When screening arbitrage tokens on Gate.io, liquidity and fee stability are far more important than "high returns." It is recommended to prioritize as follows:

Recommended Tier: Conservative Arbitrage Pools

First Tier: BTC (BTC/USDT)

Advantages: Best depth, most stable fees, minimal slippage. Although single-transaction fees are usually only 0.01%–0.02%, the risk of liquidation is the lowest, making it suitable for large funds as a "stabilizer."

Operation: BTC perpetual contracts on Gate are settled every 8 hours, with long-term slightly positive fees, making it the safest trading pair for beginners.

Second Tier: Mainstream Public Chains (SOL, BNB, XRP)

SOL (SOL/USDT): Highly active on Gate, with fee fluctuations larger than ETH, often offering opportunities of 0.03%–0.05%, but watch out for basis risk caused by rapid price swings.

BNB (BNB/USDT): As a platform token, it has ample liquidity on Gate and relatively moderate fees.

XRP, DOGE: High retail participation, with fees prone to short-term premiums driven by sentiment, suitable for quick in-and-out trades.

Third Tier: Layer 2 and Popular New Coins

Targets: such as ARB, OP, STRK, etc.

Logic: These tokens often have higher contract premiums during market rotations (fees can reach 0.05%+), but liquidity traps are obvious. Suitable for light positions when fees are significantly positive and order book depth is substantial.

Selection Criteria: Three-step Target Lock-in

Avoid blindly chasing high fees. Use the following standards to filter on Gate's contract market list:

Liquidity Threshold: Prioritize tokens with 24h trading volume > 100 million USDT. Tokens with poor depth will have slippage that eats up all profits during hedging.

Fee Thresholds:

Conservative: Enter when fees are continuously ≥ 0.01% (covering transaction costs with slight profit).

Aggressive: Avoid chasing transient fees > 0.1%, which usually indicate market euphoria peaks and can quickly reverse into negative fees.

Price Spread Monitoring: Before opening a position, check the basis between the "Mark Price" and the "Index Price." If the basis > 0.5%, hedging costs are too high; it’s recommended to abandon the trade.

Forbidden Tokens: Tokens to avoid at all costs

Very small market cap tokens: such as various Meme coins or newly listed tokens on contracts. These tokens may have fees exceeding 0.5%, but liquidity is extremely poor. A large order can cause price spikes, leading to failed hedges or liquidation.

Tokens with frequent negative fee flips: If a token’s funding rate jumps frequently between positive and negative, it indicates intense long-short battles and a hostile arbitrage environment.

Advice: When practicing on Gate.io, start with BTC + ETH to establish a standard process. After familiarizing yourself with the 8-hour settlement rule, gradually expand to second-tier mainstream tokens like SOL. #Gate广场四月发帖挑战