Periodic transfers between long and short perpetual positions intended to keep contract price near spot.
Perpetual funding rate is best understood as part of a system rather than as an isolated definition. Its related coordinates show the mechanisms, incentives and historical records that give the term practical meaning.
Perpetual funding rate describes how participants value, trade or obtain exposure to bitcoin. Market behavior can affect adoption and mining economics, but it does not rewrite consensus rules. Price evidence and protocol evidence answer different questions.
Understanding Perpetual funding rate helps distinguish a verifiable Bitcoin mechanism or historical record from slogans, products and market narratives.
For the clearest picture, read this entry together with Perpetual futures, Open interest, Leverage, Forced liquidation, Bitcoin basis trade. The reverse links also lead from Open interest, Perpetual futures, Short squeeze, Long squeeze.
Linked to related atlas coordinates
Grounded in a source record
Explains function and trade-offs
Part of the open Bitcoin knowledge graph