> For the complete documentation index, see [llms.txt](https://docs.symm.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.symm.io/trader-documentation/how-trading-works-in-symmio/funding-rates.md). # Funding Rates Perpetual futures never settle, so their price can drift away from the underlying market price. **Funding rates** are a small payment exchanged between longs and shorts to keep the two in line. When longs dominate and the perp trades above spot, longs pay shorts. When shorts dominate and the perp trades below spot, shorts pay longs. Either way, holding the more crowded side costs a little more, which nudges the price back toward the real market value. ### How it works on Symmio Every symbol on Symmio has its own funding rate, applied at the end of fixed periods called **epochs**. When an epoch ends, positions pay or receive funding. On the contracts, the cycle length is `fundingRateEpochDuration`, and solvers charge funding during the symbol's `fundingRateWindowTime`, a short window on either side of the epoch flip. ```json { "symbolId": "1", "name": "BTCUSDT", "isValid": true, "minAcceptableQuoteValue": "120000000000000000000", "minAcceptablePortionLF": "3000000000000000", "tradingFee": "3800000000000000", "maxLeverage": "100000000000000000000", "fundingRateEpochDuration": "14400", // <- 4 hours "fundingRateWindowTime": "420" // <- 7 minutes } ``` There are two ways funding can be applied. The older method adjusts the `openedPrice` of your position to simulate the charge. If you're long and paying funding, your open price nudges up slightly, giving you a worse entry. No tokens move. This is still used for symbols that haven't migrated to the newer system.

{% embed url="" %} The newer method tracks funding as a weighted average at the symbol level instead of touching each position. When a solver sets a rate, it blends into a running average; when funding is charged, it's deducted directly from your allocated balance rather than shifting your open price. That makes it a visible line item instead of a subtle price change, and it's far more efficient, since the solver no longer has to update every open position at each epoch. {% hint style="info" %} Solvers stream the rates they'll apply in the next epoch, but not necessarily the epoch durations. They can only charge during the window defined by the smart contracts, so always [check the contracts](/trader-documentation/interacting-with-contracts/querying-info-from-our-contracts.md) for the authoritative epoch durations. {% endhint %} --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs.symm.io/trader-documentation/how-trading-works-in-symmio/funding-rates.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.