How are the fees for perpetual contracts calculated?

The other fees for Binance perpetual contracts mainly include: trading fees and funding rates.

Trading Fees:

Opening and closing positions are divided into maker and taker, that is, maker and taker.

Standard base trading fee on mainstream platforms: maker (limit order): 0.02%

taker (market order): 0.05%

Limit orders and market orders, as long as they are not buying and selling at the current price, take profit and stop loss are considered maker (limit order).

To put it simply, manually entering a price is considered a limit order, while not needing to set a price is considered a market order.

Trading Fee = Position Value × Fee Rate

For example: $600 principal, using 100x leverage, the position value is $60,000 (this is just an example, high leverage is not recommended).

Position Value = Number of coins × Opening price (Principal × Leverage)

According to the example above:

$60,000 × 0.05% = $30,

therefore, just for opening a position, the trading fee for one Bitcoin cannot be ignored. Adding the closing fee, both for market closing and limit closing:

Market closing: $60,000 × 0.05% = $30

Limit closing: $60,000 × 0.02% = $12

So, for a completed contract trade, the trading fee for one Bitcoin is $24-$60. This is just the fee for one trade, and since trading is long-term, the accumulated trading fees can also be substantial.

Funding Rate:

In addition to trading fees, perpetual contracts also have a funding rate, but the funding rate is not a fixed value; it is determined by the market’s long-short ratio differences.

The main purpose of the funding rate is to balance the market's long-short ratio.

Funding Rate Calculation: Position Value × Funding Rate

When the funding rate is positive:

Long positions will have the funding rate deducted from the position value, while short positions will receive the funding rate based on the position value.

Conversely, when the funding rate is negative, long positions receive money, and short positions pay money.

The funding rate is settled every day at 00:00, 08:00, and 16:00 (only at settlement times will the positions held incur charges or deductions).