Written by Zach Quezada

VP of Business Development — ICOAlert
December 8 2017

ICO Alert Report: Arbitrage Crypto Trader

ICO Alert Report: Arbitrage Crypto Trader

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ICO Alert Quick Facts

  1. Decentralized arbitrage trading platform
  2. 1 ETH = 75,000 ARCT token
  3. December 4, 2017 — Jan 15, 2018
  4. 700,000,000 total available / 1,000,000,000 total supply
  5. Held successful Pre-ICO in November

What is Arbitrage Crypto Trader?

Arbitrage Crypto Trader: Arbitrage Crypto Trader — the new chapter of crypto-trade!
Arbitrage Crypto Trader is the world’s first platform for automatic trading on two exchanges at the same time. We unite all the largest trading exchanges in the world and offer users the opportunity to earn money on them. Our main goal is to make available a convenient tool available for earning one of the oldest ways of trading — Arbitrage. You buy on one exchange, and sell for another. We do not take your funds under our control and we do not need access to your purses. Your currency is stored on your stock exchange accounts. We are already at the stage of closed beta testing and are ready to share with you our reports on the work done.
The aim of our project is the availability of a convenient inter-exchange arbitrage trade. You do not have to hire programmers to write bots for automatic trading, make up TK for them and try to explain what you need. The convenient interface of the program will help you to trade in a manual mode, as exchanges differ in design and functionality, which sometimes makes it difficult to create quick orders. And you will always have a price difference in the form, which will shorten the time for your decision. Additional trading functionality in one click and auto trade will become a wonderful assistant for the inter-exchange arbitrage trade.

Q&A with Andrey Demyanov, PR Director

ICO Alert: How does the Arbitrage CT token (ARCT) function within the platform and why is it needed?

Arbitrage Crypto Trader: ARCT is a virtual currency that will be accepted and used by our project as payment for trading packages. Payment will be accepted in ARCT tokens based on the minimum income received from your transactions. Also, 30% of the ARCT tokens received will be burned quarterly, and the absence of emissions will limit their total number in the market, which leads to an increase in the price of the token. A total of 1 million ARCT have been issued
Token ARCT is more than just a token. Helping the development of the ARCT token — you do not just take part in creating the “next candy wrapper,” which, perhaps, will bring someone benefits; you take part in the development of a completely new chapter in the field of cryptocurrency trading, you get a really promising currency. You can use the services yourself or sell ARCT on the exchanges and thereby, together with other project participants, adjust the rate of the token.
We also set the price for the traded package in Bitcoin, which will allow us to adjust the ARCT rate against Bitcoin. The price in Bitcoin is constant, and the number of ARCT tokens required for payment is reduced.

ICO Alert: Can you describe Arbitrage trading strategies and outline the benefits of using these systems?

Arbitrage Crypto Trader: Arbitration is one of the oldest trading strategies. Its popularity, both among traders and investors, is the existence of a small risk. The task is to purchase and simultaneously sell the same or sufficiently similar types of assets. Before the advent of the Internet, arbitration took place approximately like this: two traders kept a constant telephone connection between exchanges in Chicago and New York. When on one of the stock exchanges (for whatever reason) the price rose sharply, for example, sugar, and on the second exchange yet, where sugar was more expensive than it was sold, and bought at the second exchange. After a few minutes, when information about price changes came to all market participants, prices again equalized. And the traders just fixed profits. Huge states were made on a fairly simple trading algorithm. But he “came to an end” with the advent of the Internet and a massive transition of exchanges to electronic commerce. As a result, people occupied robots.
Today, they are happy to arbitrate price deviations of 0.01% and even 0.001%, while people earned up to 10% on one transaction. Traders of classic stock and commodity markets remain nostalgic about times that will never return. However, the arbitration did not die definitively. All of us see that right now quotations on different stock exchanges differ from each other by 1–5%. And for some of the altcoins, the difference can sometimes be as high as 50%.

ICO Alert: How has the introduction of cryptocurrency changed the future of arbitrage trading? What are the inherent risks involved?

