growing frustration among crypto enthusiasts who have witnessed the industry's tumultuous ride.
Current State and Impact on the Market
The crypto market stands at a precarious juncture as calls for accountability and transparency grow louder. Potential investors may hold back until concrete steps are taken to restore faith in exchanges and the broader market. As such, companies may soon find themselves on a tightrope, needing to balance operational procedures with the demands from a skeptical public.
Notable Highlights
⚡ 88% of tokens listed on Binance have declined this year.
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📉 Strong calls for exchanges to reform their listing practices.
In summary, as the landscape continues to shift, industry leaders and exchanges must rise to the challenge or risk becoming obsolete.