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README.md
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---
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library_name: stable-baselines3
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tags:
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- reinforcement-learning
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- defi
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- arbitrage
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- ppo
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- ethereum
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- l2
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---
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# Arb Chameleon: PPO Cross-DEX Arbitrage Agent
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This model is a Reinforcement Learning agent trained to identify and execute atomic price spreads across decentralized exchanges (DEXs). It uses Proximal Policy Optimization (PPO) to make trading decisions in a simulated environment that accounts for gas volatility, slippage, and transaction fees.
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## Model Details
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- **Model Type:** Proximal Policy Optimization (PPO)
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- **Library:** [Stable-Baselines3](https://github.com/DLR-RM/stable-baselines3)
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- **Environment:** Custom Gymnasium environment (`ArbEnv`) simulating multi-DEX arbitrage.
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- **Goal:** Maximize net profit while minimizing failed transactions and gas waste.
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## Intended Use
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- **Research & Education:** Understanding how RL can be applied to DeFi arbitrage.
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- **Simulation:** Testing trading strategies in a controlled, realistic environment.
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- **Inspiration:** A starting point for building more complex, production-ready trading bots.
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## Limitations & Risks
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- **Market Dynamics:** The model is trained on historical and simulated data. Real-world market conditions can change rapidly.
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- **Gas Costs:** While the model considers gas, sudden spikes in network congestion can lead to unprofitable trades if not handled by the execution layer (e.g., Flashbots).
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- **Execution Risks:** This model only provides the strategy logic. The actual execution layer (smart contracts) must be robust and secure.
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## Training Data
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The agent was trained on a universe of assets including ETH, BTC, and various stablecoins across major L1 and L2 chains (Ethereum, Arbitrum, Base, Polygon).
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## How to Use
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To load and use this model, you will need the `Arb-Chameleon` repository and the following dependencies:
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```bash
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pip install stable-baselines3 gymnasium numpy torch
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from stable_baselines3 import PPO
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# Note: You need the project's source code to define the environment
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# from rl.src.env import ArbEnv
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# Load the model weights
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model = PPO.load("final_model.zip")
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For more details and the full source code, visit the - **GitHub Repository**: [Arb-Chameleon](https://github.com/sdi1400258/Arb-Chameleon)
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