Arbitrage is the simultaneous purchase and sale of the same asset in different markets in order to profit from tiny differences in the asset's listed price. It exploits short-lived variations in the price of identical or similar financial instruments in different markets or in different forms (Fernando, 2022) [1] .

Since the recent surge of cryptocurrency vernacular, you will hear the term Peg, above Peg, or below Peg. For beginners in the cryptocurrency world, this might seem like a strange term or an even stranger concept. The term Peg is always synonymous with Stablecoins.