MyBroadband hosted Coindirect’s co-founder and Chief Product Officer, Stephen Young, in its exclusive forum. Here,…
“A cryptocurrency ranking chart app that ranks digital currencies by developer activity, community, and liquidity.”
CoinGecko has been around since the start of the hype of cryptocurrencies. Today, it is one of very few of the world’s biggest cryptocurrency ranking platforms. And the world certainly needs one, considering that the industry’s list of cryptocurrencies now requires an infinite scroll.
With hundreds of new altcoins constantly entering the market and being added to the coin market cap, cryptocurrency is revolutionising the ways in which the world handles their finances. And now, people and business are integrating cryptocurrency for real-world product use cases.
But, each cryptocurrency has been developed with exclusive purposes, practical cryptocurrency use cases and benefits. So the real question comes to mind, “which cryptocurrency should I invest in?” This is where CoinGecko comes in.
Just like Geckos that have a fixed lens within their iris which enlarges in darkness to get more light in, CoinGecko is fixed on integrating “the data required to quantitatively and qualitatively rank the potential of an altcoin,” into their platform. In this way, CoinGecko makes it easier for users to decide which altcoin to hold, sell, buy or trade on cryptocurrency exchanges like Coindirect.
What is CoinGecko?
CoinGecko is a leading, trusted crypto platform that was co-founded by Bobby Ong and TM Lee in an aim to benchmark coins based on a fluid algorithm, to determine how valuable a coin is in comparison to its peers.
It, therefore, lists the world’s top cryptocurrencies – nearly 3000 altcoins at the time of writing – which are then ranked, along with a 360-degree overview, according to specific equally-weighted criteria – in no particular order:
- Market capitalisation – the price of the current total supply. If the coin has a good share of market capitalisation, CoinGecko will take it as having high interest.
- Public interest – CoinGecko determines the public interest of a coin based on the amount of traffic (website visitors) a coin receives. A lot of traffic means popular interest. Online rankings are often checked using the Alexa official website rank to determine the value of a cryptocurrency.
- Community – the growth of a cryptocurrency essentially relies on the backing by mass supporters on a wide scale. CoinGecko observes the number of backing which a cryptocurrency has, on Facebook, Twitter, Reddit and subreddits.
- Developer activity – many altcoins have little-to-no market potential, as they are not managed by their developers. This is why CoinGecko keeps tabs on the development activity of cryptocurrencies, using public sources code repositories such as on Github and Bitbucket.
- Liquidity – this is the trading volume across all large exchanges. By getting a good sense of a cryptocurrency’s liquid value, CoinGecko is able to analyse and determine the future growth of
The CoinGecko algorithm
According to the platform, it collects information about cryptocurrency that has been made publicly available. Using the data, it is then able to calculate the ‘GeckoScore’ – used to benchmark a coin against other cryptocurrencies – for each cryptocurrency.
In defining the rate and rank of a cryptocurrency, CoinGecko uses a proprietary ranking algorithm that takes into account the 5 criteria. However, the CoinGecko platform is still under beta testing; thus, constantly improving its algorithm for the optimal user experience.
In addition to ranking cryptocurrencies, CoinGecko keeps users and cryptocurrency evangelists up to date about upcoming ICO’s and cryptocurrency exchanges.
In fact, CoinGecko has recently integrated Coindirect into its platform; adding Coindirect to its list of top cryptocurrency exchanges.
According to CoinGecko, Coindirect is “Africa’s most comprehensive cryptocurrency exchange with an integrated peer-to-peer marketplace, cryptocurrency wallet and API that allows customers and vendors to buy, sell and trade over 40 digital coins.”
By integrating Coindirect’s API, CoinGecko allows users to gain exclusive insight into Coindirect’s:
- Personal address
- Fees – withdrawal, maker, taker and fiat currencies
- Accepted payment methods
- Direct contact email
- Chart showing volume by market pair and volume by currency
- 24-hour, 7-day, 14-day and 30-day exchange trade volume, including a graph
- Trading pairs, including its price, 24-hour volume and volume by percentage
Signing up to CoinGecko
The CoinGecko platform is free and easy to use by both new cryptocurrency investors and enthusiasts. All you need to do is click “sign up” in the tab at the top right-hand side of the website and fill in your details accordingly.
Access our integrated platform and #OwnTheFuture with Coindirect.