FundingRates
Running the 
BTC basis trade strategy on
Bybit over the last
latest period has yielded a
0% APR. With $100,000 invested,
this corresponds to $0 per year or
$0 per month.
Broadly speaking, a basis trade is a trading strategy which seeks to profit from the difference in prices between spot assets and their derivatives. In crypto specifically, the term "basis trade" is often used to refer to holding an asset while simultaneously shorting its corresponding perpetuals contract in order to capture the funding rate.
Funding rates are periodic payments exchanged between traders in perpetual futures markets to keep contract prices close to the spot price. If the rate is positive, long positions pay shorts; if negative, shorts pay longs. These rates can change frequently based on market sentiment and leverage demand.
Predominantly, cryptocurrency funding rates are positive, meaning that longs pay shorts. This is how the basis trade is able to yield a return despite no net exposure to the underlying asset's price.
This calculator supports funding rates from Binance, Bybit, and Coinbase. This is because all three exchanges make it possible to run a set-it-and-forget-it basis trade: by utilizing a spot BTC or ETH position as margin for the short leg of the trade.
For the purposes of this calculator, funding rates for coin-margined contracts are used for Binance and Bybit. For Coinbase, funding rates for USDC-margined contracts are used; however, spot BTC and ETH can still be used as margin for these positions.
There are two primary risks of running a basis trade on any of these exchanges. Firstly, there is custodial risk, which is the risk of the exchange becoming insolvent and strategy funds being lost. Secondly, there is the risk of prolonged periods of negative funding rates. While this is possible in the future, historically cryptocurrency perpetuals funding rates have maintained positive values.
This funding rate arbitrage calculator estimates your annualized returns (APR) based on recent funding data from supported exchanges. You can select an asset, exchange, time period, and capital amount to evaluate how the basis trade would have performed over that time.