Why Crypto Funding Rate Arbitrage Trades Lose Money

Most explanations of why crypto funding rate arbitrage trades lose money give you a list. Funding reversal, liquidation, slippage, transfer delays, counterparty failure, and so on down the page. The list is accurate and close to useless, because it tells you nothing about which item is actually emptying your account. So we measured it, across […]
Best Exchanges for Crypto Funding Rate Arbitrage

The best exchanges for crypto funding rate arbitrage are not the ones with the lowest fees or the deepest books. They are the ones whose contract parameters let you open the position you actually want. That sounds like a technicality. It decides whether a small account can run the trade at all, and it varies […]
Is Crypto Funding Rate Arbitrage Still Profitable?

Is crypto funding rate arbitrage still profitable? In roughly a tenth of the market, yes. In most of the rest it barely covers the cost of trading, and in about a sixth you would be paying rather than collecting. That answer needs a measurement rather than an opinion, so we took one. On 23 October […]
Crypto Funding Rate Arbitrage in a Bear Market

Crypto funding rate arbitrage in a bear market does not stop working. It gets smaller, and the version that replaces it is harder to finance than most guides admit. The usual answer is that falling prices push funding negative, so you flip the trade and collect from the other side. That is true as mechanics […]
How to Start Crypto Funding Rate Arbitrage: Setup Guide

Learning how to start crypto funding rate arbitrage is mostly a setup problem, not a strategy problem. The strategy itself is two orders. What stops people is everything in front of those orders. Which accounts, enabled how, funded by which route, and what the smallest workable position even is. Most guides skip that entirely. Of […]
Crypto Funding Rate Caps: What Happens at the Ceiling

Crypto funding rate caps are the ceiling and floor an exchange puts on a perpetual futures funding rate. Most traders learn they exist and stop there. The interesting part is that the cap almost never binds. Published ceilings sit far above anything these markets normally produce. What does affect you is the thing the cap […]
How to Read a Crypto Funding Rate History Chart

Learning how to read a crypto funding rate history chart matters more than reading the current rate, because one settlement tells you almost nothing. A rate that is high today may have been high for an hour or for a month. Those are different trades. The history is where that difference lives. It is also […]
Crypto Funding Rate Arbitrage vs Holding Stablecoins

Most people weighing crypto funding rate arbitrage vs holding stablecoins think they are choosing between two different things. Often they are not. A large share of stablecoin yield comes from this exact trade. Someone else runs it, keeps a cut, and hands you a token. That does not make holding stablecoins the wrong choice. It […]
CEX vs DEX for Crypto Funding Rate Arbitrage

Ask which venue type is better for crypto funding rate arbitrage and you get two confident answers, usually from people selling one of them. The CEX camp points to liquidity and cheap execution. The DEX camp points to self-custody and less crowded markets. Both are describing something real. Neither is answering the question a trader […]
When to Close a Crypto Funding Rate Arbitrage Trade

Almost everything written about this strategy tells you how to get in. Deciding when to close a crypto funding rate arbitrage position is where people are actually left guessing. That is a strange gap, because the exit is where the money is kept or lost. A trade that was correct to open can become wrong […]