Funding Rate Arbitrage Calculator
What is Funding Rate Arbitrage?
Hold long spot + short perp on the same asset. When funding is positive, longs pay shorts. You collect funding while being market-neutral. Profit = funding received - trading costs.
The Break-Even Formula
Break-Even Days = Total Cost (bps) / 10000 / (Funding Rate × 3). With 12 bps cost and 0.01% funding, break-even = 4 days.
Frequently Asked Questions
- What is funding rate arbitrage?
- Hold long spot + short perp. When funding is positive, you collect payments while being market-neutral.
- What is break-even days?
- Break-Even Days = Total Cost / (Funding Rate × 3). How many days until funding income exceeds trading costs.
- Is funding arb risk-free?
- No. Funding can flip negative, exchange risk, liquidation risk on futures leg, and basis risk.
Try dMoERA Studio — build, backtest, and deploy strategies with production-grade validation →