Pre-Funded Binance–OKX Spot Spread Convergence Strategy

Summary

This strategy scans for price differences between shared Binance and OKX spot markets, buys on the lower-priced exchange, and sells matching inventory on the higher-priced exchange. It ranks candidate spreads using executable quotes, then opens and closes both legs in batches after user-set spread thresholds are reached. The approach requires quote currency on the cheaper exchange and the asset itself on the more expensive exchange; it does not transfer assets between venues or create a short position.

The document describes monitoring matched quantities, prioritizing an unfilled leg to reduce exposure, and pausing plans for balance checks after a restart. It reports syntax checks and offline tests of spread direction, ranking, parameter parsing, and quantity calculations, but no completed live round trip. Fees are not included in the thresholds, and turnover, order limits, partial fills, account settings, and asset transferability can prevent apparent spreads from becoming net profit. The displayed notional exposure is not net profit.

Key ideas

• The strategy seeks convergence by buying on the cheaper venue and selling pre-positioned inventory on the more expensive venue.
• It scans common spot markets and ranks candidate spreads using quotes from both exchanges.
• Entry and exit thresholds do not automatically account for fees or execution differences.
• Unequal fills create unhedged exposure, so the strategy attempts to complete the lagging leg.
• Offline checks were reported, but a full live entry-to-exit cycle remains unverified.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.