Crypto

Funding Rate Arbitrage Calculator

Estimate spot–perpetual arbitrage profit after four trading fees, funding, borrowing and changes in basis. Compare net return on committed capital.

Build your hedge

Position and capital

All money values use the same quote unit, such as USDT. Each leg holds the same asset quantity. Enter reference prices before slippage; set slippage to zero if your prices already include it.

Funding assumptions

Enter the signed market funding rate: positive means longs pay shorts. Count actual settlement timestamps you will hold through; days alone do not determine this count. Average mark price and a constant rate are scenario assumptions.

Execution and borrowing costs

Carry: borrowing cost applies to the borrowed quote amount. Reverse: the entire spot quantity is borrowed; simple coin interest is valued at the exit spot price. Rates and availability can change. Enter your own total equity tied up across both legs, including collateral and reserves; exclude loan proceeds and short-sale proceeds.

Positive scenario

Estimated net profit

52
Funding received / paid
90
Spot price PnL
0
Perpetual price PnL
0
Four trading fees
30
Slippage
8
Borrowing cost
0
Other costs
0
Net return on committed capital
0.3467%
Simple annualized net return
4.2178%
Break-even funding rate per settlement
0.0042%
Asset quantity on each leg
100
Theoretical perpetual margin
5,000
Net basis PnL
0

Carry breaks even at or above this signed funding rate.

Four trading fees
Spot entry fee
10
Spot exit fee
10
Perpetual entry fee
5
Perpetual exit fee
5

Simple annualization = net profit ÷ committed capital × 365 ÷ days. No compounding and no promise that the scenario can be repeated.

A hedge can still be liquidated. Basis changes, mismatched fills, borrowing constraints and funding reversals can create losses. This model does not simulate liquidation or margin calls. Net loss can exceed committed capital.

If the funding rate changes

Funding per settlementNet profit
-0.01%-128
0%-38
0.005%7
0.01%52
0.02%142

Follow the cash flows

Quantity = spot entry notional ÷ spot entry price. Funding = quantity × average mark price × rate × settlement count, positive for a short at a positive rate. All four execution values contribute fees and slippage. Changing leverage alone changes theoretical margin, not fixed-quantity funding income.

Net profit = spot PnL + perpetual PnL + signed funding − fees − slippage − borrowing − other costs

Example: 10,000 on each leg, flat prices, 90 settlements at 0.01%, spot fees of 0.1% each way, perpetual fees of 0.05% each way and 0.02% slippage on all four executions yield 90 funding − 30 fees − 8 slippage = 52, before borrowing and other costs.

Calculation references

BybitOKX
Is this a live arbitrage scanner?

No. Prices, rates, costs and settlement counts are manual assumptions. There is no exchange connection or order execution.

Why enter capital separately from notional?

Notional sizes the position. Your own committed capital is the return denominator and may include spot funding, collateral for both legs and reserves. Short-sale proceeds are not your own equity. Theoretical perpetual margin alone is not a complete capital requirement.

Does a negative funding rate always make reverse arbitrage profitable?

No. Borrowing, execution costs and basis changes can outweigh funding income. Borrowing an asset may not be available; this tool does not verify availability.

Which contracts are supported?

Equal-quantity spot and linear perpetual positions in one quote unit. Inverse contracts, dynamic rebalancing, changing settlement rates, tax and exchange-specific margin rules are not modeled.

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