From afff511aee6009551cd755686ceb3ca32dd1fc3c Mon Sep 17 00:00:00 2001 From: "dr. mia von steinkirch, phd" <1130416+mvonsteinkirch@users.noreply.github.com> Date: Tue, 7 Feb 2023 15:21:12 -0800 Subject: [PATCH] Update README.md --- arbitrage/README.md | 6 +++--- 1 file changed, 3 insertions(+), 3 deletions(-) diff --git a/arbitrage/README.md b/arbitrage/README.md index 9096c2a..ef1e5b4 100644 --- a/arbitrage/README.md +++ b/arbitrage/README.md @@ -7,10 +7,10 @@
-* since liquidity on-chain is fragmented (thousands of pools don't communicate with each other, each providing quotes for swapping assets in real-time), it creates an opportunity to buy low and sell high across different pools. -* for example, two DEXes offer a token at two different prices so that a token can be bought at the lower-priced DEX and sold on the higher-priced DEX in a single atomic transaction. +* since **liquidity on-chain is fragmented** (thousands of pools don't communicate with each other, each providing quotes for swapping assets in real-time), it creates an opportunity to buy low and sell high across different pools. for example, two DEXes offer a token at two different prices so that a token can be bought at the lower-priced DEX and sold on the higher-priced DEX in a single atomic transaction. +* due to the nature of the evm's atomic execution, **atomic arbitrages** are possible (as opposed to tradefi): smart contracts allow the packaging a sequential execution of txs, for a set of conditions. if the conditions are not met, the execution can fail, undoing all the on-chain interactions that just occurred. -##### [four types of arbitrage](https://mirror.xyz/0xc19565163aFdEe3783FC970E4Bd0275B11848d34/a_v8f9yRqRFAvmOaEltTkPJSt1geSAwQdDps2Avb-DA) +##### [eigeiphi's classification of arbitrage types:](https://mirror.xyz/0xc19565163aFdEe3783FC970E4Bd0275B11848d34/a_v8f9yRqRFAvmOaEltTkPJSt1geSAwQdDps2Avb-DA) * combination * sandwich