ARBITRAGE IS GOING TO TANK THE MARKET, FAGGOTS

I'm lending out all my BTC on Poloniex at the moment. I hope pajeet returns my loan so that I can take advantage of that.

Big price differences like that are only happening because the ETH network is so congested. I know this because I tried to arbitrage between Gemini (315) and Bittrex (343) and the transaction hasnt gone through in over an hour, and I'm probably going to lose a bunch of money

Well think about it. It's already low on CB because people are interesting in dumping. At least this arbitrage is creating demand for buyers to absorb some of that selling.

>sent to bittrex

You know how 3 leg arbitrage works?

I'm the guy in the previous thread who made 1k profit arbitraging today. Yes 1k profit and I do this almost every day.

WHEN I SELL ON ONE EXCHANGE, I BUY ON ANOTHER.

So the only people who really lose are those buying on the more expensive exchange.

And that's kind of their fault.

It's not going to tank the coin to 0 because I am buying the same amount of ETH as soon as I sell it.

Also
>waaaa other people have found a way to make money and it's coming out of my pockets!! Waaa stop them! Waaaaa my strategy (holding) isn't working cause other people are exploiting it!!!
Figure it the fuck out. If you can't keep up and are too lazy to fucking do it yourself, then I'll gladly take your money while you complain.

This user gets it.

Arbitrage fixes market inefficiencies. This is why exchanges welcome bots. The process helps with price discovery and reduces volatility.

The current situation is solely due to network congestion.

how long is Coinbase taking to send ETH?

Link to that thread?

this op dont understand dat this is done in fx also...

i can set up a chinese acc? this days ANS looks so tasty...

I'm too busy making real money. If you want to sit at your computer all day and make "OMG ONE K PROFIT", then by all means go ahead... just making you aware of what's going on that'll eventually destroy this market with a fuckton of potential.

Regardless, my strategy is still to hold. Losing $100k would suck, but thats less than 3% of what I have invested... and, believe me, the other 97% is very safe.

>just making you aware of what's going on that'll eventually destroy this market
you're a fucking idiot... at least 5 people have told you why you're wrong but you just won't listen. How the fuck do you have any money being this retarded? inheritance is my guess

>No unified exchange

Right now I stopped using Coinbase.

And I arbitrage in US to Chinese and Korean exchanges because I have connections who let me use their account.

So my profit margins are huge at the moment.

My 1k today was from buying ETH at $300 on Gemini and selling for $380 on foreign exchanges.

You're missing the point though I think. Sending ETH could take days, it doesn't matter.

I have the ETH on one exchange and the USD on another set up days in advance. So sell the ETH and buy with the USD at the same time. Then you can transfer the ETH you bought and do it again. Might have to wait a day or 2 for the USD to clear with Gemini/Coinbase or whatever you're using but you get the idea.

Use the catalog and look for arbitrage, I think it's still here. There was a link to this thread in it.

For fuck's sake you realize there are professional arbitrageurs who do this with options and derivatives markets for a living, yes?

You gonna tell me they're "ruining" the market too?

I don't understand how anyone is really making money through arbitrage. Look, ETH is already $319 on CB. Fuck off.

you ignorant fuck, the prices cant be arbd because of wallet maintenance and slow transfer times, prices go back to normal once fixed

Arbitrage helps the market as it equalizes prices... read a book lol.

Well dang, wish I had connections like that. Do those foreign exchange account holders have to deal with taxes on transactions you make? Or do they not report them to the government?

>Be me
>Build a simple bot that arbitrages coin base to poloniex
>When it perceives a 10% discrepancy in either direction it transfers the funds from one exchange to the other
>realize I am a bot and my life has no substance
>keep doing it because Im getting rich nigga

Maybe op should do like I do instead of whining about his poor choices and 100k.

I'll explain.

