A T3 address will count all deposits and withdrawals as ‘Transactions’. In T1 only the withdrawals matter, and basically the exchange adds another pseudo-layer to differentiate and report trade volumes independent of what goes on with the addresses on the back end.
We could add in something like that pseudo-layer by ignoring all deposits and withdrawals that come from FLOT, JL, or NuLagoon addresses. Then the only thing missing from NuLagoonTube being real T1 liquidity at that point is independent verification from a third party. For example, if this pseudo-layer is in place then theoretically NuLagoon can deposit or withdraw to the address and choose whether to register the volume or not. So they could do something like sell to an unknown address, transfer to NuLagoonTube, and buy off the books, then sell again. This would cause infinite sell volume, and basically just shows that NuLagoon can do anything they want as far as reporting trade volume once the pseudo-layer is in place. That’s why independent 3rd party verification between an exchange, a pool operator, and Nu is important for calling it T1 liquidity.
