๐Ÿ‘‰ Rho rate futures

These futures enable traders to make bets on or hedge against fluctuations in crypto-native rates, such as staking and perpetuals funding rates, across various on-chain rate environments.

Key Components of a Rho Futures Contract

Underlying Floating Rate: This is a variable rate that serves as the basis for the futures contract. It changes over time and determines the contract's final settlement value. To simplify the calculation, Rho uses a Floating Rate Index that aggregates rates over time. Example of underlying: funding rates from Binance BTCUSDT futures, rewards on liquid staking tokens (LST).

Currency Denomination: The contracts are priced and settled in a specific currency, such as USDT, USDC, or WETH.

Expiration Date: This is the date when the contract ends, and all obligations are settled. Typically, it aligns with the last Friday of a specific period, like a calendar quarter or month (e.g., September 27, 2024, or December 27, 2024).

In a Rho futures contract:

  • The payer (long position) agrees to pay a fixed rate and receive the floating rate throughout the contract's duration.

  • The receiver (short position) agrees to pay the floating rate and receive the fixed rate.

The final settlement, at the contract's expiration, involves reconciling the differences between the fixed and floating rates accumulated over the contract's term.

Included products at launch

- Binance BTCUSDT Funding

- Binance ETHUSDT Funding



Leverage ratios

Traders can access leverage up to 140x, varying by market and liquidity conditions.

Collateral requirements

USDT is the primary collateral, with initial margins dynamically adjusted based on the underlying asset's volatility and liquidity.

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