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Created optimized arbitrage-bot smart contract code
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manavjain2002 committed Oct 15, 2023
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157 changes: 157 additions & 0 deletions Level1/Dex Arbitrage/Arbitrage.sol
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//SPDX-License-Identifier: MIT
pragma solidity ^0.8.9;

import "@openzeppelin/contracts/access/Ownable.sol";
import "@openzeppelin/contracts/utils/ReentrancyGuard.sol";
import "./interfaces/IERC20.sol";
import "./interfaces/IWETH9.sol";
import "./interfaces/IUniswapV2Router02.sol";

contract Arb is Ownable, ReentrancyGuard {
address payable private wethAddress;

constructor(address _wethAddress)
// Ownable(msg.sender)
// Uncomment above line if you get this error - No arguments passed to the base constructor. Specify the arguments or mark "Arb" as abstract
{
wethAddress = payable(_wethAddress);
}

function _swapTokens(
address _router,
address _tokenIn,
address _tokenOut,
uint256 _amountIn,
uint256 _amountOutMin,
uint256 _deadline
) private {
IUniswapV2Router02 routerContract = IUniswapV2Router02(_router);
IERC20(_tokenIn).approve(_router, _amountIn);
address[] memory path = new address[](2);
path[0] = _tokenIn;
path[1] = _tokenOut;
routerContract.swapExactTokensForTokens(
_amountIn,
_amountOutMin,
path,
address(this),
_deadline
);
}

function getExpectedAmountOut(
address _router,
address[] memory path,
uint256 _amountIn
) public view returns (uint256) {
IUniswapV2Router02 routerContract = IUniswapV2Router02(_router);
uint256[] memory amountOutMins = routerContract.getAmountsOut(
_amountIn,
path
);
return amountOutMins[path.length - 1];
}

function dualDexTrade(
address _router1,
address _router2,
address _token1,
address _token2,
uint256 _amountIn,
uint256 _deadline
) external onlyOwner() nonReentrant() {
uint256 token1BalanceBeforeSwap = IERC20(_token1).balanceOf(
address(this)
);

uint256 token2BalanceBeforeSwap = IERC20(_token2).balanceOf(
address(this)
);

address[] memory path = new address[](2);
path[0] = _token1;
path[1] = _token2;

uint256 expectedToken2Output = getExpectedAmountOut(
_router1,
path,
_amountIn
);

_swapTokens(
_router1,
_token1,
_token2,
_amountIn,
expectedToken2Output,
_deadline
);

uint256 token2BalanceAfterSwap = IERC20(_token2).balanceOf(
address(this)
);

uint256 swappedToken2Balance = token2BalanceAfterSwap -
token2BalanceBeforeSwap;

path[0] = _token2;
path[1] = _token1;

uint256 expectedToken1Output = getExpectedAmountOut(
_router2,
path,
swappedToken2Balance
);

_swapTokens(
_router2,
_token2,
_token1,
swappedToken2Balance,
expectedToken1Output,
_deadline
);

uint256 token1BalanceAfterSwap = IERC20(_token1).balanceOf(
address(this)
);

require(token1BalanceAfterSwap > token1BalanceBeforeSwap, "No Profit");
}

function _unwrapWETH() private {
uint256 balance = IWETH9(wethAddress).balanceOf(address(this));
require(balance > 0, "Insufficient balance");
IWETH9(wethAddress).withdraw(balance);
}

function withdrawETH() public onlyOwner() nonReentrant() {
try
IWETH9(wethAddress).withdraw(
IWETH9(wethAddress).balanceOf(address(this))
)
{} catch {}

_withdrawETHTo(owner());
}

function _withdrawETHTo(address to) private {
uint256 value = address(this).balance;

(bool success, ) = to.call{value: value}("");
require(success, "Withdraw failed");
}

function unwrapWETH() public onlyOwner() nonReentrant() {
_unwrapWETH();
}

function withdrawTokens(address _token) external onlyOwner() nonReentrant() {
uint256 balance = IERC20(_token).balanceOf(address(this));
IERC20(_token).transfer(owner(), balance);
}

receive() external payable {}

fallback() external payable {}
}
78 changes: 78 additions & 0 deletions Level1/Dex Arbitrage/README.md
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# Arbitrage Bot Smart Contract
#### Aritrage Bot is used to earn the profit by trading the asset having different liquidities in different dexes.

## How to call dualDexTrade Function ?

#### Router1 - router address of dex that have less price of token2.
#### Router2 - router address of dex that have high price of token2.
#### Token1 - address of token1 i.e address of your asset(token you hold).
#### Token2 - address of token on which you want to perform the arbitrage.
#### AmountIn - amount of token1 you want to use for arbitrage. (in Wei).
#### Deadline - maximum timestamp to perform the arbitrage trade.

