Let me explain the funding rate to my friends. The funding rate is the fee that is regularly paid between parties in the futures market. Its main purpose is to keep the futures price in line with the asset prices in the spot market, in order to maintain market stability.

When the futures price is higher than the spot price, the funding rate is positive, and at this time, the long position must pay the funding fee to the short position; when the futures price is lower than the spot price, the funding rate is negative, and the short position must pay the funding fee to the long position. $BTC