👉 Rho rate futures

Rho Rate Futures

Rho rate futures enable traders to trade rates directional movements or hedge against fluctuations in crypto-native rates, such as staking rewards and perpetual funding rates, across various on-chain rate environments.

Funding Futures

Funding futures enable traders to make bets on or hedge against perpetual funding rates from major exchanges, providing a tool to manage risk or capitalize on rate movements.

Key Components of a Funding Futures Contract

• Underlying Floating Rate: The contract is based on a variable rate that changes over time and determines the final settlement value. Rho aggregates these rates into a Floating Rate Index to simplify calculations. Examples include funding rates from:

  • Binance BTCUSDT Futures

  • Binance ETHUSDT Futures

  • ByBit BTCUSDT Futures

  • ByBit ETHUSDT Futures

  • OKX BTCUSDT Futures

  • OKX ETHUSDT Futures

• Currency Denomination: Contracts are priced and settled in USDT.

• Expiration Date: Contracts settle at the end of a specific period, typically aligning with the last Friday of a calendar quarter or month (e.g., September 27, 2024, or December 27, 2024).

• Trading Mechanics:

  • Long Position (Payer): Pays a fixed rate and receives the floating funding rate.

  • Short Position (Receiver): Pays the floating rate and receives the fixed rate.

• Leverage: Traders can access leverage up to 190x, depending on market liquidity and risk conditions.

• Collateral Requirements: USDT is the primary collateral, with initial margins dynamically adjusted based on volatility and liquidity.

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Staking Futures

Staking futures enable traders to make bets on or hedge against staking reward fluctuations, providing a tool to manage risk or capitalize on rate movements.

Key Components of a Staking Futures Contract

• Underlying Floating Rate: Staking futures track staking reward rates, aggregated into a Floating Rate Index for simplified settlement. At launch, the available staking futures include:

  • CESR (Crypto Ethereum Staking Rate)

• Currency Denomination: Contracts are priced and settled in WETH.

• Expiration Date: Similar to funding futures, these contracts settle at the end of a specific period, typically aligning with the last Friday of a calendar quarter or month.

• Trading Mechanics:

  • Long Position (Payer): Pays a fixed rate and receives the floating staking reward.

  • Short Position (Receiver): Pays the floating staking reward and receives the fixed rate.

• Leverage: Traders can access leverage up to 680x, depending on market conditions and risk parameters.

• Collateral Requirements: USDT serves as the primary collateral, with dynamic margin requirements based on volatility and liquidity.