Funding

Funding passes straight from one side to the other: the exchange takes no fee from it. It applies to perpetuals only. Spot markets have no funding.

Every hour, on the hour. The market bar’s Next funding counts down to the next payment, and the chart’s Details tab gives Funding as “Every hour, in USDC”. The funding period is a setting of each market; today every market pays hourly.

Rate	Longs	Shorts
Positive	Pay	Receive
Negative	Receive	Pay

Each payment is your position’s size × the index price × the hour’s rate, paid by one side and credited to the other. Note that it uses the index price, the price of the underlying from outside sources, rather than the mark price.

A 2 ETH long, with the index at $3,000 and a rate of +0.0100% for the hour: 2 × $3,000 × 0.0100% = $0.60. The long pays −$0.60 and a 2 ETH short receives +$0.60.

Funding is added to or taken from your balance as it is paid, and counts in your realized PnL. So it moves your account value, and in cross, the liquidation price of every cross position. See Liquidation.

1. Every minute, at a random moment, the exchange measures the premium: how far the book’s impact prices stand above or below the index. The impact prices are the average fills of a market buy and a market sell of a set size. While the index sits between them, the premium is zero.
2. At the end of the hour, it averages the 60 premiums and scales the average by the market’s multiplier: 1 for crypto, 1/2 for real-world assets, and 1/100 for pre-IPO and prelaunch markets.
3. It pulls the result toward the interest rate. When the premium is within the small clamp of the market’s interest rate, the interest rate is used instead; further out, the premium moves toward it by the small clamp.
4. It caps the result at the big clamp, either way, and divides it by 8. That spreads each hour’s premium over 8 hours.

Most markets use an interest rate of 0.01%, a small clamp of 0.05% and a big clamp of 4%. For a crypto market, that gives:

Case	Hourly rate
Premium within 0.05% of the interest rate	0.00125% (0.01% per 8 hours)
Premium of 0.1%, a crypto market	0.00625%
The cap	0.5% (4% per 8 hours)

Some markets differ. Many real-world asset markets use an interest rate of 0.0032%, and FX, US10Y and STRC use 0. ARC’s big clamp is 20% and RIVER’s 16%. The Details tab shows each market’s Funding cap as a rate an hour.

Place	What it shows
Market bar, “Funding, 1h”	The estimated rate for this hour. Positive means longs pay shorts.
Market bar, Next funding	Time to the next payment.
Chart, Funding tab, History	Each hour’s rate for the last 72 hours, with Estimate this hour, Annualised (the hourly rate × 24 × 365) and 72 h average, unsigned.
Chart, Funding tab, Other venues	The rate other exchanges report for the same market, as each reports it.
Details tab	Funding, “Every hour, in USDC”, and the Funding cap.
Positions, Funding column	What the position has paid or received in funding so far.
Funding tab, beside Positions	Every payment you made or received: Time, Market, Position, “Rate, 1h” and Payment, positive when you received it and negative when you paid.

On a workspace layout, the market’s rates are the Funding history widget and your own payments are Funding payments. Your Portfolio counts funding in every closed trade’s result.