On-Chain Arbitrage across Solana DeFi ecosystem

On-Chain Arbitrage across Solana DeFi ecosystem

Client Background

The client is an NFT project on the Solana blockchain, boasting a collection of 777 unique NFTs. With a vibrant community of approximately 6000 members and an impressive trading volume of $250K, they are committed to incentivizing NFT holders and providing them with valuable benefits. In line with this vision, the client aims to grant exclusive access to an on-chain arbitrage service, empowering NFT holders to engage in profitable trades across Solana's thriving DeFi ecosystem.

Problem Statement

The client was in need of a skilled technical team to bring their project to life, although they possessed valuable insights into the world of arbitrage. Facing fierce competition from well-established players who had insider access to Solana's ecosystem, it became evident that a team of top-notch technical experts was crucial. Additionally, the inherent limitations of Solana's maximum transaction size prevented the possibility of arbitraging across more than two markets, making it clear that the most lucrative opportunities lay within this restriction.

Solution

Introducing ArbX, an innovative cryptocurrency arbitrage platform built on the powerful Solana blockchain. With ArbX, we bring together the price data from various decentralized exchanges (DEXs) and automated market makers (AMMs) in a comprehensive graph, unlocking numerous trading pathways that guarantee a net profit. Our platform executes these profitable trades based on the user's customized configuration, taking into account their risk tolerance and staked tokens. To provide exclusive access to profit-making opportunities, our arbitrage execution is secured through NFT-gating, ensuring that NFT holders enjoy privileged benefits. Experience the future of crypto arbitrage with ArbX.

Results & Highlights

  • We contributed Client Bindings for Address Lookup Tables to Solana mainnet which solves the issue of limited transaction size. Our solution has been merged into Solana and is now being used by thousands of Solana developers to send and receive larger transactions, including our competitors.
  • Our contribution of Address Lookup Tables unlocked the potential for profitable arbitrages in up to 6 markets, creating a unique opportunity that sets us apart from our competitors.
  • We successfully achieved an impressive execution latency of approximately 4 milliseconds, which is on par with industry leaders.
  • We made history on Solana by being the pioneers in executing a groundbreaking 4-legged swap.
  • We successfully developed the entire system using just half of the allocated budget in less than 6 months - a remarkable cost savings of nearly 1000% compared to our competitors. Not only that, but we also accomplished this in 70% less time than the industry average.

Conclusion

This case study demonstrates how our assistance enabled an NFT project on the Solana blockchain to successfully execute profitable arbitrages across DEXs, despite facing infrastructure limitations, incumbent pressure, a limited budget, and time constraints. Our solution surpassed expectations by contributing to the core infrastructure to meet the client's specific requirements, filling the gaps left by existing tooling. This case study serves as concrete evidence of our expertise in blockchain technology and decentralized finance.