Key Phoenix Global Takeaways:
- Oracle Network Phoenix Global pumped 6000% on CoinMarketCap as a result of a glitch.
- The protocol migrated from NEO blockchain to BSC, reducing the token supply 100:1.
- The latest glitch was not the first for CoinMarketCap.
YEREVAN (CoinChapter.com) – Phoenix Global made headlines on Nov 5, as it seemingly grew 6000% overnight. Crypto price-tracking website CoinMarketCap documented the surge, and the digital asset approached the top 50 cryptocurrency list (ranked #52) with a market cap of $3.2 billion. However, there is a reason behind the explosive rally, other than Phoenix bulls pumping the price.
Sources report that the sudden rally was a glitch, as Phoenix Global underwent a token redenomination. As a result, the blockchain rebranded its token, going from PHX to PHB and moving it from NEO blockchain to BSC (Binance Smart Chain).
The move involved a circulating supply reduction by a factor of one hundred. The supply cut meant that the new PHB token technically was worth 100 PHX. Unfortunately, CoinMarketCap considered the 24-hour price and market cap, and the old PHX value got ‘mashed into’ the new 100x value, confusing the traders.
Crypto exchange Binance, on the other hand, displayed the PHB chart without the glitch. However, it is noteworthy that the digital asset did gain over 100% on Nov 4 but corrected in the Friday session, trading at $0.032.
Phoenix Global’s glitch is far from the first on CoinMarketCap. Malfunctions happen sporadically despite Investopedia calling it the ‘go-to price checker’ among many similar websites.
Not the first glitch for CoinMarketCap
In 2019, a glitch on the website dropped the Bitcoin price to zero, while BTC’s actual market value stood over $5,000. The sudden drop confused on Twitter, for which the data website apologized.
Also read: Possible CoinMarketCap bug shows 124750802549.94% gains for Nano Dogecoin(INDC), creates thousands of Billionaires at $33.
In a more eyebrow-raising glitch in Jan 2021, Bitcoin temporarily lost its #1 rank on CoinMarketCap. Wrapped Bitcoin replaced the alpha crypto, while the former’s market cap suddenly surged to $432 quadrillion. The website then commented on the mistake and the reasons behind it.
The bug was caused by an errant supply module, which was reporting erroneous values for WBTC’s circulating supply, one of the inputs that goes into rankings. The problem was quickly rectified. Alas, even we couldn’t keep this under ‘wraps.’asserted CoinMarketCap officials.