Bitcoin’s Ranking Drops to 17 in China’s Crypto Review

We spoke with the leader of a Chinese blockchain assessment initiative to ask why Bitcoin ranks so low and EOS suddenly takes the top spot in its analysis of 30 coins.

An index published and updated by CCID, a Chinese IT media initiative working under the Ministry of Industry and Information Technology, recently provided new rankings for 30 cryptocurrencies.

In the middle of May, we noticed that Ethereum ranked as the top blockchain while Bitcoin had a paltry ranking of 13th place among all 28 coins that CCID rated. A new chart shows Bitcoin slumping down to 17th place and EOS beating Ethereum to first place.

Our display of the chart overlays each column with its English translation in red. For the sake of convenience, we have cropped out the bottom ten coins from the list.

Seeing as there’s no clear explanation as to how this organization came up with these results, we decided to contact Dr. Songtau Pu—the leader of the CCID public blockchain technical assessment group—to get his input on how these results came to be.

He explained that this graph doesn’t show how well the cryptocurrencies perform. Instead, it functions as an evaluation of the blockchains from a purely technical point of view.

“First of all, I must emphasize that what we do is not ratings for cryptocurrencies, but the technical assessment index for public blockchains. The assessment results are not determined by us—by human beings. We have a model to assess the blockchains (not the cryptocurrency) and we have a team to capture the data. So, with both the model and the data, we calculate the results. It is hard to explain why Bitcoin dropped four places, [but] what I can say is that with the results now Bitcoin is listed [as] 17th. Here, in our model, we only consider the factors related [to] the technology, so it has nothing to do with the market. We are just looking at the platform attributes of public blockchains, not the monetary attributes of cryptocurrencies,” he told us.

We were also curious as to why EOS, a cryptocurrency that recently underwent a small bit of chaos following its mainnet launch, climbed so quickly to the top. In the previous report, EOS wasn’t even listed.

“With our model [of analysis], EOS is on top. During the period of the second assessment, EOS performed better in the following parts. It provides full functions for DApp development, it has the high block production efficiency of 0.5 seconds per block, transactions are free, it has a higher [transaction rate per second]... That’s the main reason why it gets the highest score in the basic technology index. Additionally, the code for EOS updates is very active, the number of contributors is relatively high, and it obtains a high degree of attention from technical developers. That’s the main reason for its high score in creativity,” Dr. Pu added.

Although the methodology involved in analyzing these coins isn’t entirely clear, we now know that CCID isn’t looking at them as assets, but rather as manifestations of blockchain technology expressed in one particular use case.