Arbitrage trading exploits temporary price discrepancies of the same asset across different exchanges or markets to lock in near-risk-free profits. In crypto, this often involves buying an asset (like BTC) on Exchange A where it's priced lower and simultaneously selling it on Exchange B where it's priced higher. The speed of blockchain transactions enables strategies like spatial arbitrage (across exchanges), triangular arbitrage (using three currencies within one exchange), or cross-border arbitrage (leveraging regional price differences). While theoretically profitable, successful arbitrage demands ultra-fast execution, low fees, advanced monitoring tools, and significant capital to overcome slippage and withdrawal delays. As markets mature, these opportunities become scarcer and highly competitive, requiring sophisticated infrastructure to capture fleeting inefficiencies.#ArbitrageTradingStrategy
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