Arbitrage Bot User Guide
What is Arbitrage Trading?
Arbitrage trading is the practice of buying an asset on one exchange where the price is lower and simultaneously selling it on another exchange where the price is higher. The difference between the two prices -- known as the "spread" -- is your profit.
Price differences between exchanges occur because each exchange has its own order book, liquidity, and user base. These discrepancies are usually small and short-lived, but they happen regularly. The BlockbotX arbitrage bot continuously scans Binance and OKX for these cross-exchange price differences and either alerts you or executes trades automatically.
How the Arbitrage Bot Works
The arbitrage bot operates by:
- Scanning prices simultaneously across your connected exchanges (Binance and OKX).
- Comparing prices for each trading pair you have configured across all exchange pairs.
- Calculating potential profit after accounting for trading fees (0.1% per exchange, applied on both the buy and sell sides).
- Filtering by your minimum spread threshold -- only opportunities that meet or exceed your configured minimum spread percentage are surfaced.
- Acting on profitable opportunities based on your chosen execution mode:
- Auto-execute -- the bot places buy and sell orders automatically when an opportunity meets your criteria.
- Notify -- the bot logs the opportunity and surfaces it in the dashboard for you to review and execute manually.
The bot checks for opportunities at a configurable interval and will continue scanning as long as it is running.
Prerequisites
Before using the arbitrage bot, make sure you have:
- At least 2 exchange connections -- the bot requires connections to both Binance and OKX. You can connect exchanges from the Exchanges tab within the arbitrage dashboard, or from your account Settings page.
- Sufficient balance on both exchanges -- you need funds available on each exchange to execute both sides of the arbitrage trade. The bot cannot transfer funds between exchanges for you.
- API keys with trading permissions -- when connecting an exchange, your API key must have spot trading permissions enabled. Read-only keys will allow price scanning but not trade execution. For OKX, you will also need to provide your API passphrase.
Creating an Arbitrage Bot
Step 1: Navigate to the Arbitrage Bot Page
Open the Arbitrage Bot section from the main navigation. You will see the dashboard with header stats, global controls, and the tabbed content area.
Step 2: Click "New Bot"
Click the New Bot button in the global controls bar at the top, or use the Create Bot button found in the Overview or My Bots tabs. This opens the Create Bot modal.
Step 3: Configure the Bot
The Create Bot modal is organized into four configuration tabs:
Basic Tab
- Bot Name (required) -- give your bot a descriptive name, such as "BTC Arb Scanner" or "High-Volume Pairs."
- Strategy -- select an arbitrage strategy:
- Basic Arbitrage -- straightforward cross-exchange price comparison.
- Triangular Arbitrage -- exploits price differences across three currency pairs.
- Statistical Arbitrage -- uses statistical models to identify mean-reversion opportunities.
- Cross-Exchange -- the standard two-exchange arbitrage approach.
- Description -- optionally describe the bot's purpose and strategy for your own reference.
- Initial Capital ($) -- the amount of capital you want to allocate to this bot. Defaults to $1,000.
Exchanges Tab
- Select Exchanges (required) -- choose at least 2 connected exchanges. Only exchanges that are currently connected and have valid API keys will appear as selectable options. A confirmation message shows how many exchanges you have selected.
Trading Tab
- Trading Pairs (required) -- select one or more trading pairs to monitor. Available pairs include BTC/USDT, ETH/USDT, BNB/USDT, ADA/USDT, SOL/USDT, DOT/USDT, MATIC/USDT, AVAX/USDT, LINK/USDT, and UNI/USDT. Click a pair to toggle it on or off.
- Minimum Spread (%) -- use the slider to set the minimum price spread required before the bot considers an opportunity. Range is 0.1% to 5.0%, with a default of 0.5%. Lower values mean more frequent but smaller opportunities; higher values mean fewer but larger opportunities.
- Max Volume per Trade ($) -- the maximum dollar amount for a single trade. Defaults to $5,000.
Risk Tab
- Risk Level -- select your risk tolerance:
- Low Risk (Conservative)
- Medium Risk (Balanced)
- High Risk (Aggressive)
- Auto Start -- toggle on to have the bot begin trading immediately after creation. If off, the bot is created in a stopped state and must be started manually.
