Funding Rates & Funding Fees

The PayFundingRate is the Funding Rate for payers, and the ReceiveFundingRate is calculated based on the long-short ratio.

Funding fees are fully complemented between traders. MMs can earn the excess and will not bear the shortfall.

$$PayFundingRate= \frac {SakeperpPriceTWAP-OracelPriceTWAP}{24}$$

If

$PayFundingPositionSize>ReceiveFundingPositionSize$

Then

$$ReceiveFundingRate=PayFundingRate$$

$$PayFundingRate ∗ (PayFundingPositionSize − ReceiveFundingPositionSize)$$

to the MM pool

ELSE

$$ReceiveFundingRate= \frac {PayFundingRate*PayPositionSize}{ReceivePositionSize}$$