Funding exchange occurs every 8 hours at 00:00,08:00 and 16:00 UTC+8. You will only pay or receive funding if you hold a position at one of these Funding Timestamps.
Funding = Holding amount (sheet) * Face Value * Index Price * Funding rate
The periodic payments exchange between long and short position holders every 8 hours. If the funding rate is positive, longs will pay and shorts will receive funding, and vice versa if the rate is negative.
Funding Rate Calculation
Funding rate is assigned to the value according to the Funding Rate Sheet after the Premium Index is calculated. The funding rate calculated at current Funding Timestamp will be used for next funding period.
Premium Index = MA(Max(0, Impact Bid Price - Index Price)-Max(0,Index price- Impact Ask Price) / Index Price,60 min)
Impact Bid Price = The average fill price to execute the Impact Margin Notional on the Bid side
Impact Ask Price = The average fill price to execute the Impact Margin Notional on the Ask side
Funding rate = premium index + Clamp (0.01% - premium index, -0.03%, 0.03%)
The maximum limit of funding rate is 0/75%, the minimum limit being -0.75%
Note: Clamp(x, a, b) means when x is within the range between a and b the forumula produces x; when x is less than a the forumula produces a; when x is more than b the forumula produces b.
*Bibox owns the final interpretation of these terms
Bibox Team
Official Website: http://www.bibox.com