- Enable Notifications -- toggle on to receive alerts for trades and errors.
Step 4: Create the Bot
The modal footer shows a summary of your selections (number of exchanges and trading pairs). Click Create Bot to finalize. The bot will appear in the My Bots tab.
Dashboard Overview
The arbitrage bot dashboard is organized into a header stats row, a global controls bar, and four content tabs.
Header Stats
Four summary cards are displayed at the top of the page:
- Total Profit -- your all-time cumulative arbitrage profit in dollars, with a month-over-month trend indicator.
- Success Rate -- the percentage of successful trades out of total trades attempted, with the total trade count shown beneath.
- Active Opportunities -- the number of arbitrage opportunities currently detected across your monitored pairs.
- Active Bots -- the number of bots currently running, with the total number of configured bots shown beneath.
These stats refresh automatically every 30 seconds.
Global Controls
The controls bar below the header stats provides:
- Pause All / Resume All -- a single button to pause or resume all running bots at once. The current global status (Running or Paused) is shown as a badge next to the page title.
- Global Settings -- opens a modal to configure settings that apply across all bots.
- New Bot -- opens the Create Bot modal.
Overview Tab
The Overview tab provides a high-level summary of your arbitrage activity:
- Profit Overview Chart -- an area chart showing daily arbitrage profit over time. The chart refreshes every 60 seconds.
- Best Performing Card -- displays:
- Best trading pair by spread
- Best exchange route (e.g., "Binance -> OKX")
- Largest spread percentage detected
- Average execution time in seconds
- Recent activity list showing the last 3 opportunities with their pair, spread, and profit
- Active Bots Card -- lists all currently running bots with their trading pair count, exchange count, total profit, and success rate. If no bots are running, a prompt to create one is shown.
- Active Opportunities Card -- lists current opportunities, each showing the trading pair, spread percentage, buy and sell exchange (with directional arrow), estimated profit, and volume. Each opportunity has an Execute button for manual execution and a view details button.
Opportunities Tab
The Opportunities tab gives you a detailed view of all detected arbitrage opportunities, organized into three sub-tabs:
- Active -- opportunities currently available for execution. Each opportunity card shows:
- Status badge (Active)
- Trading pair name
- Buy exchange and sell exchange with directional arrow
- Spread percentage
- Volume in dollars
- Estimated profit in dollars
- Execute button (for manual execution)
- Details button (opens the opportunity details modal)
- Completed -- successfully executed opportunities with their final profit figures.
- Failed -- opportunities that were attempted but failed, with details about what went wrong.
Each sub-tab shows a count badge. You can search opportunities by keyword, and filter by status using the dropdown.
Opportunity Details Modal: Clicking "Details" on any opportunity opens a detailed modal with:
- Overview cards for profit, spread, volume, and risk level
- A Details tab showing the buy and sell exchanges with prices, trading pair, and timestamp
- An Analysis tab with risk assessment (liquidity risk, price impact, execution speed) and market conditions (volatility, network congestion, gas fees, estimated duration)
- An Execution tab showing the step-by-step plan: buy on the lower-price exchange, transfer assets, and sell on the higher-price exchange, along with an execution summary (expected profit, estimated time, success probability)
- Action buttons for active opportunities: Execute Arbitrage, Schedule Execution, or Cancel
My Bots Tab
The My Bots tab is where you manage all your arbitrage bots. Bots are organized into sub-tabs:
- All Bots -- every bot regardless of status.
- Active -- bots currently scanning and/or executing trades.
- Paused -- bots temporarily suspended; they retain their configuration and can be resumed.
- Stopped -- bots that have been fully stopped.
Each bot card displays:
- Bot name and status badge (Active, Paused, or Stopped)
- Number of connected exchanges
- Number of monitored trading pairs
- Minimum spread setting
- Profit threshold
- Success rate with a visual progress bar
- Total profit earned
Bot controls:
- Pause -- temporarily stop an active bot from scanning and trading.
- Resume / Start -- resume a paused bot or start a stopped bot.
- Configure -- open the bot's settings.
