Bitcoin Forum

Disclaimer: I know this probably wont work because it's way too easy. So can someone educated in bitcoin arbitrage maybe offer some insight?

1. Bitcoins in bitfinex are priced at 950, mt gox at 1000 for example

2. I transfer bitcoins to mt gox make $50

3. I need to repeat this process:
a. Get bitcoins into bitfinex
b. Transfer to Mt. Gox etc.
c. Convert to USD - make profits
d. Use USD to get more bitcoins
e. Transfer bitcoins to bitfinex again
f. Repeat


I know you can do this slowlike with a bank account, but is there any other way to do it faster?

No, and withdrawing USD from MtGox might take weeks or months

even if it would take only few hours you could loose very easily as price is lately very dynamic. Unfortunately BTC exchanges (ironically) are bound to Banks and other traditional money institutions.  Currently only way is to make normal trading (buy/sell).

Your steps don't make sense. Transfer BTC to bitfinex, then transfer it to Mtgox, then convert to USD, then convert back?

I think this is what you mean:

a. Transfer USD to bitfinex.
b. Buy BTC on bitfinex.
c. Transfer BTC to Mtgox.
d. Sell BTC on Mtgox.
e. Repeat.

Anyway, you are certainly not the first to come up with this idea. There are probably a hundred posts just like your in this forum alone. There are even websites and bots that do this. The reality is that there is a big spread because nobody is able to take advantage of it, even though plenty of people are trying. Do some more reading to find out why it doesn't work.