Arbitrage#109

Gas-Fee Threshold Arbitrage

Some cross-venue and on-chain arbitrage spreads are genuinely profitable but only when Polygon gas is cheap; once gas spikes, the spread no longer covers transaction cost. Monitor Polygon's base fee and fire these marginal arbs only during low-gas windows, capturing spreads that competitors skip whenever gas is high. The edge is treating gas as a live, tradable cost input rather than a fixed friction you ignore.

What you need to run it

Polygon base-fee/mempool monitor with EIP-1559 prediction
Gas-cost-net spread calculator per arb leg
Pre-signed transaction queue for instant low-gas firing
Capital staged on-chain to avoid bridge latency

Where this applies

Markets on Polymarket where gas-fee threshold arbitrage is the natural play:

Will ETH close above $5,000 on September 30, 2026?
Will Bitcoin be up at 4pm ET today? (recurring daily market)
Will SOL be above $250 on August 31, 2026?

Capabilities this demands

Low latencyCustom code / APIMulti-venueOn-chain / wallet

At a glance

CategoryArbitrage

Requirements4

CapabilitiesLow latency, Custom code / API, Multi-venue, On-chain / wallet

VenuePolymarket (CLOB, Polygon)

Build it

Related arbitrage strategies

This is documentation, not advice. Poly Research & Robotics publishes how these strategies work because the method should be checkable — not as a recommendation to trade them. See the full strategy database (147 strategies) or the data resources directory.