I prepare by getting ETH on a foreign exchange and USD on Gemini and Coinbase. Then when I see a nice arbitrage margin, I quickly sell the ETH on the foreign exchange and buy the same amount with USD. Then I move the foreign currency to Citibank and withdraw it as USD cause they do this automatic conversion thing.

It's technically not arbitrage only because there's a risk, somehow, that the value of the foreign currency will tank overnight, but this is extremely unlikely, and the margins eat up the fees.

There are fees for withdrawing the money, fees for sending it, fees for buying the ETH, etc., so it has to be worth it.

At the moment, I give it to them so it's like a gift (no taxes) and they give me back the money (they are my family members so there is complete trust here). So the government sees it as them giving a gift to me, no taxes. But they wouldn't pay taxes on it in their country anyway I think.

The danger is money laundering laws. If you send too much at once, the government thinks you're money laundering. Also structuring laws.

So it has to be relatively small amounts (under 10k or so).
OP wouldn't be interested.

It's sad that the free market has to be so hindered. Yea, fuck OP, they're an idiot. It's amazing, they literally have a worldwide agenda to piss everyone off and kill us all off.

ETH is $305 on coinbase
You want to buy it right now for arbitrage
You pay a 5% fee to buy with credit card
Now eth cost you $320 on coinbase
By the time you get it in coinbase and can transfer it to Bittrex, who knows what the price will be.

>Inheritance

K

>claims to be rich
>can't even afford a good pen

hahahahahha

lol so you're a real estate mogul.
Enjoy those taxes and good luck when the market crashes again faggot. Not much you can do if you aren't using options when you buy your assets

What kind of a loser do you have to be to rub your riches in the face of people who are struggling.

Get your commie ideas out of here!
>but goys, why can't it all be the same for everyone
You out of all people know that the only way to make money is to fuck others. So you either sit down and shut the fuck up or you get the fuck out of this market.
Arbitrage happens in every market. I'm sure you do it too.

boss
godspeed
why the hell are you hanging out with brokeasajoke neets?

Folding Coin
1105 sats on polo
1316 sats on bittrex

Poor fag tips accepted
BTC
136x3xi6KyPpmsYTFWgyxjjH1r8CyBLzWS

Was thinking to buy this today at 800 sats.
Kill me why don't I just do it.

That's not arbitrage. Arbitrage is the SIMULTANEOUS purchase and sell of the same asset on different markets. If you buy on CB and sell on Bittrex, there's a risk of the transfer being slow or stuck and wiping out the arbitrage opportunity.

Rental income is only one of the figures you add to line 17. The majority of that figure is pass-through from an S Corporation.
Just showing I earned every dollar.
I actually help people
Because I think the crypto market can be huge in the next 5+ years

Again, what part of "send the coins in advance and wait for an arbitrage opportunity" do you not understand?

You don't have to deal with transfer times. At all. You

I've been lurking Veeky Forums since my teens... I'm 31 now. This is where I started. This is where I hang. I live a very modest life, aside from a couple cars. I also take care of a few different households. I'm not the arrogant prick kind of guy with money

not if you have enough funds on both exchanges. then the transfer can take as long as it wants. maybe an arbitrage opportunity in the other direction appears and you dont even have to transfer

Black and yellow?! POYB!

>Again, what part of "send the coins in advance and wait for an arbitrage opportunity" do you not understand?
That would require you to predict which exchange will drop in price or the other will rise in price. If you're holding ETH on the cheap exchange, then you have less arbitrage opportunity since you have to transfer it to the expensive exchange to sell it before you buy more ETH on the cheaper exchange.

>That would require you to predict which exchange will drop in price or the other will rise in price.
Let me be very clear newfaggot.

Foreign exchanges are up. American exchanges are down. It's just that simple.

And yes, you can't spam the same arbitrage over and over again in minutes. If you could, there wouldn't be such arbitrage. It takes a day or two to get into position, that's true. So you can't do this too often, that's true.

>Foreign exchanges are up. American exchanges are down. It's just that simple.
So prediction like I said. That's not arbitrage. That's market timing :^)

No retard.

