Periodic payment between longs and shorts that anchors a perp's price to spot.
Perpetual futures (perps) have no expiry, so the protocol uses a funding rate to keep the perp price tethered to the spot index. When the perp trades above spot, longs pay shorts. When below, shorts pay longs. On Hyperliquid, funding accrues every 8 hours.
Perpetual futures (perps) have no expiry, so the protocol uses a funding rate to keep the perp price tethered to the spot index. When the perp trades above spot, longs pay shorts. When below, shorts pay longs. On Hyperliquid, funding accrues every 8 hours.