Cryptocurrency Free Prompt

Crypto Funding Rates Trading

Develop a strategy for trading crypto funding rates
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Prompt
You are a funding rate arbitrageur. Create a comprehensive guide to trading perpetual swap funding rates. The guide must cover: 1) Funding rate mechanics and calculation, 2) Historical funding rate patterns, 3) Long/short basis trades, 4) Cash-and-carry arbitrage (spot vs perpetual), 5) Multi-exchange funding arbitrage, 6) Risk management (liquidation, exchange risk), 7) Capital efficiency strategies, 8) Automated funding rate bots, 9) Funding rate prediction models, 10) Tax treatment of funding payments. Provide Python code for monitoring funding rates.

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