I finally decided to figure out crypto arbitrage, not just read the theory. The core idea is simple: you catch the price difference of the same asset across different platforms, buy it cheaper on one, and sell it for more on the other. It sounds simple, but there are nuances here.

Why do these kinds of differences even arise? It all depends on supply and demand on each exchange, on delays in updating the quotes, plus regional factors—different countries have different laws and different levels of interest in crypto. It’s exactly these differences that create opportunities for crypto arbitrage.

There are several options. Inter-exchange—this is the most straightforward one, when you buy a coin on one major platform and sell it on another. For example, you bought Ether on one exchange, transferred it to the second, and sold it higher. Intra-exchange—this is when, on a single platform, you spot a difference between trading pairs, like ETH paired with USDT being cheaper than it is via BTC. You convert back and forth and profit from the spread. There’s also a triangular option: you exchange the currency through several pairs in sequence on the same exchange—USDT to BTC, then to ETH, back to USDT. And regional arbitrage— you buy crypto on an international platform, then sell it locally via P2P with a markup.

To get started, you need accounts on multiple exchanges (— I already have that )— and balances funded with stablecoins like USDT or USDC, which is most convenient. Then you monitor prices via special websites or bots. The main thing is not to forget about commissions. If you don’t account for them, it’s easy to end up in the red. Transfers should be fast—otherwise, while the crypto is on the way, the price may reverse. It’s better to use fast networks; TRC-20 or BSC handle transfers quickly.

Here’s a simple example. On one major exchange, BTC is 96 thousand, on another it’s 96,100. You buy there, transfer it here, and sell. The profit is a hundred dollars minus commissions. It doesn’t sound hard, but there are a lot of hidden pitfalls. Fees for deposits, withdrawals, and exchanges—they can wipe out all the profit. Delays in transfers—while the money is going through, the market may drop or rise. Withdrawal limits exist on many platforms. And there’s always the risk of getting blocked due to regional restrictions.

Crypto arbitrage is a real method that works if you do everything carefully and calculate every last penny. But it’s not a magic way to get rich. It would be interesting to hear the opinions of people who are already doing this. Maybe I missed something?