Arbitrage

byPaytm Editorial TeamLast Updated: December 12, 2025

Meaning

Arbitrage refers to earning profit by buying and selling the same asset in different markets.

Definition

It takes advantage of price differences to make risk-free gains.

How It Works

Traders buy at a lower price and sell at a higher price instantly.

Importance

Helps maintain fair market prices.

Author

Paytm Editorial Team

The Paytm Editorial Team is a collaborative group of writers, editors, and industry experts. We're dedicated to bringing you the latest insights, news, and guides on digital payments, financial services, and the technology that's shaping India's economy. We offer easy-to-follow guides and insights to help you explore Paytm’s products, features, and services. Our goal is to provide clear, reliable, and helpful information to empower you on your financial journey.

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