Arbitrage thread

Why is nobody doing pic related?

>transaction costs does not exist

fukin dumbass look at the volume

Tried that on poloniex once, those fuckers didn't let my deposit go through for 3 hours, and then it completed with an error, took me 2 days and 2 support tickets to get my coins back into my account, luckily the price didn't drop in that time but holy shit I was scared.

>not selling at bittylicious

1k VTC = 1% of total volume
>Slippage
>trading fees
>transactions fees
Kys, brainlet.

that's not how you should arbitrage trade anyway...if you even want to attempt it you should already have the funds on multiple exchanges. buy and sell on both exchanges at the same time, otherwise you'll get fucked.

fees are usually around 0.25% for takers so you are paying 0.5% to make 2 trades. Also the "price" listed there is the average of bid/ask, you have to buy from someone asking and sell to someone bidding and the bid price is higher than the ask price, so you would end up paying more than the $5.19 price (because that's the average of the bid/ask) and selling for less than the $5.33 price (because again that's the average of the bid/ask)

let's say the bid/ask spread on both exchanges is 2 cents (doubtful because volume is so low) so you could buy for 5.20 and sell for 5.32. Now you have BTC on one exchange and VTC on another and eventually you have to settle up the exchange wallets, pay the transaction fees .. did you just lose money?

I suppose I did, thank you for the answer.

Also thanks

Yes this I wanted to to.

If the the spread is less 10%, its not going to be worth it. Withdrawal and deposits takes time. You need eth to transfer back and fro to buy and sell the vtc. The spread of eth in both exchanges will eat your gains also.

holy shit OP you're a literal fucking genius, surely no one has thought of this

I buy ETH at 290 and sell at 310

this
people keep thinking it's all about buying on A, moving to B, and then selling
but the trick is: have the money on both, and sell your xcoin on A, while buying the same number on B
you just did nothing, but you increased how much coin you have total
it's ez

But at some point you would have to move them over because there might be an imbalance right?

yeah downside is you have to be constantly holding some shitcoin which can crash on you any second

Bots have already been written to exploit this nearly everywhere. You'll only get pennies if you attempt to enter arbitrage.

That's stupid
We all do that anyways, and vrt won't crash

true. the balancing part would need to be figured out
but balancing can happen w/o the feeling of a rush of GOTTA GET A TO B TO SELL!
all the background balancing could be simply automated, me thinks

I'm building arbitrage bots, it's pretty capital intensive to run as you need multiple accounts with liquidiity for trading. There's also challenges with handling some of the fallback positions with hanging trades, API failures, etc.

Still, it pays out over time with good trading pairs.

How much do you make with how much capital at stake? Like monthly?

Through each app thats running around $40 a day through arbitrage from a $1250 invested per app.

Currently running 4 apps, looking to build in some new features to increase number of transactions going through each app.

Of course thats $40 excluding increasing market. Actual USD value is going up alot more by just by being in the market

Wow I must admit I'm a little jealous. I've tried hard but I guess I'm just not a good enough programmer for this sort of stuff. meh.

Ofc supposing you tell the truth

The difficult thing is planning all the logic, not so much the programming. Setting up autorebalancing, dealing with unfufilled orders, creating metrics to monitor the apps performance. If you're just buying and selling it's pretty easy. With taker fees at on average 0.2%, just set the triggers to buy when the difference between exchanges is >0.6%. This covers fees, and gives some profit. Anything higher is a bonus

how to even begin?

Check out Coss.io if you are looking for arbitrage opportunities