You may have heard the term "arbitrage" or "arbitrage." This term is very common among traders.
⚙️ Arbitrage in digital currencies means comparing the prices of a currency on multiple trading platforms and taking advantage of the price differences to make a profit.
➡️ An arbitrage trader buys a cryptocurrency at a low price on one platform and sells it at a higher price on another.
However, trading and liquidity fees can create challenges that are difficult to overcome.
➡️ There is also direct arbitrage between people, which is the gain in the price differences of the currency between people, in which you can buy the currency from one person and sell it at a higher price to another person.
➡️ However, arbitrage trading carries several risks because it requires acumen and quick reactions.
Arbitrage is an activity reserved for more experienced traders who have a wide network of relationships, so we do not recommend beginners to engage in this type of trading if they are not familiar with how to complete these trades and prepare for the risks associated with this type of trading.