Idea for crypto arbitrage service

[elpeter84]

Hi All,

We are testing a new service and wanted to get your thoughts to see if it will be helpful and has value for those who do cross-market crypto trading: http://52.166.79.242  It helps to find best arbitrage deals across different crypto exchanges.

Let me know what you guys think? Any feedback will be helpful! Thanks!

[turbulence]

not visiting that

[Hoobleton]

not visiting that

LOL yeah, not in a million years.

[elpeter84]

Sorry for confusion - it's not a dangerous domain. This is an early project for us so we put it in a free domain. One thing - some of your firewall or anti-virus programs might block it since it's not a standard letter-based domain.

We value your privacy and simply want to get your opinions if this will be of any value. This way we can decide whether or not to put more time and work into this.

[BitLimiter]

Your idea is good, but is the information about its crypto arbitrage correct?

[elpeter84]

Your idea is good, but is the information about its crypto arbitrage correct?

Thanks BitLimiter!  Currently, the service works with 16 different markets such as: Bitfinex, Kraken, Bittrex, HitBTC, Exmo, Poloniex, Liqui, GDAX, xBTCe, Binance, BitStamp, itBit, ANX, OKCoin, BTCC, BTC Indonesia. The algorithm analyzes the following currencies: USD EUR BTC BCH LTC ETH ETC XMR ZEC. Also, we have developed the option to be able to remove certain currencies from specific exchanges (currently removed from public access)

At this time, the algorithm can generate best trade routes with up to 5 transactions in depth across all available markets (10 transactions limit will be added in the future). Also, any user is able to select the starting point - from which market/currency s/he would like to start trading, as well as be able to specify where to finish.

On the left, users will also see the option to add specific trade routes to favorites (will appear in green). This way any user will be able to save and monitor live updates for each specified trade route. For all the other results - our service will update the page every 15-20 secs and display the newest 10 best results.

We included the following commission/fees from each crypto exchange: network fees, withdrawal fees and trading fees (maker/taker) Please note that for now we’ve added the same 0,25% trade fee for all trades. This way it will put less pressure on our current server because the algorithm calculates the real-time data with over 1,5 trillion possible trades across all markets.

The 0.25% fee is on the higher end, so when the actual fees for each exchange are added, you should see potentially higher returns.

Also, we will be grateful if you could possibly test it and let us know on the outcome. More people will find it useful, more signals we'll get that this project worth the time to be developed into a real business project.

[elpeter84]

As I mentioned before, we are considering to turn it into a full-scale project but we first wanted to get your opinions and possibly test results to see if you guys could profit from it. Please provide your comments and suggestions. We are really looking forward to get your feedback! Thank you!

[tyuner4]

From your explanation, it seems to be a good idea. Perhaps you will like to make a video walk through to show the interface of the system, it will attract more opinions. Do you mind explaining the fees for using your software?

[elpeter84]

From your explanation, it seems to be a good idea. Perhaps you will like to make a video walk through to show the interface of the system, it will attract more opinions. Do you mind explaining the fees for using your software?

Thanks tyuner4! Currently, we don't charge anything for this service. If users' feedback will be positive and we decided to turn it into the full-scale service, then we consider to charge $20-$50 a month. You are welcome to try it free now and all we ask for is your feedback and recommendations for other users.

Also, I would like to explain that this is an information-based platform. So you would use information generated by this service and then follow the trade paths from your own accounts on each exchange.

Great recommendation for the video walkthrough btw! We will most def be adding it later on. For now the interface is very simple. There is start path (Arbitrage Start Settings) and end path (Arbitrage End Settings) filters which you can find on the top right and left corners. Once the trade path results are generated, the info will be reflected under the following columns:

"Watch" - this button is very useful if you found the trade route which you want to monitor (and possibly use for a trade) Once you clicked the "+" button, you will then be able to save it. Even if you close the page and then open it again, your trade path selection will be saved.  All other results will be updated every 15-20 seconds to find ones.

