Why do I only get 50% of the 8 hours funding as arbittage profit instead of 90%?

Answer

If you only run for the first 8 hours, you probably calculate the fees and unrealized profit. The funding you recieve will always be 100%, but keep in mind when opening a position, you “buy” something that would need to pay trading fee. Trading fee in arbitrage bot commonly only happen 2 times, in first bought and in the last when closing. There’s other event such as de-leveraging which will sell your spot portion in case of futures market is liquidated.

Related posts:

  1. The spot future arbitrage bot is frozen and the funding fee also doesn’t appear as it should… could we risk the bot to crash at the next funding fee period in 2 hours?
  2. Considering that trading bot makes profit only when funding rate is positive, any particular reason why there is no option to automatically close the bot once funding rate becomes negative?
  3. Let's say few hours before the price was 17.14usd and it show +24%. Now is 18.311 and is -8.46%. I thought it suppose to be maybe +26% instead of -8.46%
  4. Pionex fee is 0,05% per transaction right? But why does Pionex take like 0,13% fee when a 8 hours arbitrage profit of 0,29% is coming free?
  5. Why does part of my grid profit disappear every couple hours?? Is it being reinvested automatically into the grid if I don’t release profit?
  6. So can I ignore the price gap (assuming I can cover it with the funding fee) as long as the funding rate is positive?
  7. I'm setting up a grid bot for BNB1S but instead of it buying in right away I want it to buy in small quantity and then start the grid. Like if I have 50 grids it will buy 2% using me usdt at each grid. Instead of buying in at the start. Possible you know?
  8. Do we get profit only from funding rate in arbitrage bot?Or there is some thing also from where we get profit?
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