​WHAT IS FUNDING FEE AND HOW DOES IT WORK?

WHAT IS FUNDING FEE AND HOW DOES IT WORK?
The Funding Fee is a mechanism used in futures markets. It represents the cost of keeping your position open for a certain period of time and fluctuates based on the current state of the market. This fee varies depending on the financial risks your position is exposed to.

How to Evaluate Funding Fee Positive and Negative:
🟢 Positive (+) Funding Fee: If you observe a positive funding fee for the coin you are trading, those in the Long position pay those in the Short position. Example: 1.10%21/00:45:00
🚫 Negative (-) Funding Fee: If you observe a negative funding fee for the coin you are trading, those in the Short position pay those in the Long position. Example: -1.1817/00:48:08
⏰ Fee Value and Payment Time: The funding fee amount varies depending on the size of your position and market conditions. As the fee value increases, the amount you will pay or receive for your position also increases.
Fee payments occur every 8 hours and are made at specific time intervals. Payment hours are:
• 03:00
• 11:00
• 19:00
Payments are made or received a total of 3 times within 24 hours. However, this time frame may rarely change depending on the risk status of the coin. So, sometimes it can change every 4 hours instead of every 8 hours. This process is determined flexibly by the stock exchange.
Important Note: If you close your position before the funding time, you will not make any fee payments or receipts. However, if you open before funding and trade during the fee time, you will receive or make a payment.