Bitcoin : Unprecedented income or arbitrage on stock exchanges – crypto currency
**Arbitration** is a crypto currency called a chain of logical transactions with digital money in order to profit on the difference in rates. And if arbitration with digital money began to be used only a year ago, then currency arbitrage has been known for a long time, and is successfully used by financial speculators around the world. So this can not be described as something new.
The fact is that on each exchange its rate is roughly the same, but for a couple of percent, or even 5-10% may differ. Buying a crypto currency on one exchange with a low exchange rate at the moment and selling to another with a higher one, thereby getting profit from the difference – this is called arbitrage. To do this, do not need any special knowledge or skills, you must constantly monitor (track) the course on the main exchanges.
**What is the main thing to pay attention to in arbitration.**
Naturally, the course itself, commission for the input of the output of fiat, namely, fiat, crypto-currency, is introduced on all stock exchanges without commission, and the withdrawal differs slightly by the network payment for the transaction.
Another important thing to know is the list of exchange points of codes that provide money exchange services to each other and provide services for crediting or withdrawing funds from the exchange.
**Is it legal?**
I hasten to please you that the scheme of arbitration crypto currency is completely legal and will not raise questions among the authorities. Also, it should be noted that this is a rather risky form of earnings, which depends on financial literacy, speed of action and banal luck.
**The difference between the courses on which it depends?**
The entire arbitrage crypto currency is built on the difference in rates of the cost of the crypt at various trading floors, stock exchanges. So, on one exchange the currency will cost less and you buy it, but on the other you will go there and sell it, it’s already super simplistic. And it’s worth noting, then I presented to you the most common sense, there are different subtleties, like everywhere else, but you can easily find it on the Internet.
**The main steps of arbitrage trading**
* Tracking of quotes on several trading platforms
* Choosing the cheapest offer for sale, buying an asset.
* Transfer of a cryptocurrency to another site with a higher price of a coin, selling it for fiat money.
* Output of Fiat to an electronic purse or search for the most advantageous variant of conversion into a crypto activity for repeating a cycle.
**Pros and Cons of the Arbitrage Currency**
**Pros:**
* High transaction speed, defined by several minutes of transactions and allowing a large number of transactions to be performed daily;
* minimum operational risk due to transaction speed, protection against losses in the unfavorable direction of the course ;
* A low entry threshold, allowing at the initial stage to work with small amounts to gain experience
* ;gaining invaluable experience in combination with the possibility of a detailed study of the market.
**Problems**
* Orientation in the crypto-currency world, ability to operate with exchangers, as well as ways of converting phiatic money into crypto-currencies and vice versa;
* the need to calculate transactions taking into account all transaction commissions;
* a small exchange difference provides for the need for large investments in order to obtain significant profits from transactions;
* need for continuous participation in the process.
And so now we have figured out everything and need to start and understand how we can if not completely reverse the minuses or at least reduce their significance.
**Bots for trading cryptocurrency. Should we use it in arbitration?**
The market of crypto currency requires constant monitoring of the value of a coin on exchanges, of which there are many.
Especially for getting rid of a person from mechanical monotonous work, the Bots were installed, that is, it is a program that is configured to perform repetitive actions; on the market they offer a huge number of bots with different capabilities, conditions and, of course, in different price categories.
In addition, there are many auto-bots on the market that will make deals for you (that is, buy and sell currencies), using different strategies, of course this sounds attractive enough, but if you think about it, you give access to your own income, it does not seem Do you feel that something is not safe, even if the manufacturers assure you of safety and confidentiality. However, how much can you trust them ?! After all, their task is also to earn, and they earn you!
Therefore, proceeding from this: automatic bot, higher distrust than manual, which does not have access to your funds and does not make any transactions.
**For an example of a manual bot, you can suggest Bibitbot**
It works on a platform. A telegram and instantly checks you for a horn or a recession on one or another currency. Moreover, you can subscribe to any world currency or exchange, thereby not limiting yourself in earnings. Another feature is that you can adjust the settings to your preferences.
I hope that the information seemed interesting and informative to you, thank you for your attention.
Bitcoin
Bitcoin is a distributed, worldwide, decentralized digital money. Bitcoins are issued and managed without any central authority.
FindCrypto scans the web for the latest Bitcoin news, so you can find all the latest and breaking news in one convenient location.
Author: BibitBot
Score: 0
Don’t forget to share the post if you love it !
