Evergreen guide
Triangle Arbitrage: how three-market routes are calculated
Learn how a triangular route works, why quoted spreads disappear and which costs matter.
What it means
Triangle arbitrage compares three conversions on one venue, for example USDT to an asset, that asset to BTC and BTC back to USDT. The apparent difference must survive every executable price.
How to read the data
Use ask prices for purchases and bid prices for sales. Deduct trading fees for all three legs, then account for order-book depth, minimum sizes, rounding and fill risk.
Risk checks
A theoretical spread can vanish before all orders fill. Automated data is a research signal, not an instruction to submit three orders without risk controls.
Continue with context
Choose a useful next step
Use the guide to build a workflow: read the next concept, verify current public data, then compare exchange conditions before acting.
Continue your research
Public sources · methodology · risk-awareMarket data is for research, not financial advice. Verify exchange terms and network conditions before acting. Risk disclosure