Worked example
Suppose a constant $10,000 position pays 0.01% every eight hours. Each payment is $1; three payments cost $3 a day. Simple annualisation gives 0.01% × 3 × 365 = 10.95%, or $1,095 over a hypothetical year with unchanged rates and size. For an hourly rate, use 24 payments a day instead.
Using Swolecharts
Use the funding fee calculator to model a holding period. Compare per-hour and APR columns on Hyperliquid funding rates, checking each venue's actual interval before comparing raw rates.
Common confusion
APR is not APY or a promised return. This calculation does not compound, and a funding rate can change sign before the next payment. Fees, basis changes and hedge costs also affect a strategy's result.
Checked against exchange documentation on 13 October 2026: Bybit: funding rate calculation · Hyperliquid: funding. Examples are illustrative, not live market readings.