Arbitrage Algorithm
Last updated
Last updated
| Definition of Arbitrage 'Arbitrage' is an investment strategy that seeks profits by exploiting price differences in the market. Typically, the same asset is traded in different markets, and price differences can occur between these markets. By buying the same asset at a lower price in one market and selling it at a higher price in another market, investors can make a profit through arbitrage.
Based on the attached image, for example, one can use the arbitrage strategy to pursue profits by buying Polkadot at $7.21 on Binance exchange and selling it at $7.37 on Bithumb exchange, making a profit of $0.16 from the price difference. By utilizing small price differences in this way, one can pursue profits through arbitrage strategy.
| DLP's Arbitrage Algorithm The algorithm implemented by DLP is based on years of practical operation that has consistently generated profits. Currently, numerous blockchain projects use this algorithm, which helps them increase their holdings of their own tokens and Tether. Part of the profits are reinvested in the DLP ecosystem. Below is the usage status of A company and B company's DLP Arbitrage Algorithm as of 2:00 PM on March 13, 2023.
[A Company's Usage Status of DLP Arbitrage Algorithm]
Usage Time: 1,464 hours
Usage Locations: Houbi / Gateio / MEXC
Profit Rate: APY 36.6%
[B Company's Usage Status of DLP Arbitrage Algorithm]
Usage time: 1,461 hours
Usage location: Poloniex / Gateio / MEXC / BKEX
Profit rate: APY 51.7%
The algorithm in question is not limited to centralized exchanges as shown in the reference data, but is also integrated into decentralized exchanges and generates steady and stable profits through automated systems.