It's "risk-free". That's called arbitrage.

I am able to buy into Gemini, buy ETH with the money I just put in Gemini, sell the same amount of ETH on a Chinese exchange for a higher price, and cash out the money from the Chinese exchange back to the bank I used to buy the original ETH from so quickly it's almost arbitrage. Technically, I'd have to do it at the same time to really be arbitrage, but the speed I can do it in now makes it almost arbitrage.

There is no waiting for transfer times. Withdrawls from the foreign exchange are essentially instant and so is buying with Gemini.

So I manage to recover the exact same position in USD and ETH I started with but with a little extra money.

that's what arbitrage is you colossal fucking retard.

>that's what arbitrage is you colossal fucking retard.
But the retard here is you because you predicted that the Chinese exchange will (always) go up. That's not arbitrage. If you were holding ETH on the wrong exchange, then you wouldn't be having this conversation. Real arbitrage does not depend on where you hold your asset in the first place. How dumb are you? You're making money so congrats anyway but don't think what you're doing is arbitrage.

Holy fuck this guy is retarded.

I'm not predicting the market will go up you stupid fuck.

All that matters is the difference between the two markets.

One is low and one is high. The movement doesn't fucking matter, at all. I sell on the high one and buy on the low one at the same time.

I never once predicted the chinese exchange will go up. I said that because it happens to be different than the American exchange, you can arbitrage it.

Can someone explain to this stupid fuck how wrong he is? This is getting ridiculous.

>I'm not predicting the market will go up you stupid fuck.
Yes you are. You placed your ETH on the Chinese exchange. How dumb are you that you can't remember your own conversation?
>"send the coins in advance and wait for an arbitrage opportunity"

well I believe that you have a really bad idea of arbitrage and maybe a misconception at all. Arbitrage is the opportunity to reduce the price discrepancy on different exchanges etc. it could be also on the same exchange and it's not that the cause of the market tanking. There are many reasons. Let me first explain a couple:
1) Price of Eth increased since the beginning of June cause of many hyped ICOs, etc kept rising but the ETH/BTC rose from 0.10 to 0,15 so there's a big difference in weekly growth %.
2)Many ICOs started cashing out some eth and the price went down
3) 90% of the people who actually use their brain and don't listen to the shills but actually do some DD before buying a coin predicted the market tanking, and eth dipping to around 250$ as soon as he broke the 400$ mark. Believe what you want, I'm actually one of the guys you talked with via mail.

(the Blancpain is nice, but I prefer the Balboni (which is a good investment too ;))

It won't. I've been reselling btc on cex.io for a while now.

arbitrage only works well with bitcoin currency pairs not fiat. You need to be able to send them money back and forth quickly you can't do that with fiat

Try doing it with more than $100 worth

if you want to discuss how arbitrage is done you should learn that you have 100Eth 10BTC 10kUSD 10K EUR etc on every fucking exchange and you just take every opportunity. regarding with crypto it's a bit different cause volumes and volatility affects the price much more than FX but the idea is the same

No I'm not predicting the market will go up.
Try to keep up.

I'm predicting that the Chinese market will be higher than the US market, not that it will go up.

Again. I will explain AGAIN.

I buy 1 ETH on the US exchange for $300, sell 1 ETH on the Chinese exchange for $380, then put $300 back into the US exchange, ALL AT THE SAME TIME.

Thus I started with $300 and 1 ETH and ended with $380 and still 1 ETH and the markets have not moved at all. The markets stayed put. No going up or going down.

Because it all happened at the same time, there was no risk. That's called arbitrage.

lol. You're right dude, but what's your plan for getting your $$$ back out of the foreign exchanges? Also, I'm experiencing significant time delays in wire deposits, exchange transfers, etc. What's your plan for this?

Please help me explain to this fuck what arbitrage is.

