Cryptopia Arbitrage - how to earn really?

[DancoB]

Hi,

i find arbitrage trading as nice source of income, but in crypto world and here on cryptopia i am little bit newbie.

So, i would like to ask how exactly can i earn with this service from Cryptopia?

 

I just find some coin e.g. first coin - AudioCoin. I see its last price on Cryptopia is 1,999DOGE right now and 1,341 on Bluetrade.

So ich i take 1000DOGE and buy AudioCoins on Bluetrade (=745ADC) and then move them here on cryptopia and change them here back to DOGE (745ADC=1489DOGE).

So I just earned 489DOGE minus some fees.

 

Is my calculation correct?

What are the fees?

Is it worth it to do?

 

Thank you for your help and clarification.

[1715627316]

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[albio87]

i've done it sometimes, and, it depends on a lot of factor. You have to follow some rules:
- check volumes in both exchanges, cause sometimes (most of) low or hight rate are given by small purchases, so you have a misleading situation where you will buy a big amount on exchange A, will send to B paying fees and realising that you have let's say 745 AudioCoins (bough at 1,341DOGE) but in buy order ther's just 0.5 audiocoins at 1,999DOGE and the other are less than 1,341 so you are losing money =D
- if you check and the volumes are ok you have to consider the transaction time, some coins need 6 confirmation other 200, so it could take from minutes to days
- before the purchase check the possibility to deposit and withdrawal in both exchange

finally it's possible to make money but most of the time will lose.

The best practice is to buy low on small volume and sell hight on high volume (buy on livecoin sell on bittrex)

[thisisdmitry]

i've done it sometimes, and, it depends on a lot of factor. You have to follow some rules:
- check volumes in both exchanges, cause sometimes (most of) low or hight rate are given by small purchases, so you have a misleading situation where you will buy a big amount on exchange A, will send to B paying fees and realising that you have let's say 745 AudioCoins (bough at 1,341DOGE) but in buy order ther's just 0.5 audiocoins at 1,999DOGE and the other are less than 1,341 so you are losing money =D
- if you check and the volumes are ok you have to consider the transaction time, some coins need 6 confirmation other 200, so it could take from minutes to days
- before the purchase check the possibility to deposit and withdrawal in both exchange

finally it's possible to make money but most of the time will lose.

The best practice is to buy low on small volume and sell hight on high volume (buy on livecoin sell on bittrex)

albio87 Thanks for your tips, very helpful.
The example DancoB has provided would not work in real life as audiocoin daily turnover on those exchanges is minimal, you can't buy or sell these amounts.
Best of luck, share with us if you succeed 

[Gaius Cryptus Tradius]

i've done it sometimes, and, it depends on a lot of factor. You have to follow some rules:
- check volumes in both exchanges, cause sometimes (most of) low or hight rate are given by small purchases, so you have a misleading situation where you will buy a big amount on exchange A, will send to B paying fees and realising that you have let's say 745 AudioCoins (bough at 1,341DOGE) but in buy order ther's just 0.5 audiocoins at 1,999DOGE and the other are less than 1,341 so you are losing money =D
- if you check and the volumes are ok you have to consider the transaction time, some coins need 6 confirmation other 200, so it could take from minutes to days
- before the purchase check the possibility to deposit and withdrawal in both exchange

finally it's possible to make money but most of the time will lose.

The best practice is to buy low on small volume and sell hight on high volume (buy on livecoin sell on bittrex)

Really good points. Especially the volume is the point on which you can't be sure. Maybe you will end up with a bag of shitcoins. Since you move the market too much with your orders

[cryptor47]

i've done it sometimes, and, it depends on a lot of factor. You have to follow some rules:
- check volumes in both exchanges, cause sometimes (most of) low or hight rate are given by small purchases, so you have a misleading situation where you will buy a big amount on exchange A, will send to B paying fees and realising that you have let's say 745 AudioCoins (bough at 1,341DOGE) but in buy order ther's just 0.5 audiocoins at 1,999DOGE and the other are less than 1,341 so you are losing money =D
- if you check and the volumes are ok you have to consider the transaction time, some coins need 6 confirmation other 200, so it could take from minutes to days
- before the purchase check the possibility to deposit and withdrawal in both exchange

finally it's possible to make money but most of the time will lose.

