trading

Funding rates

How long and short sides exchange funding payments.

Every 8 hours, longs pay shorts (or vice versa) a rate derived from the premium of mark price over the index price plus an interest term. UltraLiquid's funding rate is capped at ±0.75% per 8h interval.

funding = clamp(0.01% + (mark − index)/index, −0.75%, +0.75%)  ; settled every 8h