"Info" - this comment contains the following information: from and to from which crypto exchange and currency to trade from and to. In example, if you search results has shown Kraken-BCH to Kraken-USD that means that you would need to login into your Kraken account and make the first BCH to USD trade. Price is the price indicator showing how much of your current currency you are paying to get the new one. Reverse price is the price indicator of how much the currency you are getting costs in comparison to the currency you using to initiate the trade. Commission indicated the standard trade fees that each exchange charges (currently, we put 0,25% for each trade, I will put the explanation about it in my next reply) 

"Profit" - this column will show the total profit for each result. So if you follow all trade routes you will get that profit in %.

"Rate" - this column shows the total exchange rate you will get from your initial currency you start the trading from and to the last one. So if you started with 1 BCH and ended your 5 transactions' trade with 550 USD as your final currency, then your rate will be 550.  

"1" "2" "3" "4" "5" is the number of transactions you have to make to get the "Profit" It's the depth of each generated result in order to get the best return for selected currency / exchange.
  
I think that explains it a bit better! please let me know if I could clarify on anything else

[elpeter84]

not visiting that

sorry turbulence! Please see above comments. I hope you can still try our service and give us your feedback!

[elpeter84]

FYI on the same 0,25% maker/taker trade fees:

In order to make calculations more precise, we’ve included the following commission/fees from each crypto exchange: network fees, withdrawal fees and trading fees (maker/taker)

Please note that for now we’ve added the same 0,25% trade fee for all crypto-exchanges. This way it will put less pressure on our current server since the algorithm calculates the real-time data with over 1,5 trillion possible trades across all markets. If we put different fee % that each exchange charges, then I am afraid the current server will not make it and users may experience long delays in receive the data.

On the good side - this 0,25% is temporary until we decided to move on with the project. Also, as you probably know 0,25% taker/maker fee is on the higher end and many exchanges charge less. So once we update the logic with applicable fees, the actual profit results should be higher.

[elpeter84]

Great news! We have added the live quotes for currencies features across many crypto exchanges! Please visit our web site http://52.166.79.242 and click on 'Quotes' (new) link.

Still trying to figure out on how to add screenshots to replies in here ?!

[elpeter84]

Good morning/day/evening/night to all!

Based on the positive feedback we got from different forums and with direct messages, we have decided to outline the dev roadmap for the next 2 weeks:

1. Add ‘my account’ feature - ability to sign up and login into your accounts.

2. Add ’notifications’ feature - ability to receive alerts based on selected parameters: exchanges, currencies, preferred min profit and arbitrage window width calculation. These notifications will be derived into the email (users with fake email accounts will not benefit from this feature); also alerts will be arriving through a Google Cloud message (Chrome notifications) and from the web site’s account interface.

3.  Add ’arbitrage window width’ calculation. Currently works in beta, however, in order to improve prognosis it needs additional 2 months of statistics/data.

4. Order book data support.  

5. Ability to setup a max profit amount on the arbitrage trade.

6.  Moving to upgraded servers with the ping rate of 1 ms to exchanges

7. Moving to a normal (letter-based) domain with https protocol. We received some feedback that some users cannot open the current domain we have since it gets blocked by antivirus programs.

8. Add access to arbitrage data through rest-API.

9. Ability to receive quotes and order books via web-sockets (and possibly through tcp)

10. Add ‘technical analysis information’ feature. This feature will be useful for those who do long-term trading. We already have this mechanism ready, just don’t have enough time and people to integrate it into the web site interface

11. Add ‘historical charts’ - this feature will allow to pull charts based on best prices and specific exchanges. Also, users will be able to add and save technical indicators into the chart.

DONATIONS - guys we are working very hard to get this setup ASAP based on your wishes and feedback. The monthly charge for hosting, servers and maintenance will cost us about $500 / month. So we are really hoping that each of you who will be using our service will be able to donate at least a portion to help us. Any amount will be greatly appreciated! This will help us to finish the features roadmap on time and provide you with an awesome tool/service in 2 weeks.  Later on today, we will be setting up a donation information section on our web site. For those who will be making donations, please send the donation receipts to us (we will also add contact info on the web site) and we will try to thank you with additional ‘early-stage’ benefits such as early access to beta-version, CPU and RAM support prioritization , etc.