## For example:

Network - Goerli

Address of token1 - 0x7bC40cFa63A04312b954e648c0cCD0c271F86C39

Address of token2 - 0x68B379A700d2d2a9Bad1306e41eB34b777aF43ED

## Added the liquidity in two different dexes i.e Uniswap and Sushiswap

Uniswap Router Address - 0x7a250d5630B4cF539739dF2C5dAcb4c659F2488D

SushiSwap Router Address - 0x1b02dA8Cb0d097eB8D57A175b88c7D8b47997506

#### Liquidity on Uniswap

Token1 - 100000
Token2 - 10000000

That shows 1 Token1 = 100 Token2

#### Liquidity on SushiSwap

Token1 - 100000
Token2 - 1000000000

That shows 1 Token1 = 10000 Token2

#### Let's perform Arbitrage on it.

Router1 - 0x1b02dA8Cb0d097eB8D57A175b88c7D8b47997506

Router2 - 0x7a250d5630B4cF539739dF2C5dAcb4c659F2488D

Token1 - 0x7bC40cFa63A04312b954e648c0cCD0c271F86C39

Token2 - 0x68B379A700d2d2a9Bad1306e41eB34b777aF43ED

AmountIn - 1000000000000000000000 (1000 token1)

Deadline - Ideally, value is current timestamp + 60.

## So, the trade will perform in following steps:

1. Token1 is swapped to token2 on router1.

2. Token2 is swapped to token1 on router2.

3. Checking balance of token1 after the above two steps. If balanceAfterTrade is greater than balanceBeforeTrade, the trade will be successful, else it will revert.


## So, in our example,

### Step 1

#### amountIn1 = 1000000000000000000000
#### amountOut1 = 9969006090092817746

### Step 2

#### amountIn2 = 9969006090092817746
#### amountOut2 = 99292303114452994728883

### Step 3

#### amountOut2 - amountIn1 > 0, so, trade succeeded.
79 changes: 79 additions & 0 deletions Level1/Dex Arbitrage/interfaces/IERC20.sol
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// SPDX-License-Identifier: MIT
// OpenZeppelin Contracts (last updated v5.0.0) (token/ERC20/IERC20.sol)

pragma solidity ^0.8.9;

/**
* @dev Interface of the ERC20 standard as defined in the EIP.
*/
interface IERC20 {
/**
* @dev Emitted when `value` tokens are moved from one account (`from`) to
* another (`to`).
*
* Note that `value` may be zero.
*/
event Transfer(address indexed from, address indexed to, uint256 value);

/**
* @dev Emitted when the allowance of a `spender` for an `owner` is set by
* a call to {approve}. `value` is the new allowance.
*/
event Approval(address indexed owner, address indexed spender, uint256 value);

/**
* @dev Returns the value of tokens in existence.
*/
function totalSupply() external view returns (uint256);

/**
* @dev Returns the value of tokens owned by `account`.
*/
function balanceOf(address account) external view returns (uint256);

/**
* @dev Moves a `value` amount of tokens from the caller's account to `to`.
*
* Returns a boolean value indicating whether the operation succeeded.
*
* Emits a {Transfer} event.
*/
function transfer(address to, uint256 value) external returns (bool);

/**
* @dev Returns the remaining number of tokens that `spender` will be
* allowed to spend on behalf of `owner` through {transferFrom}. This is
* zero by default.
*
* This value changes when {approve} or {transferFrom} are called.
*/
function allowance(address owner, address spender) external view returns (uint256);

/**
* @dev Sets a `value` amount of tokens as the allowance of `spender` over the
* caller's tokens.
*
* Returns a boolean value indicating whether the operation succeeded.
*
* IMPORTANT: Beware that changing an allowance with this method brings the risk
* that someone may use both the old and the new allowance by unfortunate
* transaction ordering. One possible solution to mitigate this race
* condition is to first reduce the spender's allowance to 0 and set the
* desired value afterwards:
* https://github.com/ethereum/EIPs/issues/20#issuecomment-263524729
*
* Emits an {Approval} event.
*/
function approve(address spender, uint256 value) external returns (bool);

/**
* @dev Moves a `value` amount of tokens from `from` to `to` using the
* allowance mechanism. `value` is then deducted from the caller's
* allowance.
*
* Returns a boolean value indicating whether the operation succeeded.
*
* Emits a {Transfer} event.
*/
function transferFrom(address from, address to, uint256 value) external returns (bool);
}
17 changes: 17 additions & 0 deletions Level1/Dex Arbitrage/interfaces/IUniswapV2Router02.sol
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// SPDX-License-Identifier: MIT
pragma solidity ^0.8.9;

interface IUniswapV2Router02 {
function swapExactTokensForTokens(
uint amountIn,
uint amountOutMin,
address[] calldata path,
address to,
uint deadline
) external returns (uint[] memory amounts);

function getAmountsOut(uint256 amountIn, address[] memory path)
external
view
returns (uint256[] memory amounts);
}
24 changes: 24 additions & 0 deletions Level1/Dex Arbitrage/interfaces/IWETH9.sol
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// SPDX-License-Identifier: MIT
pragma solidity ^0.8.9;

interface IWETH9 {
function balanceOf(address) external view returns (uint256);

function allowance(address, address) external view returns (uint256);

receive() external payable;

function deposit() external payable;

function withdraw(uint256 wad) external;

function approve(address guy, uint256 wad) external returns (bool);

function transfer(address dst, uint256 wad) external returns (bool);

function transferFrom(
address src,
address dst,
uint256 wad
) external returns (bool);
}

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