#1. Triangular Arbitrage:

Triangular Arbitrage is traded between different currencies within the same exchange.

Triangular arbitrage is the result of a discrepancy between three currencies that occurs when the currency’s exchange rates do not exactly match up. These opportunities are rare and traders who take advantage of them usually have advanced computer equipment and/or programs to automate the process. This type of arbitrage can result in a “riskless” profit if quoted currency exchange rates do not equal the market’s cross exchange rate. In other words, if two currencies also trade against some third currency, then the exchange rates of all three should be synchronized, otherwise, a profit opportunity exists.. In Triangular Arbitrage, the user has been provided various options to explore arbitrage opportunities between different exchanges usually three(triangular).

#2. Intra Exchange Arbitrage :

It is a type of arbitrage that is found within the same exchange between two markets. Let’s say exchange OKEx has USDT and ETH markets and a coin VEE which can be traded in both markets. Sometimes within these markets, there is a price difference of the coin between these markets. A coin can be bought in one market and sold in another market within the same exchange for profit without actually transferring it and hence avoiding the time delay which usually happens when a coin is transferred from one exchange to another. User capital is used where the arbitrage trade enters in the same exchange and ends in the same exchange where in between, the currency is exchanged between different exchanges and ends with a profit from the initial exchange it entered.

#3. Direct Arbitrage:

It is the simplest form of arbitrage where one buys a coin from one exchange at low and sells at high in another exchange. In Direct Arbitrage, the user is provided with options to choose from a variety of pairs from deferent exchanges to explore arbitrage opportunities. An auto trade option is provided which chooses the highest profit pair and tries to execute the arbitrage with the capital provided. A Profitable trade is only possible if there exist market imperfections. Profitable triangular arbitrage is very rarely possible because when such opportunities arise, traders execute trades that take advantage of the imperfections and prices adjust up or down until the opportunity disappears. A User with a provided capital starts a trade from a exchange with a currency with possible arbitrage opportunity and sells it in a different exchange and exits with a profit In Direct Arbitrage, a currency from one exchange is exchanged for arbitrage to the other exchange for the profit. Direct Arbitrage does interaction only between two exchanges.

#4. Loop Arbitrage:

This is a kind of triangular arbitrage but with a condition that starting exchange and ending exchange are the same. This is required by the user when they wants to do arbitrage and also wants to bring the invested amount with profit back to the exchange from where it was started. A pair with Eth and USDT is sold for Eth in a exchange to buy IOTA with a USDT pair and sell the IOTA for USDT in a different exchange and buys BTC for a Profitable arbitrage in a different exchange. Hence runs as a loop when provided with a user capital. Auto trade option enables Loop arbitrage has better arbitrage opportunities. Loop arbitrage takes advantage of multiple market imperfections in different exchanges and takes opportunity for arbitrage.

Loop Arbitrage loops over different exchanges provided and trades with different pairs of tokens or currencies with a pro_tabe arbitrage and exits the trade.