Passive Income with Decentralized Exchanges Tutorial

Introduction

• Presenter: George
• Topic: Earning passive income using decentralized exchanges (DEX) like Uniswap
• Easy setup with no prior knowledge required
• View description for updates and links

Example Transaction

• Scenario: Jack swaps $1,000 in Ethers for Uni tokens.
  • Current price: $10 per Uni token
  • Jack will receive: 100 Uni tokens
• Slippage:
  • Jack sets slippage at 10%
  • Maximum price per Uni token: $11
  • Resulting tokens: 90 Uni tokens for $1,000

Bot Operation

• The bot detects Jack's transaction and raises the price
• Jack ends up buying at a higher price
• Total spent: $1,000 for 90 Uni tokens
• Bot sells purchased tokens, retaining profit of approximately $90 (after gas fees)

Prerequisites

• MetaMask:
  • Must be installed and linked to the Ethereum mainnet
  • Installation link in description
• Remix:
  • An online tool for smart contract interaction
  • Link to Remix in description

Bot Creation Steps

1. Create a new file called bot.sol in Remix
   • Code link available in description
2. Verify addresses on Etherscan
   • Check lines 55 and 56 for wrapped ether token addresses
3. Compiling the Contract:
   • Use Solidity version 0.6.6 to match the contract
   • Compile bot.sol and wait for completion
4. Deploying the Contract:
   • Go to Deploy and Run Transactions
   • Choose Injected Web 3 to link with MetaMask
   • Ensure Ethereum is in MetaMask to avoid gas estimation errors
   • Confirm the contract creation with gas fees

Contract Actions

• Start: Initiates bot monitoring of the mempool
• Withdrawal: Stops the bot and transfers funds back to the wallet
• Owner: Returns the owner of the contract
• Stop: Stops monitoring the mempool
• Symbol: Unique contract identifier

Funding the Contract

• Fund the contract with Ethers for liquidity pool access
• Higher amounts increase potential profits; e.g., front running with 10 Ethers versus 0.5 Ethers

Earnings Overview

• After 10 hours:
  • Total earnings: 1.17 Ether (17% profit)
  • Total transactions: 7
  • Profit after gas fees: 0.17 Ether
• After 24 hours:
  • Additional revenue: 1.37 Ether (total increase of 40% over initial deposit)
• Bot operates until withdrawal is initiated

Withdrawal Process

• Withdraw funds to MetaMask wallet
• Requires a small gas fee
• Typically, earnings fluctuate; average earnings: 2+ Ethers per week

Conclusion

• For questions, contact George via Telegram link in the description
• Encourage sharing profits in comments
• Reminder to like and subscribe for updates