$DOS Latest funding rate: -0.104% (settled every 4 hours). Shorts pay, which works out to an annualized rate of about 226.8% for this period.
A beginner’s burning question: what exactly is the funding rate?
Perpetual contracts have no expiry date. The funding rate helps keep the contract price anchored to the spot price: longs and shorts pay each other a fee at regular intervals.
Shorts are paying the toll; I’m just keeping the books.
The point of understanding an indicator is to avoid being spooked by a single number—not to use it to predict price movements accurately.
Just chatting—don’t take this as investment advice.
A beginner’s burning question: what exactly is the funding rate?
Perpetual contracts have no expiry date. The funding rate helps keep the contract price anchored to the spot price: longs and shorts pay each other a fee at regular intervals.
Shorts are paying the toll; I’m just keeping the books.
The point of understanding an indicator is to avoid being spooked by a single number—not to use it to predict price movements accurately.
Just chatting—don’t take this as investment advice.