thesammy26/polymarket-arbitrage-bot

This bot automates a specific trading strategy on Polymarket's 15-minute Up/Down markets for Bitcoin, Ethereum, Solana, and XRP. On Polymarket, these markets ask whether a crypto asset will be higher or lower than its current price in 15 minutes. Each market has two outcomes, Up and Down, and their prices always add up to $1 at resolution: if you hold both sides you collect exactly $1 regardless of which way the price moves. The strategy the bot uses is called dump-and-hedge. When one side of the market drops sharply in price within the early minutes of a round (the dump), the bot buys it. It then waits for the other side to also become cheap enough that the combined cost of both positions falls below a configurable target, such as $0.95. If you can buy both sides for less than $1 combined, and one of them always pays out $1, the difference is a locked-in gain. If the favorable hedge price does not appear in time, the bot has a stop-loss path that buys the other side anyway at a configured maximum combined cost. The bot polls Polymarket prices once per second by default, automatically finds the currently active market for each asset, and rolls forward to the next period when a round ends. At the end of each round, it can redeem winning positions on the Polygon blockchain where Polymarket operates. Setup requires Node.js version 16 or newer. Configuration is done through a file where you set your wallet private key, which markets to trade, the size of each order, the thresholds that define a dump, and how long to wait before triggering the stop-loss. The bot has a simulation mode that logs trades without placing real orders, which the README recommends using first before switching to production mode. The disclaimer states the software is for educational and research purposes, that prediction markets involve substantial financial risk including possible total loss, and that the authors take no responsibility for outcomes.