0

I have some questions that I hope will be answered here I posted this question on twitter as well but with no response, I am a newcomer in the world of crypto and decentralized exchanges and Flash-Loan Arbitrage bots really got my attention I have been studying for 2 months now how they work but never really deployed smart contract on mainnet (I have on goerli), My question is is Flash-Loan Arbitrage Bots still worth it or not ? I have heard mixed opinions about it some say that It no longer makes profits that you would want to spend time and energy for some say that if you are using mempool for searching possibilities you might catch big profits so I'm very confused... I have made research about MEV Bots as well but I do not really like concept of taking advantage of people and stealing their funds... If anyone is willing to answer this question I'd be extremely thankful, and possibly may some of smarter and more experienced people guide me to what to do in order to make money with smart contracts on decentralized exchanges...

Sincerely -S

1 Answer 1

0

All financial transactions come with an unequal risk/reward ratio. That ratio is always changing based on a number of factors. MEV bots that change strategy based on R/R ratio are the ones that profit but if there was a guaranteed way to ensure profit then it wouldn't be competitive anymore.

2
  • I do not understand clearly that means arbitrage is still a way to go ? (With Risks of course) or is it not worth time and money ?
    – Said
    Commented Apr 10, 2023 at 9:36
  • Correct - there is money in arbitrage but finding the most optimal r/r is conditional
    – VX3
    Commented Apr 22, 2023 at 14:54

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service and acknowledge you have read our privacy policy.

Not the answer you're looking for? Browse other questions tagged or ask your own question.