$BR ｜Rate -0.0736%｜Shorts pay
Before discussing funding, make sure you understand the rate.
Funding fees are deducted directly from your margin or added to your balance. The longer you hold a position, the more these fees can add up.
A sharply negative rate is sometimes common when shorts are overly concentrated. The risk often cited is that shorts may be forced to cover, pushing prices higher—but that’s only one possible scenario.
Indicators can fail, so don’t skip risk management: thinking in advance about what you’ll do if you’re wrong is more important than predicting correctly.
Before discussing funding, make sure you understand the rate.
Funding fees are deducted directly from your margin or added to your balance. The longer you hold a position, the more these fees can add up.
A sharply negative rate is sometimes common when shorts are overly concentrated. The risk often cited is that shorts may be forced to cover, pushing prices higher—but that’s only one possible scenario.
Indicators can fail, so don’t skip risk management: thinking in advance about what you’ll do if you’re wrong is more important than predicting correctly.