The best practice is to buy low on small volume and sell hight on high volume (buy on livecoin sell on bittrex)

Great post. I did some imaginary arbitrage and it failed 2 out of 3 tries. Either it took to long to transfer the coins or the price dropped to fast. Never looked at it again as I don't see how to make it work.

[puremage111]

Hi,

i find arbitrage trading as nice source of income, but in crypto world and here on cryptopia i am little bit newbie.

So, i would like to ask how exactly can i earn with this service from Cryptopia?

 

I just find some coin e.g. first coin - AudioCoin. I see its last price on Cryptopia is 1,999DOGE right now and 1,341 on Bluetrade.

So ich i take 1000DOGE and buy AudioCoins on Bluetrade (=745ADC) and then move them here on cryptopia and change them here back to DOGE (745ADC=1489DOGE).

So I just earned 489DOGE minus some fees.

 

Is my calculation correct?

What are the fees?

Is it worth it to do?

 

Thank you for your help and clarification.

It would be somewhere around but volume of buying and selling is the factor that you will be looking for

Arbitrage takes time as confirmation for different exchange differ but it will worth depends on opprtunities u found xd

[DancoB]

i've done it sometimes, and, it depends on a lot of factor. You have to follow some rules:
- check volumes in both exchanges, cause sometimes (most of) low or hight rate are given by small purchases, so you have a misleading situation where you will buy a big amount on exchange A, will send to B paying fees and realising that you have let's say 745 AudioCoins (bough at 1,341DOGE) but in buy order ther's just 0.5 audiocoins at 1,999DOGE and the other are less than 1,341 so you are losing money =D
- if you check and the volumes are ok you have to consider the transaction time, some coins need 6 confirmation other 200, so it could take from minutes to days
- before the purchase check the possibility to deposit and withdrawal in both exchange

finally it's possible to make money but most of the time will lose.

The best practice is to buy low on small volume and sell hight on high volume (buy on livecoin sell on bittrex)

Thank for explanation.
So it means, higher the volume and more popular the coin is, closer the prices on exchanges are, correct?

But last sentence gives me some hope. And it makes sense because volume is not problem when buying. Its the selling back to base coins that is problem.

4All: do somebody know about automated arbitrage system working on APIs from different exchanges to eliminate time to execute order and moving assets?

[albio87]

Yep  when you buy at low volume with the possibility to sell at high volume It's safer  but remember always to check clicking on the deposit box how  many  confirmation the transaction need. Cause in general the a big difference in price is given by 2 factor:
-the exchange with the high rate has deposit and withdrawal blocked for that Coin
-the Coin is in the middle of a pump so the exchange with big volume Will react sooner but sooner Will dump

Last, i don't know about api but i Think it's difficult cause to transfer Coins you have to confirm each transaction by pin or by email

[Zeix]

Never tried it myself, but theoretically it would work, if you already own many coins at many different exchanges.

Let's say you have 2000 coin A and 1000 coin B in total.

- Have 1000 coin A, 500 coin B at exchange 1, and the 1000/500 at exchange 2
- If the opportunity comes up, let's say coin B costs 1,9 coin A to buy at exchange 1. And at exchange 2 it sells for 2 coin A.
- Assuming there is enough volume on both. Buy 500 coin B for 950 coin A at exchange 1. AT THE SAME TIME, sell 500 coin B for 1000 coin A at exchange 2.
- You end up with 50 coin A + 1000 coin B at exchange 1. 2000 coin A + 0 coin B at exchange 2. You now have 2050 coin A and 1000 coin B in total.
- You made 50 coin A profit (minus fees of course), all you have to do now is rebalance your coins so you have 1025/500 on both again and wait for next oppotunity.

This way you don't have to consider transaction time, as you are moving your coins after your deals are done.

I said theoretically, because you have to consider, you are not the only one in the world seeing this opportunity. But to make profit, you have to be the fastest one in the world.
Using an automated bot wouldn't change this fact. All bots in the world would see the same opportunity, trying to execute the same trade at the same time, but only 1 can succeed, while all the others are probably executing loosing trades.