Down the road, we plan on widening the development around the trading and investments such as: interface trading, order placements, balance reflection in charts and in interface. For these features we would need to setup a really high-end coding/encryption and protection. So these features will require more time to be completed.

Please provide your feedback/questions and I will be happy to answer them or where possible, prioritize requests ahead of time.

Best Regards,
Peter

[bucciarati]

As I mentioned before, we are considering to turn it into a full-scale project but we first wanted to get your opinions and possibly test results to see if you guys could profit from it. Please provide your comments and suggestions. We are really looking forward to get your feedback! Thank you!

there is already a project started two months ago. i don't know if you already know. it is called rialto.ai you can find info here on bitcointalk. there was an ico that was a big success, price was 0,10 usd on ico days an now it is 0,3 stable without even proper exchange quotation. operations will go full scale in october 2017, they will pay a sort of dividend on the basis of % rialto tokens you posses, two times per year.

[elpeter84]

As I mentioned before, we are considering to turn it into a full-scale project but we first wanted to get your opinions and possibly test results to see if you guys could profit from it. Please provide your comments and suggestions. We are really looking forward to get your feedback! Thank you!

there is already a project started two months ago. i don't know if you already know. it is called rialto.ai you can find info here on bitcointalk. there was an ico that was a big success, price was 0,10 usd on ico days an now it is 0,3 stable without even proper exchange quotation. operations will go full scale in october 2017, they will pay a sort of dividend on the basis of % rialto tokens you posses, two times per year.

Hello bucciarati ! Thanks for the info ! Yeah we heard about them, however, our project is different from theirs:
We plan on providing informational services and access to crypto-exchanges while Rialto.ai is more of a trading platform with possible gateway through their own cryptocurrency.

[ahmedjamal1998]

I have tried arbitrage trading a few times and theoretically and on paper I was supposed to be making money.
But I ended up gaining nothing.

For example the service I used (which was actually accurate and legit) said buy "thiscoin" from Exchange A and sell on Exchange B.
I checked prices at that time on both exchanges and yes it was a profitable move. So I went and bought the coins from A and went to withdraw them. Got the deposit address from B and was ready to do it.

And then was the exclamation mark. The withdrawal fees they took for that coin (which wasn't even a well-known one) was very high. Higher than the amount I gained from the arbitrage.

Which meant that if I wanted to have a successful trade I needed to check prices, check if wallets are active, calculate profitability, check withdrawal fees, check if there's min deposit amount.
OH MY GOD !! All that just to get a few bucks ? Hell no.

So I left it once and for all. 

[bucciarati]

As I mentioned before, we are considering to turn it into a full-scale project but we first wanted to get your opinions and possibly test results to see if you guys could profit from it. Please provide your comments and suggestions. We are really looking forward to get your feedback! Thank you!

there is already a project started two months ago. i don't know if you already know. it is called rialto.ai you can find info here on bitcointalk. there was an ico that was a big success, price was 0,10 usd on ico days an now it is 0,3 stable without even proper exchange quotation. operations will go full scale in october 2017, they will pay a sort of dividend on the basis of % rialto tokens you posses, two times per year.

Hello bucciarati ! Thanks for the info ! Yeah we heard about them, however, our project is different from theirs:
We plan on providing informational services and access to crypto-exchanges while Rialto.ai is more of a trading platform with possible gateway through their own cryptocurrency.

hi elpeter84, thank you for the calrification.
adding some info, recently rialo.ai was selected as a partner for hedge-crypto (ico is live now till mid october), that is going to offer a sort of crypto-index plus other key indicators and info, bye

[elpeter84]

I have tried arbitrage trading a few times and theoretically and on paper I was supposed to be making money.
But I ended up gaining nothing.

For example the service I used (which was actually accurate and legit) said buy "thiscoin" from Exchange A and sell on Exchange B.
I checked prices at that time on both exchanges and yes it was a profitable move. So I went and bought the coins from A and went to withdraw them. Got the deposit address from B and was ready to do it.

