Funding Settlement

Funding fees are exchanged every 8 hours, 3 times a day at <0100, 0900, 1700> UTC. Traders who do not hold a position at the time of funding will not pay/receive the funding fee. The settlement will only be made between traders that hold a position at the time of funding.

Funding Fee Equation

$$ \textsf{Funding Fee} = {\textsf{Position Value} \times \textsf{Funding Rate}}$$

<Funding Fee Settlement Example>

David has a long position of 2 BTC and the current funding rate is +0.02%. The funding fee David has to pay at the funding time is 0.0004 BTC, calculated according to the equation below.

$$ \small\textsf{Funding Fee} = {\textsf{2 BTC} \times \textsf{0.02%}} = \textsf{0.0004 BTC} $$

For more information about position value calculation, please go to the Position Value Equation.