Post
Topic
Board Trading Discussion
Re: Does anyone knows Bitcoin Arbitrage?
by
subSTRATA
on 04/06/2015, 19:37:59 UTC
Does anyone knows Bitcoin Arbitrage?

How does it works?

Please explain
Bitcoin Arbitrage is taking advantage of the price different between 2 exchanges. Say if exchange 1 has buy orders for 100$. And Exchange 2 has sell orders for 99$. Then you would buy from E2 and sell at E1. For every bitcoin you will get that 1$ extra, which is arbitrage.

For discussions regarding arbitrage found this thread : https://bitcointalk.org/index.php?topic=528691.0 .

yup. you should also keep in mind that arbitrage in terms of anything; exchanges, bookies, etc, is only very profitable if a large amount of capital is used as the percent variance is very small. in the most ideal cases you would only be seeing 2-3% profit.