And then was the exclamation mark. The withdrawal fees they took for that coin (which wasn't even a well-known one) was very high. Higher than the amount I gained from the arbitrage.

Which meant that if I wanted to have a successful trade I needed to check prices, check if wallets are active, calculate profitability, check withdrawal fees, check if there's min deposit amount.
OH MY GOD !! All that just to get a few bucks ? Hell no.

So I left it once and for all. 

Hello ahmedjamal1998! Thanks for your comment! Sorry to hear that you went through such a bad arbitrage experience.

There are 2 main key factors you should consider: A. the size of the arbitrage window (arbitrage opportunity may last for 10 seconds and afterwards, the entire trade chain would become unprofitable. Or arbitrage would depend on the specific amount depending on order book in each exchange. B. Crypto-exchange commissions that are charged during trades.

1.  Our service provides information related to arbitrage opportunities which have the potential to stay available for an extended period of time. This is why we are planing to move to better servers as indicated in our roadmap, so that new server power would allow to generate the most precise arbitrage opportunity estimations. Such estimations are built on statistics such as: already collected arbitrage offers and current order books.

2. I have mentioned in my previous reply on the exchange commissions and that we include them in our algorithm so the profit you see already includes them. Please refer to my previous reply in this post.
You are welcome to check our current site and see if you would like to test on it or even simply review the info and provide more feedback.

Regards!

[elpeter84]

Hi All,

The release day is coming closer and we are finalizing ‘my account’ feature and registration feature for users with personal trade routes. We are building API for those who want to create (code) their own bots and use our arbitrage finder services and/or be able to consolidate order books and live quotes from all exchanges. Also, we are finalizing the mobile phone and email notification feature related to arbitrage suggestions. For all those who plan on using our arbitrage service - we recommend to start getting to know the list of crypto-exchanges and open accounts there. The verification process for exchange accounts (to be able to have the highest limits and trade with all currencies) take some time so it’s recommended to open them ahead of time. And for those who wish to have the service to monitor the live quotes, all it takes is an additional patience.

I would like to remind once again that the we are facing the est. $500 monthly cost to maintain a new server  infrastructure, and so we are asking to support us with this project so that we can develop and maintain it until further stages.  We have added the ‘Support’ button on the top portion of our web site. The direct link is here: http://52.166.79.242/donate

The good news is that we have since past Saturday we have received 372 unique visitors so this is exciting news since we are working days and nights to make this project possible.

Another important thing - please don’t forget to send us your donation payment receipts so that we can prioritize some new beta  services for those who supported us (we will post more info about it later on)

Once we move to new servers this Thursday or Friday, you should be able to monitor live maintenance updates by visiting this link: http://52.166.79.242/roadmap

And most importantly, don’t forget that once we get the new domain name for our web site, we will setup an automatic redirect from the current to a new domain for the 1st week. Afterwards, we will disable the current domain (an old one) in order to provide more backend support for those who provided the initial donations. Remember that we will be adding the beta features for our sponsors first.

Thank you all once again! Feel free to shoot me any questions!

Best Regards,
Peter

[elpeter84]

Hi all! We kicked off the move and as promised I would like to share with you some “plyuh-shki” for those who supported the project:

1. The power reservation: since we have 2 servers that we support, we would then prioritize processes for those who initially supported us focusing on trade route calculations (it will not matter for the small number of users, however, a growing user quanitities will start feeling it)

2. There will be an option to display exceptionally ‘inter-exchange’ arbitrage deals (the trades within one exchange). FYI: for regular users only top 10 results will be displayed based on profitability in accordance with configured settings compliance.

3. The search of the most profitable deals will be set to be configured considering all the trade routes (standard users will have limits meaning that there will a concretization into the starting and end points or else a crypto-exchange and currencies)

4. A future option will be added to increase the depth of search with up to 10 arbitrage transactions.

5. The limit related to cycle deals will be disabled. This improvement will be a convenient option proceeded within the inter-exchange trade. As a result after 2-3 currency circles there will be an opportunity to rounds up several cycles in order to extract profit.