Why Trust CryptoQuant Metrics?
Why trust CryptoQuant metrics?
We procure essential on-chain, market & futures data that provides critical insight into the fundamental investment activity underlying the network.
CryptoQuant data provides the most comprehensive on-chain and market data gathered from blockchain and major cryptocurrency exchanges. Over 1M traders worldwide are using our data, and more than 10,000 articles cite our data and analytics every month.
The blockchain can offer great potential, but also has its vulnerabilities. Among different datasets that can be observed, market data is increasingly being cultivated and manipulated as the digital assets market continues its growth trajectory. Thus, the importance of on-chain data has also increased as a result of it's immutable nature.
CryptoQuant keeps track of every single transaction that occurs in the market, labels addresses through dusting and machine learning-based clustering, and identifies entities including exchanges, mining pools, funds and other key market participants.
Outputs of our analysis can be broadly categorized into one of the following:
1) Network Data that relates to the blockchain network itself such as number of active addresses.
2) Market Data that relates to prices evoked from major cryptocurrency exchanges.
3) Entity Flow Data that captures the movements, or flow of capital [coins], amongst the most important players in the network such as exchanges and miners, as well as their reserves.
Regarding CryptoQuant's entity flow data, our team currently tracks on-chain flow metrics for Bitcoin (BTC), Ethereum (ETH), stablecoins, and hundreds of other altcoins and tokens. Our proprietary wallet labelling methodologies allow us to keep updated records of exchange addresses, determine the supply held by/on exchanges and calculate on-chain flows—i.e., the transfer of native units—into or out of addresses associated with those exchanges. Measuring flows and supply held is an imperfect science, with algorithms constantly improving, but caution should be applied in their application in trading or other use-cases, particularly in the early periods of their release. (Note 1)
We provide real-time charts and raw entity data by following the below steps:
Data Collection: We collect wallet addresses through seed address collection as well as basic, and advanced clustering, based on the properties of that specific blockchain.
Data Serving: Once the data is collected, it is then stored in secure databases for low-latency data extraction, processing and endpoint delivery.
Data Validation: Our quality assurance process (reserve analysis, trend analysis, graph analysis and statistical data analysis) ensures that we have valid labelled addresses.
Data provided by CryptoQuant is trusted, leveraged and integrated by leading institutions including CME, CoinDesk, Forbes and Bloomberg. In addition, our firm has also helped solve a number of money laundering cases in South Korea, and globally, by utilizing our address label data - closely working with Korean Police Agency and Prosecution Services. The South Korean government has supported us by spending one million USD to investigate wallets since 2019.
Note on Data Latency
Please note that the end-of-day data of exchange, miner, inter-entity flows will be ready to serve from UTC 00:00 AM which can then take up to one hour to process. Since block confirmations take time due to the nature of the blockchain, blocks created before 00:00 AM are reflected in the calculation sequentially. Block confirmation times vary from time-to-time, so the safe time to query an endpoint for a full day would be an hour after that day. (i.e., UTC 1:00AM) Note that Top 10 data will return null until the block confirmation is complete. Search more at: CryptoQuant's API docs Time convention
Combining blockchain data with our labelled addresses usually takes between 1 and 5 minutes to process. Therefore, to ensure you receive the latest data points, we recommend requesting the data after 5-10 minutes.
Technical Documents
For more information on our data and data processing methodology, please review the following documentation.
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