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Bank for International Settlements finds major discrepancies in crypto metrics
A study by the Bank for International Settlements (BIS) has revealed significant discrepancies in how cryptocurrency activity is measured onchain. Analyzing 100 billion data points across Bitcoin, Ethereum, and Tron, researchers found that estimates for Bitcoin transfer values can vary by as much as sixfold depending on the calculation method used.
This discrepancy is largely attributed to Bitcoin’s transaction structure, specifically how unspent transaction outputs (UTXOs) and change addresses are handled. If a calculation fails to distinguish between a transfer to a new party and a change return to the original sender, the measured economic activity is artificially inflated. Additionally, the study noted that conventional Bitcoin market capitalization measures have, at times, been up to four times higher than realized capitalization.
The measurement challenges extend to other networks. In the Ethereum ecosystem, researchers were unable to categorize approximately 54 million out of 67.5 million active smart contracts using their framework. The BIS also highlighted that stablecoin activity, such as USDT, varies significantly in purpose and usage patterns across different blockchains, complicating efforts to aggregate data accurately.
Entities
Bank for International Settlements · Bitcoin · Ethereum · TRON · USDT
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 2 SOURCES] Conventional Bitcoin market capitalization has at times been up to four times higher than realized capitalization. www.cryptobreaking.com · cointelegraph.com
- [○ 1 SOURCE] Approximately 54 million out of 67.5 million active Ethereum contracts examined could not be categorized using the study's framework. cointelegraph.com
- [● 3 SOURCES] Bitcoin transfer discrepancies are driven by how unspent transaction outputs (UTXOs) and change addresses are interpreted. coindoo.com · www.cryptobreaking.com · cointelegraph.com
- [● 3 SOURCES] Bitcoin onchain transfer value estimates can vary by as much as sixfold depending on the measurement method used. coindoo.com · www.cryptobreaking.com · cointelegraph.com
- [● 2 SOURCES] The study analyzed 100 billion data points across the Bitcoin, Ethereum, and Tron networks. coindoo.com · cointelegraph.com