Business idea · SaaS
Arbitrage Trading Software
Arbitrage Trading Software is a software solution that identifies and alerts traders to potential arbitrage opportunities across various markets, enabling them to make swift trades. It was pitched on My First Million in the episode "How to find your arbitrage (from the guy who’s done it 3x) ft. Nick Kokonas" (aired October 26, 2026).
At a glance
| Podcast | My First Million |
|---|---|
| Hosted by | Sam Parr and Shaan Puri |
| Episode | How to find your arbitrage (from the guy who’s done it 3x) ft. Nick Kokonas |
| Aired | October 26, 2026 |
| Category | SaaS |
| Real companies on the episode | Talk, A Restaurant (Unnamed), Uber, Nobu, Strange House, Alinea |
The problem it solves
Traders often miss out on arbitrage opportunities due to the fast-paced nature of markets. This software helps them capitalize on price discrepancies before they disappear.
How it makes money
Subscription model where users pay a monthly fee for access to the software and real-time alerts.
Skills you need
Software development, understanding of trading mechanisms, and familiarity with market analysis.
The market, and why this works now
Traders with less than $1M in annual revenue often struggle to detect fleeting arbitrage opportunities due to rapid market fluctuations. Utilizing API integrations with platforms like Alpaca or Interactive Brokers can facilitate real-time data tracking and alerts. A viable first-revenue move could involve targeting the r/algotrading subreddit to attract initial subscribers. Founders may face a significant technical hurdle in developing a robust algorithm capable of processing and analyzing vast amounts of market data quickly enough to provide timely alerts.
Our analysis, written after the episode. Not a quote from the show.
Real companies discussed on this episode
- Talk
Talk was a company that aimed to improve the restaurant reservation process by understanding customer preferences and offering dynamic pricing for table reservations.
- A Restaurant (Unnamed)
A high-profile restaurant started by the speaker, which gained recognition as one of the best in America.
- Uber
Uber is a ride-hailing platform that connects passengers with drivers through a mobile app, utilizing dynamic pricing models to manage supply and demand.
- Nobu
Nobu is a high-end restaurant chain known for its Japanese-Peruvian fusion cuisine.
- Strange House
A unique immersive experience that combines elements of magic and narrative arc, aiming to create human connections through awe and wonder.
- Alinea
Alinea is a fine dining restaurant in Chicago known for its innovative cuisine and unique dining experiences.
Where this idea came from
Podcast: My First Million, hosted by Sam Parr and Shaan Puri
Episode: How to find your arbitrage (from the guy who’s done it 3x) ft. Nick Kokonas
Aired:
Summarized from the episode transcript. The show does not say which speaker raised each idea, so we credit the show, not a person.