how it works
- hyperliquid pays funding every hour. when the rate is positive, longs pay shorts; when it is negative, shorts pay longs.
- funding = position size x hourly rate x hours held.
- annualized rate = hourly rate x 24 x 365.
questions
what is a funding rate?
a payment between longs and shorts that keeps the perp price close to the spot price. it is paid on the full position size, not on your margin.
how often does hyperliquid charge funding?
every hour. other exchanges often charge every eight hours, so compare hourly rates with care.
is a high funding rate a signal?
a high positive rate means longs are crowded and pay to stay in. some traders read it as a warning, others collect it by being short. it is not a prediction.