Bitcoin has had an amazing twelve months, soaring in value, but it has seen some dramatic ups and downs along the way. In April alone, it hit an all-time high of over $63,000 and then in less than two weeks dropped to just over $49,000, before changing trajectory once more.
The last year has not only seen a surge in retail investment in BTC. Financial institutions and corporate giants are now also investing in crypto, enhancing the legitimacy of digital currencies, as adoption continues to grow world-over.
Clearly BTC can be incredibly lucrative, particularly for those who got in early, but the unpredictability and exceptionally high risk of the volatile crypto markets cannot be ignored.
What investors need is a way to profit from Bitcoin with peace of mind. A strategy is required that offers security and transparency, mitigates the risk from another BTC crash, requires minimal effort, and offers consistent, reliable, and exceptionally high returns.
That strategy is crypto arbitrage.
Cut Your Risk
Crypto arbitrage is generally acknowledged to be one of the lowest-risk forms of investing. As a result, it is popular across the financial sector, with institutions, investment firms, companies, and hedge funds. The reason it is considered such a safe strategy is that it does not leave you vulnerable to market volatility. In fact, even if crypto prices were crashing you could continue to make a steady profit.
It works by taking advantage of brief price inefficiencies across exchanges. Put simply, a coin can be temporarily available on different exchanges, at different prices, at the same time. In this window of opportunity, you can buy the coin on the exchange where the price is lowest and then sell it on the exchange where the price is highest to make a profit on the difference before the market adjusts and the inefficiency resolves itself.
Take It Easy
Crypto arbitrage opportunities often last only a few minutes and to identify them you would have to be monitoring countless exchanges, tracking hundreds of coins simultaneously, 24 hours a day. You would also need to be able to react to newly emerged inefficiencies at warp-speed to have any chance of exploiting them before the window closed.
Clearly, the only way this can be achieved is with an algorithmic trading system. To see how it generates a profit, let’s take as our example ArbiSmart, a popular, regulated, crypto arbitrage platform.
ArbiSmart is integrated with 35 exchanges, which it scans simultaneously, around the clock, looking for and then taking advantage of price inefficiencies on thousands of different cryptocurrencies. Able to perform a huge volume of trades at once, it can respond in a split second to crypto arbitrage opportunities to generate passive profits of up to 45% a year. You just need to sign up, deposit funds in either fiat or crypto and then the platform’s AI- based algorithm takes over, while you get on with the rest of your day. Easy!
Know What to Expect
Another way in which crypto arbitrage differs from all other forms of digital currency investment is with its predictability. While crypto is best known for its extreme volatility, and yo-yoing prices, crypto arbitrage offers reliable profits.
For example, on the ArbiSmart Accounts page, a table lays out a profit range for each account level, guaranteeing how much you will make, monthly and annually based on the size of your deposit – a useful tool, when it comes to financial planning.
Since crypto arbitrage is not tied to crypto market shifts, major upheaval on the exchanges will have no impact on the steady flow of passive profits.
See Soaring Returns
The most significant advantage of crypto arbitrage is that it generates unmatched profits. Going back to our ArbiSmart example, the company offers returns that start at 10.8% and go up to 45%, depending on the size of your investment.
Let’s say you invest 7 BTC, which at today’s rate is the equivalent of just over $380,000, in just three and a half years, your savings will have tripled to more than $1.3 million!
Actually, by this point you can expect your account balance to be much higher, since you will be earning compound interest on your crypto arbitrage profits. In addition, you will be earning substantial capital gains from the increasing value of ArbiSmart’s native token, RBIS, which has already risen by 350%, since it was created just two years ago.
Once you register and deposit funds with ArbiSmart, your funds are converted into RBIS for use trading crypto arbitrage, although you can withdraw your capital from the platform at any time, in either fiat or crypto. Anyone who joined ArbiSmart in early 2019, will now have more then tripled their profits from the rising value of RBIS and this is before we even calculate crypto arbitrage profits.
Analysts are projecting that by the end of 2021, RBIS will have risen to 20 times its current value. One reason for this is that ArbiSmart has a number of new products and services in the pipeline for launch in the second half of 2021, such as the company’s interest-bearing wallet, that will provide valuable additional utilities for the token. Even more significantly, RBIS is in the process of being listed, which is likely to push up the price, once it becomes tradable on the exchanges. Finally, ArbiSmart has grown by 150% year-on-year and the platform is enjoying steady client-acquisition. This increased popularity and liquidity has led to a growth in demand for the token, and since there is a cap of 450 million on the amount of RBIS that can ever be created, this will inevitably lead to a drop in supply.
Put Safety First
One way in which crypto arbitrage is exactly the same as almost every other type of crypto-related investment, is in terms of the unique security challenges facing investors. Governments and regulatory bodies have, in many cases, failed to keep pace with developments relating to this emerging asset class, and its anonymity and under-regulation make it an attractive target for fraud and hacks. As a result, you need to be extremely careful where you entrust your money.
It is absolutely essential that you only invest with a fully licensed crypto arbitrage platform. The reason this is so critical is that compliance with regulation will require the company to maintain the highest standards of security and transparency. Back to our example, ArbiSmart is FIU licensed which means the company has to implement incredibly tough data security measures, follow strict anti-money laundering and client verification protocols, segregate client and company accounts, submit to external audits and more.
As we have seen, crypto arbitrage offers exceptional passive profits, while requiring almost no effort. It is the simplest and most profitable way to take advantage of the dynamic opportunities offered by the crypto markets, all while incurring close to zero risk. It is a smart, easy strategy that is accessible to everyone.
*This article has been paid. The Cryptonomist didn’t write the article nor has tested the platform.