Can a Flash Loan Be Used for Cross-Exchange (Spatial) Arbitrage? Why or Why Not?

Generally, a single flash loan cannot be used for spatial arbitrage because the entire transaction must be completed within a single blockchain block. Spatial arbitrage requires transactions on two separate exchanges, often on different blockchains or involving time-consuming off-chain transfers, which cannot be completed atomically in one block.

However, a flash loan can be used if both exchanges are on the same blockchain and support atomic multi-contract calls.