That assumes there's an immediate withdraw method on the exchange with higher rates.
MTGox abused the latency of withdraws in an attempt to attract BTC desposits (after their original deposits were stolen) on their exchange and presumably sell those back for cash via other outlets to slowly pay off customers and appear solvent.
MTGox also manipulated the market with trader bots.
MTGox abused the latency of withdraws in an attempt to attract BTC desposits (after their original deposits were stolen) on their exchange and presumably sell those back for cash via other outlets to slowly pay off customers and appear solvent.
MTGox also manipulated the market with trader bots.
https://willyreport.wordpress.com/2014/05/25/the-willy-repor...
https://www.theguardian.com/technology/2014/may/29/bitcoin-b...