My best and final attempt:

I'm done. I tried to explain to him how he could profit but he doesn't understand. just to mention to do a good arbitrage either you use a bot or you have something around 25+k but 100k would be fine so you don't spend all the arbitrage opportunity in fees and other txns costs

>No I'm not predicting the market will go up.
I didn't mean the entire market. I meant a specific market relatively. You predicted the Chinese market would be up relative to the US market. Will that always hold true though? Maybe but it's not true arbitrage. It's market timing plus maybe a little arbitrage.

>I'm predicting that the Chinese market will be higher than the US market, not that it will go up.
Well, looks like I got an admittance out of you :^)

Hey I don't care how he makes money but he needs to KNOWLEDGE self. Can't call a cow a donkey now. I do congratulate him.

>You predicted there would be an arbitrage opportunity
>Therefore it's not really an arbitrage opportunity
It's not market timing you dumb fuck. If the opportunity disappears, I lose nothing.

It is, quite literally, "free money." If the opportunity disappears, it doesn't mean the money wasn't free. It just means there isn't any more free money.

I am being trolled here. Surely.

No, he parks in away that doesn't let other cars shitty doors hit his nice car.

This thought passed your dense skull because the only door you have to care about is probably the one that is automatically opened and closed for you on the fucking BUSS.

Here you go. Pic related.

I wanted to transfer my folds and sell them for 300% profit but guess what: these shitty fuck exchanges have other plans.

Did anyone manage to get FLDC out of poloniex today?

Correct. I park it way the fuck away from everyone. Also, my buddy has 2 spaces at his house and no cars... so I used both. Shruggy guy

Wow. You really are an idiot. Stop scaremongering. Arbitraging makes markets more efficient until there are (theoretically) no price discrepancies. It's a good thing, not a bad thing.

Take a simple example: X Asset sells on Exchange 1 for $30 and on Exchange 2 for $35.

When I buy from Exchange 1 and sell on Exchange 2, I am putting upward pressure on the price of Exchange 1 and downward pressure on the price of Exchange 2.

Economically: Less people will buy from Exchange 2 when they can get it for $30 from Exchange 1. Demand is way down from Exchange 2, prices decrease. Demand is way up for Exchange 1, prices increase. Eventually these prices will converge in an efficient market.

This is not difficult to understand. This is the most introductory/basic level of economics.

Sorry, haven't checked that email in a while. I think my new strat will be to just buy and hold 30 BTC when/if they get down around 2500 and hold long term. Might gamble a bit with the other 25k... LTC, ETH, XRP, STRAT, DASH, Monero, ANS. what do you think?

Not that guy, but please explain if youre not LARPing.

Say you have 10 eth on coinbase and you sent 10 to some foreign exchange with a higher price. After you sell those 10, and buy 10 locally, where is the 30k money in the foreign exchange sent? Your friends bank account? Once there, how does he get that back to you if youre only able to send less than 10k here and there without alerting authorities which would get your accounts frozen? Also are you worried abt the exchanges somehow working together to mark you and seize your shit?

Good analogy.

That makes sense, thank you. Obviously my fucking background is not in Economics. Give a nigga a break.

Crypto is fun so far. I have ANS, ETH, and LTC... all of which I bought for ~20% more than their current market values. I've only been at it for 4 days... but I'm obsessive when I get really interested in something. I've been reading a metric fuckton and have learned a lot. I'm not worried about any of the money... because I truly do believe there's long term value. These are only unrealized losses so far so long as I continue to hold. And, if they all tank, I won't have lost any more than I can afford to/brought to the table to gamble with.

hey Lambo-man, send a poor user brother a little ETH and help me get into this arbitrage game!

0x22Ac60455Dc40391f4Bd271450DD10eaE3dF0251

>ANS
nice choice, good sir. i've been holding it strong for 5 days. maintaining sick gains despite it being down 30% from ath currently

You don't need a background in economics to understand this stuff. That was my point. It's the most simple level of supply and demand. If everybody wants something, supply is limited, prices increase. If everyone wants to sell something, there is oversupply. prices decrease.

