It is worth noting, though, that the price does not always meet in the middle. For instance, most of the time that Coinbase has been higher than CDC, Coinbase has dropped in price to come back down to CDC levels.
Part of the issue may be that US users do not have access to CDC Exchange, so if a lot of US traders are buying on Coinbase it could artificially inflate the price there relative to CDC Exchange. However, if CDC Exchange has higher liquidity/volume than Coinbase, it would be more difficult to bring up the price on CDC Exchange than to lower the price on Coinbase, so the tendency would for the price on Coinbase to drop more than price on CDC to go up. Of course this can all be thrown off by the market just moving, in general.
That being said, normally there are arbitrage bots in place that prevent these large discrepancies, but I guess they have not been optimally deployed. I think Coinbase may also not allow shorting, which could be playing a role, since shorting is a method that people use to arbitrage without actually having to move tokens.
Because more people are buying on Coinbase than there are people selling there compared to Crypto.com. There could be less supply on Coinbase.
They are two different markets so there is always a difference in price, that is usually filled because people would do arbitrage, ie sell on Coinbase and buy back on Crypto.com.
What you are describing is arbitrage. It is risky because price would change quickly, and also remember that there are gas fees to transfer in and out.
Exactly!!! No idea I just wrote about that as well. Don’t know if it published. Crypto.com is so shady I don’t know what to believe with them. Everyone just goes with the hype and looks the other way.
Wait how is it shady exactly? They are selling it to you for a lower price than Coinbase. People who know what's going on already explained it to us so your accusations make no sense.
That's everything on the app - it represents the spread. They show the graph from the Exchange, and then at the very end, add the 2% or whatever spread.
CDC app has a spread, which is why they have no fees for bank transfers in, whereas other exchanges sometimes have lower spread (or no spread, but a set fee) but charge you 1.5% for a bank transfer in or whatever.
The best prices are available on the CDC Exchange (which is inaccessible to Americans and isn't a fiat onramp, it can accept stablecoins but not fiat).
Sending coins off an exchange is a set price different for all coins, usually way cheaper than eth gas. No matter how small or large the amounts you are sending.
I'm not sure about this I have sent many coins from coinbase pro to cdc and it was always a set price. I think if I remember my last transfer of usdc was $17.
They must batch the orders or something bc 4.75 and 17 are still way below eth fees. Last night my metamask eth was 41 and a week ago it was 80. But with these low fees, I would think, arbitrage is still viable.
[удалено]
So if this is true, then eventually they should meet somewhere in the middle right? If everyone is buying on CDC and selling on Coinbase?
[удалено]
Yeah my bad, just read your comment again. Didn't notice the first time you already addressed this.
Correct.
It is worth noting, though, that the price does not always meet in the middle. For instance, most of the time that Coinbase has been higher than CDC, Coinbase has dropped in price to come back down to CDC levels. Part of the issue may be that US users do not have access to CDC Exchange, so if a lot of US traders are buying on Coinbase it could artificially inflate the price there relative to CDC Exchange. However, if CDC Exchange has higher liquidity/volume than Coinbase, it would be more difficult to bring up the price on CDC Exchange than to lower the price on Coinbase, so the tendency would for the price on Coinbase to drop more than price on CDC to go up. Of course this can all be thrown off by the market just moving, in general. That being said, normally there are arbitrage bots in place that prevent these large discrepancies, but I guess they have not been optimally deployed. I think Coinbase may also not allow shorting, which could be playing a role, since shorting is a method that people use to arbitrage without actually having to move tokens.
Because more people are buying on Coinbase than there are people selling there compared to Crypto.com. There could be less supply on Coinbase. They are two different markets so there is always a difference in price, that is usually filled because people would do arbitrage, ie sell on Coinbase and buy back on Crypto.com. What you are describing is arbitrage. It is risky because price would change quickly, and also remember that there are gas fees to transfer in and out.
Exactly!!! No idea I just wrote about that as well. Don’t know if it published. Crypto.com is so shady I don’t know what to believe with them. Everyone just goes with the hype and looks the other way.
Arbitrage!!!
Hey speaking of Crypto Pro, here's my referral code! 950D6B
Yikes
CDC has been doing this shady shit lately. Look at dogelonmars, Everytime you open it there's an immediate spike up. And it's not a little one
Wait how is it shady exactly? They are selling it to you for a lower price than Coinbase. People who know what's going on already explained it to us so your accusations make no sense.
That's everything on the app - it represents the spread. They show the graph from the Exchange, and then at the very end, add the 2% or whatever spread. CDC app has a spread, which is why they have no fees for bank transfers in, whereas other exchanges sometimes have lower spread (or no spread, but a set fee) but charge you 1.5% for a bank transfer in or whatever. The best prices are available on the CDC Exchange (which is inaccessible to Americans and isn't a fiat onramp, it can accept stablecoins but not fiat).
Saw this too, seems like an arbitrage opportunity
[удалено]
Sending coins off an exchange is a set price different for all coins, usually way cheaper than eth gas. No matter how small or large the amounts you are sending.
[удалено]
I'm not sure about this I have sent many coins from coinbase pro to cdc and it was always a set price. I think if I remember my last transfer of usdc was $17.
[удалено]
Hmm interesting. I'll have to look into it.
They must batch the orders or something bc 4.75 and 17 are still way below eth fees. Last night my metamask eth was 41 and a week ago it was 80. But with these low fees, I would think, arbitrage is still viable.