Prominent Cryptocurrency intelligence provider, LunarCrush has revealed that spam in the cryptocurrency industry jumped by an estimated 3,894% in 2 years.
The firm which has been diligent in collecting specific cryptocurrency data since 2019 has stated that not only has the spam rate increased but it’s also “the fastest growing metric on social media.”
The report which was published on May 25 was titled ‘The beginning of the end for bots and spam‘. It stated that “more spam accounts than you would think are actually people. This is why it is so hard for a bot that was written to detect spam, to actually catch spam. It takes little effort for even the least tech-savvy person to outsmart a bot trying to stop them in their mission”.
A close study of the report by Investor King showed that Twitter, the social media platform mostly used by the cryptocurrency industry, experienced a 1,374% jump in spam volume over the past two years,
LunarCrush CEO, Joe Vezzani, told Quantum Economics founder, Matti Greenspan in his crypto newsletter, that the alarming rate of spam and bot on Twitter reduces the social media platform’s value.
“For a web2 platform like Twitter, there is a direct incentive to turn a blind eye to fake accounts because it increases the value of their platform. In web3, if you have a tokenized incentives system, you want to have as many real users as possible who are holding the asset long term rather than trying to extract value from the community.”
Tesla CEO, Elon Musk has vowed to reduce the alarming numbers of spam and scam bots. However, Twitter takeover is presently on hold due to the same reason, high spambots. Despite Twitter claiming that spam and fake accounts on the platform are about 5%, Elon Musk has argued otherwise, saying it is probably 20% and “could be *much* higher.”
Musk plans to crack down on spam bots that have plagued the platform and suggested that the company’s claim of 95% genuine users is too high.
Until there is a reduction in the number of bots and spams on Twitter, cryptocurrency investors are advised to be on the lookout and stay vigilant.