Take a simple economics course on Khan Academy or something. It will help you gauge trading entry and exit points. It can only help you to expand your general knowledge base. Try to make your cryptocurrency fascination into more of an investing activity and less of a gambling activity.

So, wait. If I notice a discrepancy between Poloniex and Bittrex, what stops me from buying ETH via Polo, sending it to Bittrex, selling it for BTC, then transfering that BTC back to Poloniex to do it again? And again, and again, and again? What am I missing?

...

Too bad I bought it at 480k... lol. I was trying to get on the elevator with all my frands and then the motherfucker stopped and dropped 180 floors. Holding til conference/after.

Transfer delays. It can take hours to get BTC on bittrex

>buys where supply is too high
>sells where demand is too high

uhh, that benefits the market you yokel.

Fuck shit fuck. Shit. Fucking Jihan Wu cucking me again.

having 75% of your portfolio in bitcoin it's not a good choice, but having 90% in alt coin it's a bad idea too, I personally would like to have around 60% between etc/eth/ltc, 20% between other coins very valuable, XMR and STRAT are 2 of them (I'm very skeptical about ANS, tomorrow there will be a meeting and we will know the destiny of this coin, I'm mainly concerned about Banco partnership and I see Banco as retarded idea in this early stage of crypto, because ETH it's too volatile and also manipulated by group of whales so you can't provide liquidity using as a store of value something that has a high volatility) and then I'll put 20% of my portfolio on other alt coins with really good potential (easy 10/15x in less than 6 months)

Well, ya know, I'm new... so, like, fuck... gimme a break. I'm learning. I'm pretty well educated, just not in all of this.

Anyway, thanks for your explanation.

This. And due to the volatility of crypto, you could lose a good chunk of your original capital if the market swings against you. It's not traditional arbitrage which is by definition riskless profit opportunity.

lol alright too bad. we'll see what happens

>How will arbitrage ruin the market? Why aren't you taking advantage if it exists? Won't it go away as more people exploit it.
Thank you, Captain Obvious.

You described the very reason why arbitrage opportunities have an extremely short life span, and why arbitrage is extremely risky too.

>60% in eth/ltc/btc...
in what ratios? I like BTC because it seems to have the most potential for a stable climb. When normies and real money get involved, I think this is where they'll go.
>20% XMR and STRAT
Seems legit...
>20% of my portfolio on other alt coins with really good potential (easy 10/15x in less than 6 months)
Such as??

let's take in private, you have my mail, i don't wanna give out this informations, I'm still accumulating :)

Which email were you?? I only spoke with 2-3 people, so give me a cryptic way to identify you.

The ETH-"USD" market on Bittrex (and other exchanges) is Tethers, you fuckin scrub

I'm writing you right now from the same email address

speaking of an arbitrage, eTH/BTC ok kraken 0.110 and on polo 0.1156

...

You guys have a taste of a 7 year old when it comes to cars. Cars depreciate in value, you know?

ITT: NO ONE UNDERSTANDS ECONOMICS

NO ONE UNDERSTANDS SUPPLY AND DEMAND

NO ONE UNDERSTANDS EQUILIBRIUM WILL BE REACHED AND ARBITRAGE IS THE NATURAL FORCE, THE "INVISIBLE HAND"

RETARDS

I'm seriously considering going back to teach in Korea to do this. I think I even still have my bank account there, but I don't think my ID number is valid anymore. I have enough money in crypto that doing this would actually be quite lucrative at this point. Koreans have such a hard on for Ethereum and I've accumulated enough that I could make quite a bit from doing that.

honestly it should be legal to use two spaces if your car is worth 100k+

his Lamborghini won't as well as many other good cars. you just have to pick the right investment (Porsche 918, you could have bought it for 800k and the selling price on the market was between 1.8-2.3 depending on the spec and the fact it had the weissach package or not

Korea it's not convenient anymore, there are other countries where the premium price is more than 50% (won't say where so do not as it)