Arbitrage Crypto Trader: Cryptocurrency allows arbitration not with a large deposit, in contrast to the stock market.
What are the risks for the client? The main advantage of arbitrage deals is the extremely small amount of risk assumed. Since there is a simultaneous purchase and sale of the same asset, the user just waits for the discrepancy between the two exchanges and enters the transaction. When this discrepancy returns to its historical mean values, it fixes profits. The main risk of arbitrage transactions is that, at some point in time, this discrepancy will not return to its historical values(for any reason).
For example, on one of the exchanges, the rules for input/output of money will change and the standard discrepancy will increase from 1.5% to 3%. In this case, if the user is already in the transaction, he will incur a loss. Its size will be less than 1.5%, since the entry into the transaction in any case occurred when the value differed from the average on the larger side. Further, a new average discrepancy of 3% is established and the user again receives profit from new transactions.

ICO Alert: Take us through a specific user experience on the platform. Is this service for the average trader, or is it directed more toward a financial professional?

Arbitrage Crypto Trader: Our product is designed for the average trader, but professionals and even large players of the market, can take advantage.

ICO Alert: Can you briefly describe your economic scheme/model?

Arbitrage Crypto Trader:

ICO Alert: In your whitepaper you claim that there will be a “liquidity explosion” on exchanges in the next 1–2 years. Is your platform’s success dependent on this claim coming to fruition?

Arbitrage Crypto Trader: No, the success of the platform is already ensured, since the release is scheduled for January 2018, but we predict that the explosion of liquidity will begin, as cryptocurrency is gaining momentum and every day enjoys great popularity among the world’s audience.

ICO Alert: The Ethereum network has occasionally suffered from slow transaction times. Is there any concern that this may affect the Arbitrage CT platform?

Arbitrage Crypto Trader: No, slow transactions can only affect the payment of services. The work of traders is not mediocre on the stock exchanges, and it is there that deals occur. The work of Arbitrage CT depends on the work of the exchanges themselves, since the funds of traders are kept there.

ICO Alert: As a non-Arbitrage CT question we like to ask for unique predictions for the ICO and cryptocurrency space in the future. Where do you see both in the next 3–5 years?

Arbitrage Crypto Trader: About the cryptocurrency market, I can say that now it’s just begun its development, this means of payment we will see in all the shoots.
The issue with ICOs is interesting, now the market is full of various projects and ideas, but not all need to be believed, it is unfortunate that so few projects use platforms that give a guarantee, for example, KickICO.

ICO Information
The ICO main sale began December 4, 2017 and will end on January 15, 2017. There is a total of approximately 700,000,000 Arbitrage Crypto Trader tokens (ARCT) available during the main sale, representing 70% of the total ARCT supply. There is a hard cap of 10,000 ETH set for this period.

1 ETH = 75 ARCT

Current accepted currencies for ARCT include ETH, BTC, and KickCoin

ARCT is an ERC-20 token, so it’s important that contributors use ERC-20 compatible wallets to send funds to the ICO smart contract, and to receive the ARCT tokens.

Token Distribution Information
There are a total 1,000,000,000 ARCT tokens being created, with 700,000,000 available during main ICO.

Contributors will have their tokens distributed immediately after transaction. Visit the ARCT website for more information and the contribution address.

Allocation

Use of Crowdsale Proceeds
60%: Development and Marketing
10%: Future Product Funding
10%: Marketing Bonuses
10%: Insurance
5%: Founders (1 year vested)
5%: Legal

Team

Social Media
Facebook
Twitter
Telegram
BitcoinTalk
Reddit

View the Arbitrage Crypto Trader Website here.

View the only comprehensive list of active and upcoming ICOs here.

References
(1) Arbitrage Crypto Trader Website, Arbitrage Crypto Trader (2017)
https://arbitragect.com/en/#step

(2) Arbitrage Crypto Trader Whitepaper, Arbitrage Crypto Trader (2017)
https://arbitragect.com/arbitragect_wp_en.pdf

Topics: Blockchain, ICO, Cryptocurrency, Fintech, Finance