Arbitrage trading in cryptocurrency is a trading strategy in which investors profit from price fluctuations in a digital asset across several marketplaces or exchanges. Crypto arbitrage trading, in its most basic form, is the process of acquiring a digital asset on one exchange and selling it (nearly) promptly on another at a higher cost.
It involves profit-making with little or no risk. Another advantage of arbitrage trading is that it does not require you to be a professional investor with an expensive setup to begin arbitrage trading. The increasing demand for arbitrage trading has contributed to the need for crypto arbitrage bot development.