The arbitrage price has to be higher than the two exchanges getting different prices, but lower than the current market rate. It’s about buying low on one exchange and selling high on another exchange while simultaneously hoping that other people are dumb enough to buy at your sale price.
Let’s say you are an American citizen living in Manchester, England without any domestics skills whatsoever. The US also has no laws regarding cryptocurrency trading, so you can’t open an account with any regulator but Coinbase. Coinbase is one of the largest crypto-currency exchanges out there and it accepts all kinds of payment methods: Credit / Debit Cards / AMEX Giftcards and even Wire Transfers (USD). You bind your AMEX Visa or Mastercard to Coinbase and buy Bitcoins using USD from your account! once you have sufficient funds, you transfer them out through what they call a “coinbase multiplex”. Your coins will then send time after time to the cryptoping sites below until they reach their desired value amount. Although this strategy is not foolproof by any means because most people don’t want to leave their computers unattended 24/7 – 24h it sometimes works for some who does not mind setting up a fake bank login verification in order to get free cryptocurrencies in their wallet….. Let me show you how I did it: 1) Sign up for coinbase 2) Sign up for Binance 3) Click Deposit 4) Select Coinbase 5) Pick Buy/Sell Button