Crypto Arbitrage Overview
Crypto Arbitrage searches for arbitrage opportunities for a given currency pair provided by the user. Fees can be considered in the calculation.
Possible uses of this API can be:
1- Arbitrage Profit: The user can develop a bot to perform calls to this API and, if an arbitrage opportunity is detected, execute trades automatically or manually for profit. Manual executions are risky as arbitrage opportunities are unlikely to remain for more than a few seconds. Optional arguments allow restricting searches only among exchanges where the user has accounts, increasing the call speed and trading feasibility.
2- Trading Signals: The user can set trading algos to enter long positions on the exchange with the lowest ask and/or short positions on the exchange with the highest bid, betting on mean reversion. It can also feed a high-frequency trading machine learning model if the pattern of arbitrage size or exchanges involved becomes a good prediction for short term trends.
3- Product Value: The user can embed the API into a website, web app or mobile app to increase the value of the product offered to his customers.