Swap contracts

Perpetual contract (swap contract) is a derivative financial instrument which is similar to traditional futures. However, perpetual contract has some distinctive features:
1. It has no expiration or execution term.
2. Perpetual contracts simulate the marginal spot market and hence are traded at basic assets price level.
This makes perpetual contract different from futures contracts that can be traded at prices that differ from spot significantly due to difference between the futures price and the basic assets (basic) price. Funding is the key mechanism for binding the contract price to the spot price.

Funding is a periodic exchange of payments between the buyer and the seller which is carried out once in 8 hours. If the rate is positive owners of long positions (longs) pay funding, while owners of short positions (shorts) receive funding; and if the rate is negative - vice-versa. Funding is carried out only if you keep a position at the moment when one of three time marks approaches.
Funding time: 04:00, 12:00, and 20:00 in time zone of the Universal Time Coordinate (hereinafter - UTC).
Current funding rate of the contract is calculated on the basis of deviation of the market price from the index price within the last 8 hours.