steem2sol: the profit math calculation

in crypto •  9 months ago 

Is it profitable to make steem2sol? Let's do some calculations:

I usually have $1000 USD worth of the coins in the pool. So, if $1000 USD is swapped, ideally, I should have 1% of profit which is $10 (not considering the coin price fluctuating) .

When the funds run low (e.g. 50% = $500), I should send the STEEM to exchange, and sell it as USDT, and then buy the SOL back and then withdraw to the pool to fill it up. There is a transaction fee per trade in the exchanges, and most importantly, a one-time withdraw fee is 0.02 SOL (in both MXEC and HTX), which is about $2 USD.

So, the fee is 0.02 SOL x 2 which is $4 per $1000 Swaps. This calculation does not consider the coin/change/transaction fee.

A better way of doing this, is to have some funds in the exchange, when there is a swap, in the exchange, we should invoke the API to sell STEEM, and buy SOL using the limit order to make sure it is profitable . But this is complicated and sometimes risky as the price may fluctuate a lot causing the limit order not fulfilled.

TLDR; So, I am just hoping $6 is enough to make both ends meet.

Steem to the Moon🚀!

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