Is flash loan arbitrage still profitable?
Are you still seeing profitability in flash loan arbitrage? With the increasing competition and regulatory scrutiny in the cryptocurrency space, is this strategy still viable for generating returns? Are there any new challenges or risks that investors need to be aware of when engaging in flash loan arbitrage? Are there alternative strategies that you would recommend for those looking to capitalize on market inefficiencies?
What happens if you don't pay back a flash loan?
I'm curious, what exactly transpires if an individual fails to repay a flash loan? Are there any severe consequences or penalties in place for defaulting on such a loan? How does the system handle these situations to ensure both lenders and borrowers are protected? I'd appreciate a clear and concise explanation of the potential outcomes and implications of not fulfilling a flash loan obligation.
What is a flash loan in crypto?
Could you elaborate on the concept of a "flash loan" in the realm of cryptocurrency? I've heard the term mentioned but am not entirely clear on its mechanics and applications. Specifically, I'm interested in understanding how a flash loan differs from traditional loans, what the key benefits or risks are, and how it functions within decentralized finance (DeFi) protocols. Additionally, I'd like to know if there are any specific platforms or protocols that are known for facilitating flash loans and if they require any specific technical knowledge or setup for users to access.