> ## Documentation Index
> Fetch the complete documentation index at: https://docs.scape.exchange/llms.txt
> Use this file to discover all available pages before exploring further.

# Funding

> Funding rate mechanics.

## Overview

Funding keeps the perp aligned with the oracle through periodic peer-to-peer transfers. When
the perp trades above the oracle, longs pay shorts; when it trades below, shorts pay longs.
Funding is paid **hourly** on the mark/index spread and settles to each position holder's
margin balance every hour.

## Technical Details

| Parameter          | Value                                     |
| ------------------ | ----------------------------------------- |
| Interval           | Hourly                                    |
| Mechanics          | Hyperliquid standard perpetual funding    |
| Interest component | 0.001% per 8 hours (0.00001)              |
| Rate scaling       | None — the standard rate applies unscaled |

The funding rate combines the average premium of the perp relative to the oracle with a
clamped interest component, under standard Hyperliquid perpetual mechanics — see
[Hyperliquid's documentation](https://hyperliquid.gitbook.io/hyperliquid-docs) for the full
formula. Funding accrues on position notional and is exchanged between longs and shorts:

$$
\text{payment} = \text{position size} \times \text{oracle price} \times F
$$

## Off-Hours Funding

Funding continues hourly in every oracle regime — active, stale hold, bounded discovery, and
holiday hold. When the external assessment is dark, the premium term is the economic tether
between the order book and the published oracle: as the perp mark drifts from the discovery
reference, the premium widens and funding flows from the rich side to the cheap side. The
discovery band caps the published oracle, and therefore the funding reference. On reopen, any
remaining dislocation converges through normal trading and funding.