Potential Triangular Arbitrage between USDT, ETH, DOT on Lykke Exchange |  |
Start | Buy | | Buy | | Buy | End | | |
ETH  100 | DOT 0.002306  43367 | | USDT 0.2167  200139 | | ETH 2002  99.99 | -0.01 -0.01 |
ETH  100 | USDT 0.0004996  200157 | | DOT 4.615  43374 | | ETH 433.65  100.02 | 0.02 0.02 |
DOT  100 | USDT 0.2167  461.50 | | ETH 2002  0.2306 | | DOT 0.002306  99.99 | -0.01 -0.01 |
DOT  100 | ETH 433.65  0.2306 | | USDT 0.0004996  461.56 | | DOT 4.615  100.02 | 0.02 0.02 |
USDT  100 | DOT 4.615  21.67 | | ETH 433.65  0.04997 | | USDT 0.0004996  100.02 | 0.02 0.02 |
USDT  100 | ETH 2002  0.04996 | | DOT 0.002306  21.67 | | USDT 0.2167  99.99 | -0.01 -0.01 |
Above are the different combinations of the triangular flow of executions between Tether, Ethereum, and Polkadot on Lykke exchange. A triangular arbitrage with cryptocurrencies occurs when a given coin's exchange rate does not match the cross-exchange rate of that coin to another counter currency. The price discrepancies generally arise from situations when one coin is overvalued while another is undervalued. Please note, we use the market (spot) prices between cryptocurrency pairs. You should use real-time bid and ask prices obtained directly from the Lykke marketplace in a real situation.
Triangular intra-exchange arbitrage could be appealing because it happens entirely on a single exchange,
unlike other arbitrage strategies that involve trading across multiple exchanges. To find profitable opportunities
among the given 3-coin combinations below, we can determine if a cross-rate is overvalued.
If there is a price discrepancy when trading between selected assets, we can generate risk-free profit
if the orders are performed correctly, respecting all transaction fees.
The Lykke exchange is a semi-decentralized exchange for cryptocurrencies and fiat. The compan. s subsidiaries, which are licensed as financial companies, provide broker and trading services for clients. All possible asset pair types are tradable: fiat fx to fiat fx, fiat fx to crypto, and crypto to crypto. Lykke, as a company, provide. liquidity, issuance services, and consulting. The commissions and fees for Lykke are close to zero. Lykke exchang. . native wallet is Lykke wallet. Telegram | Facebook | Instagram | LinkedIn | Medium
Triangular arbitrage of digital assets is a trading technique that tries to profit from a price difference between three
different coins on the same cryptocurrency exchange or across different markets.
Sophisticated traders did triangular arbitrage for many years in the forex markets, and it can also
be applied to cryptocurrency markets.
Cryptocurrency arbitrage is the process of taking advantage of inefficiencies in markets. With cryptocurrencies, this can happens more
often as the price of coins fluctuates over time and differs on different exchanges against the homogenous counter currency.
If there is a difference between the cost of an asset across other exchanges (or even potentially within the same market),
it may be possible to buy and sell the same coin in a way that will result in a net profit. A triangular arbitrage opportunity is a
trading strategy that exploits the arbitrage opportunities that exist among three currencies on a single exchange or across multiple exchanges.
The triangular arbitrage is found during the exchange of one coin to another when there are discrepancies in the listed prices for the given
counter currency.