# Sweep the Floor Liquidity Arb AI Agent Connect

> Exploit thin liquidity in prediction markets by calculating price impact and exit strategies.

## Overview
- **Category:** finance
- **Price:** Free
- **Endpoint:** https://edge.vinkius.com/vk_preview_S0AN7EFvozTF0Ast3rT9OeVscFGXcdm2Ggzf5ak0/ai-agent-connect
- **Tags:** liquidity, polymarket, arbitrage, slippage, trading

## Description

This MCP server provides deterministic tools to exploit thin liquidity in long-tail prediction markets. It allows AI agents to distinguish between mere illiquidity and genuine mispricing. Use `calculate_price_impact` to determine the cost of walking the order book, `evaluate_opportunity` to verify if the expected value (EV) exceeds the 0.10 threshold, and `generate_exit_strategy` to plan mean reversion trades by placing limit orders at the target mean price.

## Tools

### calculate_price_impact


### evaluate_opportunity
10

Evaluate if a trade is a viable arbitrage

### generate_exit_strategy


## Prompt Examples

**Prompt:** 
```
Calculate the price impact for buying $1000 worth of shares with a mid-price of 0.50 and this order book: [{"price": 0.51, "quantity": 500}, {"price": 0.55, "quantity": 1000}]
```

**Response:** 
```
The execution price is 0.52 and the total slippage is 4%.
```

**Prompt:** 
```
Is a trade viable if I bought at 0.65 and the expected outcome price is 0.80?
```

**Response:** 
```
Yes, the expected value is 0.15, which is above the 0.10 threshold.
```

**Prompt:** 
```
Generate an exit strategy for 500 shares entered at 0.50 with a target mean price of 0.55.
```

**Response:** 
```
Place limit orders for 500 shares at 0.55 to capture a target spread of 0.05.
```

## Frequently Asked Questions

**How does the tool handle slippage?**
The `calculate_price_impact` tool simulates walking the order book to calculate the volume-weighted average price (VWAP) and the resulting slippage.

**What defines a viable trade?**
A trade is considered viable if `evaluate_opportunity` returns an expected value (EV) greater than 0.10 after accounting for execution costs.

**Can I use this for exit planning?**
Yes, use `generate_exit_strategy` to calculate the optimal limit orders needed to capture the spread during mean reversion.
