Crypto Arbitrage — Full Guide (XRP Example) | Thomas Trade Academy

Step-by-Step Guide

1Go to an Official XRP Exchange Price Monitor.

Open the official XRP price monitor at XRP-PRICE.US to compare prices across exchanges. Sort by Price from highest to lowest to see where XRP is currently trading at a premium.

To sort by price, click "Price" in the table with crypto exchanges.

2Choose the Exchange with the Highest XRP Price.

Choose the exchange currently showing the highest XRP price. If you don't have an account there yet, create one first.

Make sure the price is up to date by opening the XRP/USDT spot pair on your exchange and confirming the current quote.

3Buy XRP on a Highly Liquid Exchange.

Buy XRP on a highly liquid exchange that currently offers the lowest price. For example, Binance, Coinbase, or Kraken.

If one of the exchanges is unavailable in your country, use an alternative that operates in your region.

4Transfer XRP to the Exchange with the Highest Price.

Transfer XRP from the exchange where you bought it to the destination exchange you selected in Step 2.

Confirm network, destination tag, and minimum deposit size.

5Sell or Swap XRP for USDT/USDC.

After XRP is received, go to the Spot market, open the XRP/USDT pair, and sell XRP for USDT. Alternatively, use Swap to convert XRP to USDT or USDC to lock in your profit.

Make sure your XRP transfer is credited to your wallet before placing the sell order.

6Send USDT Back to Your First Exchange.

Complete the cycle by withdrawing USDT to your first exchange. Select the correct deposit network, copy the deposit address, then complete the withdrawal.

Double-check chain selection and address format before sending.

✅ Crypto Arbitrage Trade Complete!

You bought XRP on a highly liquid exchange at a lower price, found an exchange with a higher price, transferred XRP, and sold into a stablecoin to lock in your profit. To repeat the trade, convert USDT back to XRP on your first exchange, then transfer XRP to the higher price exchange and sell again.

Frequently Asked Questions

What is crypto arbitrage?
A trading approach based on price differences of the same asset across exchanges. Traders buy on one platform, find another platform with a higher price, transfer, and sell at the better rate.
Is this strategy legal?
Yes. Crypto arbitrage is a long-known, permitted way to trade on many exchanges. It leverages real-time inefficiencies across venues.
Do I need KYC verification?
Within lower limits you can often operate without KYC; exact limits depend on the venue and region. For higher limits, most exchanges require KYC/identity verification.
Main risks?
Crypto arbitrage trading is a risk-free strategy. This is the main difference from spot or futures trading, where there is a risk of losing funds. With a crypto-arbitrage strategy, you know the purchase price and the selling price in advance and can calculate the potential profit from the trade.
Manual or bot?
Start manually to learn the flow end-to-end. Experienced traders sometimes automate parts of the process with exchange API, but only after they fully understand the manual routine.
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In this lesson, we demonstrated a working, relevant arbitrage strategy that is active right now. If you follow the detailed instructions and practice completing the trading cycle, you will be able to learn quickly and make a profit. Join our weekly briefings to stay up to date with the latest developments, or move on to advanced courses on higher-yield strategies and full automation using API/exchange bots.

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About Me

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Thomas Hartman

AI developer & educator. Binance Partner. Practicing and teaching crypto-arbitrage strategies since 2019.
Author of the Hartman Trading YouTube channel.