ARBITRAGE WITH CHINA EXCHANGES - page 2.

poeEDgar

sr. member

Activity: 299

Merit: 250

Quote from: Mickeyb on September 30, 2015, 03:34:49 PM

Why would you do arbitrage with btc-e and Chinese exchanges

Because there is a much larger spread at times. Consider this: at the extremes in August, OKcoin was $6+ below Bitfinex. Right now, Okcoin is $4 above Bitfinex.

Then consider the current $2-3 spread between BTC-E and Bitfinex (which is, at times, larger). It's nothing to sneeze at. The trouble is that most do not have the means to take advantage in the traditional sense of arbitrage.

Mickeyb

hero member

Activity: 798

Merit: 1000

Move On !!!!!!

Why would you do arbitrage with btc-e and Chinese exchanges when you have pretty much all the time the same spread between btc-e and Bitstamp for example. And you are dealing only in BTC and USD.

Anyways there is a reason why btc-e is always a bit lower. To get the money in and out of the btc-e is more expensive then to Bitstamp for example, that's why your profits from doing arbitrage with btc-e will get eaten up.

poeEDgar

sr. member

Activity: 299

Merit: 250

Arbing Chinese exchanges is very difficult (particularly from BTCE) -- hence why there is a persistent spread between the exchanges. Removing large amounts of CNY into USD and outside of Chinese banks is difficult. One way to take advantage of this spread is to analyze the range of (BTCCNY/USDCNY)-BTCUSD. When at range lows ($4-6 under spread), buy BTCCNY, transfer out and sell for USD. When at range highs ($4-6 above spread), buy BTCUSD, transfer out and sell for CNY.

But when your accounts become heavily outside of equilibrium (i.e. you cannot buy either BTCCNY or BTCUSD), you are stuck until the spread reverts to the mean and you can transfer out without losing profits.

calamar182

newbie

Activity: 58

Merit: 0

Hello babies

I ve been looking the way to arb with china, the difference normally is 5% between (BTCE cheap exch) and (BTC CHINA high exch)

- I buy on cheap exchange at 230 and the first problem would be the fees. The comisions to deposit and buying btc will eat all the profit?

- Then the problem would be sell the BTC in china, I see that china exchanges has BTC CNY and BTC USD,

If you sell bitcoins in BTC USD there's no arbitrage oportunity (230 same like cheap exchange)
If you sell bitcoins in BTC CNY it's an oportunity because if you convert the CNY to USD you get 240. I don't know why the USD bitcoin price is different in BTCCNY and in BTCUSD

- Then the problem is withdraw CNY, that's not posible because you need chinese account, and if you do it by bank transfer you will have a 15$ fee, to expensive.

Someone tried the arbitrage with china exchanges?

That's the only thing we need to know, real experiences or someone that know it.

Topic: ARBITRAGE WITH CHINA EXCHANGES - page 2. (Read 2948 times)