Everyone Is Talking About AI Trading Bots. We Actually Built One. Here's What Happened.

Search YouTube for "AI trading bot Polymarket" and you'll find dozens of videos. Most of them are people explaining how trading bots could work, or demoing someone else's code, or showing a backtest that conveniently ends before the losing period. We got tired of watching. So we built one. The original plan wasn't even market-making. We started looking for pricing arbitrage — mispricings between Polymarket and the underlying reference prices (BTC/ETH on Binance). When the bot first launched, we actually found a handful of real opportunities. The math worked. We captured them. Then January 2025 hit. The opportunities dried up almost overnight. Commission fees ate the remaining edge. More sophisticated market makers entered the space with deeper capital and tighter spreads. What was briefly a gap in the market closed — quickly and completely. So we pivoted to market-making. If you can't beat the arbitrage competition, become liquidity. Quote both sides, earn the spread, manage your inven