How to Trade Crypto Arbitrage and Double Your Bitcoin

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With the traditional centralized banking system in crisis many people are looking for alternative, low-risk means of storing their funds and earning a passive profit on their savings. 

An increasingly popular option, these days, is crypto arbitrage. In this article we’ll examine how it generates profits, looking at the various types of arbitrage and the pros and cons that need to be weighed, before diving in and committing your capital.

Crypto arbitrage involves exploiting brief price discrepancies. Taking advantage of fleeting price differences between exchanges requires a speed and processing power that is almost impossible to achieve manually. So, it is generally performed using algorithmic trading software. 

The bot will simultaneously track all the coins available on multiple exchanges, 24/7 seeking out price differences. 

On finding a disparity, it will make a profit by buying the coin on the exchange where it is valued lowest and then instantly sell it wherever it is valued highest.

While a bot can work at incredible speed, automatically executing a large volume of trades every second, it is only as good as its programming.

 It is advisable to be cautious, and do your homework, checking the profit percentages, reliability, trading fees and reputation of your chosen bot.

While crypto arbitrage always involves taking advantage of price discrepancies, there are a few different strategies that can also be implemented.

In its simplest form, crypto arbitrage involves buying a coin cheaply on one exchange and then selling it on a different exchange for a higher price. This can be also performed across both centralized and