Additional actions (via the dropdown menu on each bot card):
- View Details -- open the full bot details view with tabs for Overview, Trades, Performance, Alerts, and Settings.
- Duplicate -- create a copy of the bot with the same configuration.
- Export Config -- download the bot's configuration as a JSON file.
- Delete Bot -- permanently remove the bot (requires confirmation).
You can search bots by name, filter by exchange or trading pair, and sort by name, profit, success rate, total trades, or creation date (ascending or descending).
Exchanges Tab
The Exchanges tab manages your exchange connections for arbitrage:
- Connected -- exchanges with valid API keys configured, ready for trading.
- Disconnected -- exchanges that are not currently connected or have invalid keys.
- All Exchanges -- a combined view.
Each exchange card shows the exchange name, logo, and connection status.
Actions:
- Connect New Exchange -- opens a dialog where you select an exchange (Binance, OKX, and others), then enter your API Key and API Secret. Click Connect to add the exchange.
- Disconnect -- remove an exchange connection.
- Security Settings -- opens a dialog to configure security options including two-factor authentication, API key encryption, and session timeout duration.
Viewing Opportunities
Active arbitrage opportunities appear in both the Overview tab and the Opportunities tab. Each opportunity displays:
- Trading pair -- the asset pair (e.g., BTC/USDT)
- Buy exchange -- the exchange with the lower price
- Sell exchange -- the exchange with the higher price
- Spread (%) -- the percentage difference between buy and sell prices
- Estimated profit ($) -- the dollar amount of potential profit for the given volume
- Volume ($) -- the trade volume in dollars
- Execution time -- how long the opportunity has been available, or how long execution took
Opportunities update as the bot scans at its configured interval. Active opportunities can be executed manually by clicking the Execute button, or they are executed automatically if the bot is in auto-execute mode.
Completed and failed opportunities are preserved in the Opportunities tab for historical review.
Profit History
The Overview tab features a Profit Overview area chart that tracks your cumulative arbitrage profits over time. The chart displays daily profit data and updates every 60 seconds.
For individual trade breakdowns, use the My Bots tab and click View Details on a specific bot to see its Trades tab, which lists each executed trade with pair, profit amount, and timestamp.
The Header Stats section also provides aggregate figures including total all-time profit and success rate, with month-over-month trend indicators.
Tips for Arbitrage Trading
- Spreads are typically small -- arbitrage opportunities usually range from 0.1% to 1%. Profits accumulate through trade volume and frequency, not individual large gains.
- Account for all fees -- the bot applies a 0.1% trading fee per exchange (0.2% round trip for buy + sell). If you enable transfer fee accounting in the bot engine configuration, an additional percentage is deducted to reflect the cost of moving assets between exchanges. Set your minimum spread above your total fee threshold to avoid unprofitable trades.
- Keep sufficient funds on both exchanges -- the bot cannot transfer funds between exchanges. To execute an arbitrage trade, you need buying power on the exchange with the lower price and the asset available to sell on the other exchange.
- Speed matters -- arbitrage opportunities are fleeting. Other traders and bots are also scanning for the same price differences. Auto-execute mode reacts faster than manual execution, but manual mode gives you control to evaluate each opportunity.
- Live trading has risk management built in -- the bot engine includes a risk manager with configurable limits: maximum position size, maximum daily loss (2% default), maximum consecutive failures (3 default), minimum profit threshold, maximum slippage (0.2% default), and a circuit breaker that halts trading when limits are exceeded.
- Start with lower risk settings -- when first using the arbitrage bot, consider using a conservative risk level, a higher minimum spread threshold (1%+), and lower max volume per trade. As you observe how frequently opportunities appear and how well they execute, you can adjust settings.
- Monitor your bots regularly -- check the dashboard to review success rates, total profit, and any failed trades. Use the Alerts tab in bot details to stay informed of issues.
- Paper trading is available -- bots can run in paper trading mode to simulate arbitrage trades without using real funds. This lets you evaluate opportunity frequency and bot performance before committing capital.
Related Guides
- Trading Bots Overview -- general information about all bot types in BlockbotX
- DCA Bot -- guide for the Dollar Cost Averaging bot
- Getting Started -- initial setup and account configuration