Dear user:

Binance continuously evaluates its products and services to ensure a quality experience for all users. Based on the results of the recent review, Binance Futures will adjust the funding rate settlement frequency of some U-based perpetual contracts from once every eight hours to every four hours at 16:00 on October 12, 2023 (Eastern Eighth District time) once.

Starting from 16:00 on October 9, 2023 (East Eight District time), the upper and lower limits of the funding rate of some U-standard perpetual contracts will be updated to 3% and -3%. This adjustment applies to all U-margined perpetual contracts with a maximum leverage of 25x or less. If the maximum leverage of a certain contract is reduced to 25x or below, the upper and lower limits of the funding rate of the contract will be automatically updated to 3% and -3% without further announcement.

Binance Futures will continue to review and evaluate funding rates on a regular basis and make necessary adjustments accordingly. If the adjustment involves multiple contracts, Binance will make an announcement at least two weeks in advance. Please note that in situations such as severe market fluctuations, users may not be notified two weeks in advance. The notification period may be shorter in this case, thank you for your understanding!

The rate settlement frequency of the following U-margined perpetual contracts will be adjusted to once every four hours.

  • IMX U-margined Perpetual Contract

  • LPT U-based perpetual contract

  • API3 U-based perpetual contract

  • HIFI U-based perpetual contract

  • NMR U-based perpetual contract

  • TRB U-based perpetual contract

  • BLZ U-based perpetual contract

  • DODO U-based perpetual contract

  • STMX U-based perpetual contract

  • CYBER U-based perpetual contract

  • YGG U-based perpetual contract

  • UNFI U-based perpetual contract

  • FLM U-based perpetual contract

  • PERP U-based perpetual contract

  • AMB U-based perpetual contract

About funding rates

The funding rate helps the price of the perpetual contract converge with the price of the underlying asset in the spot market. Funding fees are transferred between traders, and Binance only facilitates mutual settlement of funding fees between long and short position holders.​

If the funding rate is positive, long position holders will pay funding fees to short position holders and vice versa. Funding charges are calculated based on the notional value of the position and the funding rate.

Funding rates may change with market conditions. Rates are usually lower when the market is less volatile, and caps/floors may be reached when the market is more volatile.

Under extreme market conditions, funding rates may exceed the maintenance margin rate. Since the funding rate is directly deducted from users' margin, users are strongly recommended to pay close attention to their contract positions and margin balances to avoid insufficient margin and forced liquidation.

The fund fee payment time for settlement every eight hours is: 08:00 (East Eighth District time), 16:00 (East Eighth District time) and 00:00 the next morning (East Eighth District time). The fund fee payment time for settlement every four hours is: 04:00 (Dongba District time), 08:00 (Dongba District time), 12:00 (Dongba District time), 16:00 (Dongba District time) ), 20:00 (East Eighth District time) and 00:00 the next morning (East Eighth District time).​

Users can view the "Real-time Funding Rate" and "Funding Rate History" pages to view the latest funding rate settlement cycle and funding rate upper/lower limits. API users can query U-based contract funding rate information through the newly added interface (GET /fapi/v1/fundingInfo).​

More information:

  • Introduction to Binance Futures Funding Rates

  • U-margined contracts leverage and margin

Note: If there is any discrepancy between the translated version and the original English version, the English version shall prevail.

Thank you for your support of Binance!

Binance Team

September 28, 2023