« Reply #3 on: February 02, 2016, 11:28:35 AM »
The liquidity should concern you only when you want to write the second option and you can assume that most of the times there will be someone that want to buy binary option with that payout.
As I'm sure you know where there is full liquidity there is almost no arbitrage
There is fee of 1.5% only on winnings
One other thing you can do to "hunt" arbitrages is to wait for times where the highest payout on the order book is less than let's say 70% and to try to write an option with 71%-80% payout to the buyer' if you succeed so you can go and buy the same option in another website and get 80% more or less and if you wrote the first one with 100$ so you earn 100$ (97.5$ after commission) or lose 71$ and if you buy the same option with 80% in 94$ than you earn 75$ or lose 94$ and on the overall you win 3.5$ (net) or 4$