The unrealized margin funding (margin funding interest) needs to be paid either every day from your Margin Wallet, or be backed by margin funding on the margin funding market. You can choose which option you want for each of your positions:
- Daily: Your unrealized margin funding rate will be charged every day from your Margin Wallet, up to $10,000 USD worth of interest.
- Term*: Your unrealized margin funding will only be charged when you close your position. It will be backed by margin funding taken from the P2P margin funding market. Some users prefer term because it shows the total cost over the lifetime of the position, but results in additional funding being reserved to account for the growing balance.
All positions are by default charged daily.
To change from daily to term, navigate to the position section and tap on the daily button, as highlighted below.
When viewing your active margin position in your trading page, your total unpaid funding cost would be displayed as below:
The funding cost charged is the combined interest of all underlying borrowed (taken) funding needed to cover that position.
The displayed funding cost is the accrued portion of the combined interest which has been calculated every second that will be settled every day at 1:30 UTC.
In addition, it can be found on the Reports section under active position.
The funds to settle will be deducted from the Margin Wallet, in the same currency. In case the user doesn't hold that currency, through a settlement at market rate against the currency which is held in the Margin wallet.
To retrieve the daily funding type’s total cost of interest paid for an open position, you will need to download the balance history dating back to the opening of your position through the Reports section. Once downloaded, filter through the margin funding payment entries and the sum of the daily charges corresponds to the total cost of interest charged so far.