Answer ยท confidence: partial
How much do crypto price-gap traders earn, and is that space crowded now?
Research question: How much do arbitrage traders and market makers earn in crypto, and how crowded have those niches become?
The records show that neutral CEX-DEX searchers had median profit margins of about 30% to 70%, versus 20% to 40% for most exclusive searchers 3. Most exclusive searchers' median profit per trade rarely exceeds 5 USD, while neutral searchers' median often exceeds 10 USD 6. Wintermute, SCP, and Kayle earned the highest total revenues, but their margins were among the lowest, with median profit per trade only a few dollars above zero 7. Crowding is evident: these three captured about 73% of cumulative CEX-DEX extracted value, about 170.8M USD, and about 90% of it by Q1 2025, while smaller searchers' shares were compressed 10. The newest fact covers data through June 2025 2, so it is more than a year old as of October 2026, and the sources do not directly measure market-maker earnings 310.
Checked 2026-10-21. Only documented and supported facts are used.
Dig deeper on this questionSources
[1] supported
Four arbitrage bots deployed on two blockchains generated monthly returns of 24.91%, 33.35%, and 17.39% in the period studied.
"Four arbitrage bots deployed on two blockchains generate monthly returns of 24.91%, 33.35%, and 17.39% between November 27, 2023, and December 31, 202"Arbitrage trading between decentral and central cryptocurrency exchanges - ScienceDirect
[2] supported
Indian cryptocurrency prices for Bitcoin, Ether and Tether ran about 5.38% above dollar-market prices on average, and the premium was positive on 97.18% of observations.
"Indian prices stand 5.38% above dollar prices on average, higher on 97.18% of observations and equal on none."Cross-Border Arbitrage in Cryptocurrency Markets: Evidence from the India-United States Corridor (2026)
[3] supported
Neutral searchers (those not tied exclusively to one builder) have much higher profitability than most exclusive searchers, with median profit margins around 30% to 70%, versus 20% to 40% for most exclusive searchers.
"neutral searchers generally have much higher profitability than most exclusive searchers: their median profit margins cluster around 30% - 70%, whereas the median profit margins of most exclusive searchers are within 20% - 40%."Measuring CEX-DEX Extracted Value and Searcher Profitability: The Darkest of the MEV Dark Forest
[4] supported
Under a square-root price-impact model, an optimising arbitrageur keeps exactly one third of the cost-adjusted premium, regardless of venue volume or the impact coefficient.
"we prove that an optimising arbitrageur retains exactly one third of the cost-adjusted premium, whatever the venue's volume and whatever the impact coefficient"Cross-Border Arbitrage in Cryptocurrency Markets: Evidence from the India-United States Corridor (2026)
[5] supported
The study finds that the efficiency of the Ether market increases over time.
"The efficiency of the Ether market is found to increase with time."Time Series Analysis of Ether Cryptocurrency Prices: Efficiency, Predictability, and Arbitrage on Exchange Rates (2020)
[6] supported
The median profit per CEX-DEX arbitrage trade for most exclusive searchers rarely exceeds 5 USD, while neutral searchers' median often exceeds 10 USD.
"median PnL per trade of most exclusive searchers rarely exceeds 5 USD."Measuring CEX-DEX Extracted Value and Searcher Profitability: The Darkest of the MEV Dark Forest
[7] supported
Although Wintermute, SCP, and Kayle earn the highest total revenues, their profit margins are among the lowest and their median profit per trade is only a few dollars above zero.
"yet their profit margin is among the lowest and their median PnL per trade mostly hovers only a few"Measuring CEX-DEX Extracted Value and Searcher Profitability: The Darkest of the MEV Dark Forest
[8] supported
On one Indian venue, the quoted spread averaged 48.19 basis points over roughly 2.8 days, and resting Bitcoin depth was about 0.24 BTC on the offer versus 0.11 BTC on the bid.
"High-frequency records from one Indian venue over roughly 2.8 days show a quoted spread averaging 48.19 basis points and resting depth of about 0.24 BTC on the offer against 0.11 BTC on the bid."Cross-Border Arbitrage in Cryptocurrency Markets: Evidence from the India-United States Corridor (2026)
[9] supported
The searcher Graves, which sends almost all its trades to the builder Titan, shows negative estimated profitability, meaning builder payments exceeded its arbitrage revenue.
"exhibits negative profitability according to our estimation"Measuring CEX-DEX Extracted Value and Searcher Profitability: The Darkest of the MEV Dark Forest
[10] supported
Three searchers (Wintermute, SCP, and Kayle) captured about 73% of cumulative CEX-DEX extracted value, about 170.8M USD, and about 90% of extracted value by Q1 2025, while smaller searchers' shares were compressed.
"collectively capturing 170.8M USD, representing approximately 73% of the total cumulative extracted value. Furthermore, these top three players dominate arbitrage opportunities even more decisively, jointly accounting for around 90% of the extracted value by Q1 2025."Measuring CEX-DEX Extracted Value and Searcher Profitability: The Darkest of the MEV Dark Forest
[11] documented
An increase in the liquidity provision premium is associated with higher fees and greater impermanent loss on Uniswap.
"We also find that an increase in the liquidity provision premium is associated with a decline in liquidity, trading volume, and transaction count, as well as more withdrawals, higher fees, and greater impermanent loss on Uniswap."Returns from Liquidity Provision in Cryptocurrency Markets (2022)
[12] documented
The liquidity provision premium in cryptocurrency markets is positively predicted by the premiums in US, Canadian, and UK stock markets, indicating a common shock effect.
"Further, the liquidity provision premium of stock markets in the US, Canada, and the UK positively predicts the premium of cryptocurrency markets (effect of a common shock)"Returns from Liquidity Provision in Cryptocurrency Markets (2022)
[13] documented
The liquidity provision premium in cryptocurrency markets is negatively predicted by the premiums in Chinese and Japanese stock markets, indicating a substitution effect.
"while that of stock markets in China and Japan negatively predicts the premium of cryptocurrency markets (effect of substitution)."Returns from Liquidity Provision in Cryptocurrency Markets (2022)
[14] supported
Growing efficiency in cryptocurrency markets over recent years can make trading strategies for speculators less profitable.
"Nevertheless, large steps towards efficiency in cryptocurrencies have been traced during the last years. This can lead to less profitable trading strategies for speculators."A Survey on Efficiency and Profitable Trading Opportunities in Cryptocurrency Markets (2019)
[15] documented
Arbitrage opportunities in crypto markets were well documented and did exist, but their magnitude fell greatly starting in April 2018.
"theirmagnitudedecreasedgreatlyfromApril2018onward."Arbitrage in the market for cryptocurrencies (2023)
[16] documented
The authors' analysis of various trading strategies found that it is barely possible to exploit existing cross-exchange price differences.
"weshowthatitisbarelypossibletoexploitexistingprice"Arbitrage in the market for cryptocurrencies (2023)
[17] documented
The authors conclude that crypto arbitrage is hardly possible anymore because price differences across exchanges are relatively low given present frictions.
"Weconcludethatarbitrageinthemarketforcryptocurrenciesishardlypossibleanymore,aspricedifferencesacrossexchangesarerelativelylowgivenpresentfrictions."Arbitrage in the market for cryptocurrencies (2023)