Welcome to the third and most advanced workshop where we will be creating a cryptocurrency arbitrage robot. If you already understand cryptocurrency and arbitrage then off the bat, this is going to make a lot of sense. If not, let me give a quick introduction. cryptocurrency at a high level is much like a regular fiat currency like a USD USD and yen, but it's only stored digitally and doesn't have a physical form. cryptocurrency can be bought and sold on exchanges similar to how shares are traded on the share market. Some popular cryptocurrency exchanges are binance bit tricks and COO coin, the price of most cryptocurrencies are usually shown as relative to the price of one bitcoin or in USD.

For example, you may see other cryptocurrencies like ripple worth point 00981 and Litecoin as point 008 something Something and Bitcoin cash with a price of point 043, etc. These prices are relative to Bitcoin. So for example, if Bitcoin cash is worth approximately 4% of one bitcoin and if we take one divided by 4% we can say that the price of one bitcoin is roughly equivalent to 2324 Bitcoin cash arbitrage is taking advantage of a price difference of an asset between two exchanges. For example, you might see Bitcoin on by Nance for $1,000 and Bitcoin on bit tricks for 1500 dollars. Therefore, the arbitrage opportunity would be buying Bitcoin on by Nance and then selling it on bit tricks for a profit of $500. The workflow we'll be making today will identify arbitrage opportunities, but won't do the trades for you.

So because we're dealing with the potential sensitive topic of money. Before moving on, I'd like to mention that this video is purely for learning purposes only specifically to demonstrate how to utilize the download and JSON pause tools and how to use the standard macro. We discussed these in chapter six and seven, but haven't yet put it into practice. This video isn't financial advice, and it's not made with the intention for you to make money. And I highly discourage you from using the workflow for that intent. If anything, you'll most likely not make any money at all from this.

At the time of making this video. I don't own Bitcoin, but I do own several other cryptocurrencies. However, I don't own any of the example cryptocurrencies we'll be talking about in the workflow. If you decide to use this workflow for trading, I'm not responsible for any of your actions, losses or gains. I'm going to say this one last time, please don't use this workflow to trade cryptocurrency. This is purely for learning only.

So with that out of the way, for starters, you'll notice our source files contain a version one and version two. And that's because for the first part, or version one of this workshop, we're going to build our workflow and have a working product. The second part will be converting this to a macro. Let's have a look at what this workflow will look like. I know this looks like a lot to take in. So I've broken the workshop up into several components, so they're easier to digest, the first component selecting your exchanges and currencies.

We'll start with two text input files. The first is the exchange URLs. And the other one is for listing the coins we want to research. We're going to combine these two inputs together and replace parts of the exchange URL without coin name, or download the prices which will be returned to us in a table and then we'll identify the best price for each coin. Finally, we'll determine if there are any worthy arbitrage opportunities. The end result will look something like this.

Here we have the name of our coins, the cheapest exchange to buy them from the price and the exchange to sell them out with their associated sell price. In this example, Litecoin Tron and ripple don't have any worthy arbitrage opportunities, so there's no action to pursue. The second part of this workshop will be taking the workflow and converting it to a macro, which will look something like this. This blue.is a macro input tool that references the actual macro, which is more or less how version one workflow. Here's our macro Before moving on, if you're already familiar with what API JSON bid and ask prices are and how arbitrage works, you can probably skip the next video. But if this is new to you, I highly recommend watching the next video to provide context and background about what's happening.