BBX Funding Arbitrage Tutorial

The BBX Funding Arbitrage page helps users quickly compare funding rate differences between BBX and other trading venues and identify potential funding rate arbitrage opportunities.

Page access:

BBX → Funding → Funding Arbitrage

Direct link: https://dex.bbx.com/futures/funding

The page displays the Funding Spread between BBX and multiple markets, together with the corresponding annualized APR and the suggested arbitrage direction.

1. Find Arbitrage Opportunities

Use the Search pair box in the upper-left corner to look for the trading pair you want to monitor, for example:

BTCUSDT / ETHUSDT / NVDAUSDT

You can also switch between:

1H / 8H / 1D / 1W / 1Y

to view funding rate differences across different time periods.

The BBX column shows the funding rate for the trading pair on BBX.

The BBX (OI) column shows the Open Interest value of that trading pair on BBX.

The columns on the right compare BBX with other markets and display the corresponding Funding Spread and APR.

A simple way to use the page is:

Look for higher APR opportunities first → check the color → determine which direction to take on BBX.

2. Understand the Colors

BBX directly indicates the potential arbitrage direction on the page, so users do not need to calculate the direction manually.

🟢 Green

Green means:

Long @ BBX / Short @ Target

In other words:

Go long on BBX + go short on the corresponding target market

Based on the current Funding Spread, this direction corresponds to a positive estimated APR.

🔴 Red

Red means:

Short @ BBX / Long @ Target

In other words:

Go short on BBX + go long on the corresponding target market

Based on the current Funding Spread, this direction corresponds to a positive estimated APR.

Please note:

The color represents the position direction on the BBX side.

The displayed APR is the annualized return indicator derived from the corresponding Funding Spread and is intended to help users compare potential arbitrage opportunities.

3. How to Execute Funding Arbitrage

A simple execution flow is:

Select a higher-APR opportunity → identify the color → open the indicated position on BBX → open the opposite position on the target market

For example:

ETHUSDT shows Green with a 10% APR

The indicated direction would be:

BBX: Long

Target Market: Short

By opening positions of similar size in opposite directions across the two markets, users can seek to reduce directional exposure to the underlying asset while capturing the potential funding rate differential between the two venues.

4. How Funding Arbitrage Works

Funding Arbitrage is based on differences in Funding Rates across perpetual futures markets.

When the same asset has different Funding Rates on BBX and another market, users can follow the direction indicated on the page and establish opposite positions across the two venues.

The goal is to capture the funding rate differential while reducing exposure to the asset's directional price movement.

5. Risk Notice

Funding Arbitrage does not mean risk-free returns.

Funding Spreads may change before settlement, and actual returns may also be affected by factors including:

Trading fees
Slippage
Entry and exit price differences
Different funding settlement mechanisms across markets
Liquidation risk

Therefore, the displayed APR should be treated as a reference for identifying and comparing potential arbitrage opportunities, not as a guaranteed return.

In simple terms: Find an opportunity → understand the direction → open opposite positions across the two markets.