Post
Topic
Board Trading Discussion
Topic OP
Cross-exchange price ticker
by
geoburke
on 30/04/2013, 18:38:53 UTC
Original blog post at: https://www.crypto.st/blog/2013/04/jumpstarting-the-old-ticker

Introducing one of the first cross-exchange bitcoin and litecoin price tickers, and you can guess what that means... hint... it rhymes with marbitrage.

https://www.crypto.st/files/large/1645a3c22e97c19
https://www.crypto.st/files/large/0a8a27358e675f0

Crypto Street is hard at work doing our development and beta testing.  We just got our cross-exchange price ticker working for Bitcoin-to-Dollars and Litecoin-to-Dollars, which aggregates the order books from various exchanges including BTC-e, MtGox, Vircurex, and Bitstamp. We notice something pretty remarkable -- the Bids are higher than the Asks.  No, this is not a programming error.  It's a true representation of the fragmentation in the market at different exchanges.  

Enter Crypto Street:  As a meta-exchange, we'll provide liquidity by leveraging the volume across other well-established exchanges.  And since it's difficult to shuffle dollars (or other fiat money) from one exchange to the next, pricing gaps occur between the exchanges.

We've all bought bitcoins at BTC-e and sold for $5-10 higher at MtGox, but have been hung up on how to do it over and over again since it's not easy to instantly fund BTC-e with dollars.  When Crypto Street launches, we'll hold massive funds within each exchange, eliminating the need to figure out this funneling.  Just place orders through Crypto Street and we'll handle finding where to get you the best price.

So what rhymes with marbitrage?  Car garage?  Smart massage?  Nahhhh... I think you get it.