ARB Perpetual Futures on PowerTrade – Funding Rate, Contract Specs & Trading Guide

Trade ARB perpetual futures on PowerTrade with zero fees, hourly settlements, and transparent funding rates based on the CoinGecko ARB/USDC index. Learn how Arbitrum perpetuals work, how funding works

Trade ARB perpetual futures on PowerTrade with zero fees, hourly settlements, and benchmark-aligned funding rates based on the CoinGecko ARB/USDC Index. ARB perpetuals let traders speculate or hedge Arbitrum price movements using leverage, multi-collateral margining, and transparent hourly funding.

👉 Start trading ARB Perpetual Futures now on PowerTrade or its decentralized counterpart Polaris.

What Are ARB Perpetual Futures?

ARB perpetual futures are leveraged derivative contracts that allow traders to take long or short positions on the price of Arbitrum (ARB) without owning the underlying token.

  • Long ARB Perpetual: Profit when ARB price rises.

  • Short ARB Perpetual: Profit when ARB price falls.

Unlike dated futures, ARB perpetuals never expire. Instead, they rely on funding payments exchanged between long and short traders to keep contract prices aligned with the ARB spot market.

ARB Perpetual Contract Specifications

Parameter
Details

Instrument Name

ARB-PERPETUAL

Underlying Asset

Arbitrum (ARB)

Settlement Currency

USDC

Leverage

Up to 100×

Settlement Frequency

Hourly

Trading Fees

0% maker / taker

Collateral Options

BTC, ETH, and stablecoins

Margin Mode

Isolated or Portfolio Margin

PowerTrade perpetuals are built for speed, capital efficiency, and transparency, offering zero-fee trading, benchmark-based pricing, and deep liquidity.

ARB Perpetual Funding Rate Explained

PowerTrade’s ARB funding rate mechanism ensures perpetual prices remain closely aligned with the ARB/USDC index derived from CoinGecko.

Funding Rate Formula:

F = P + clamp(I – P, +0.05%, –0.05%)

Where:

  • P (Premium Index): Difference between perpetual market price and index price.

  • I (Interest Rate): 0.01% per 8 hours (applied hourly).

  • Clamp: Restricts change to ±0.05% to prevent funding volatility.

Funding is applied hourly and only affects positions open at settlement. Traders who close their positions before the funding timestamp avoid funding fees.

👉 Learn more: PowerTrade Funding Rate Calculation Guide

ARB/USDC Index Price Methodology

The ARB/USDC Index tracks Arbitrum’s fair market value against USDC using aggregated real-time data from CoinGecko’s composite feed.

📊 Reference Source: Arbitrum (ARB) on CoinGecko

Purpose of the Index

The index ensures mark prices and liquidation thresholds reflect the true global market value of ARB — rather than activity on a single exchange. This design promotes fairness, transparency, and market integrity.

Index Construction

The index is derived from a weighted average of ARB/USDC (or equivalent) spot prices across major exchanges. Each source’s weight is determined by:

  • Trading volume and liquidity

  • Historical reliability and uptime

  • Price stability versus global averages

CoinGecko automatically excludes stale or outlier data to ensure consistency. PowerTrade uses this validated feed to calculate mark prices and funding rates.

Fallback Mechanism

If CoinGecko’s data feed becomes unavailable, PowerTrade switches to an internal pre-market index, derived from bid/ask data in the ARB perpetual order book. This ensures continuous pricing and fair liquidations even during data disruptions.

Mark Price and Liquidation Logic

PowerTrade’s mark price mechanism ensures fair and transparent PnL calculations and liquidation processes.

Mark Price = Index Price + EMA(Market Price – Index Price)

  • The EMA (Exponential Moving Average) is computed over a 15-second window to smooth short-term volatility.

  • This protects traders from unnecessary liquidations and ensures accurate mark-to-market pricing.

PnL Calculations:

  • Long ARB: PnL = Position Size × (Mark Price – Entry Price)

  • Short ARB: PnL = Position Size × (Entry Price – Mark Price)

Liquidation Trigger: Account Balance + Unrealized PnL ≤ Maintenance Margin

When triggered:

  1. All open orders are canceled.

  2. Positions close at market price.

  3. The insurance fund and auto-deleveraging (ADL) system protect other traders from loss propagation.

Why Trade ARB Perpetual Futures on PowerTrade?

✅ 0% Trading Fees – Trade with zero maker or taker fees. ✅ Hourly Funding – Updated hourly for precise rate adjustments. ✅ Benchmark-Aligned Pricing – CoinGecko-based ARB index ensures accuracy. ✅ Multi-Collateral Margining – Use BTC, ETH, or stablecoins as margin. ✅ Portfolio Margin – Cross-margin with other perpetuals and options. ✅ Trade Anywhere – On PowerTrade (CEX) or Polaris (DEX).

PowerTrade’s ARB perpetual markets combine fair funding, deep liquidity, and cross-platform access, giving traders total control and efficiency.

Example ARB Perpetual Use Cases

1️⃣ Hedge ARB Spot Exposure Short ARB perpetuals to protect your spot holdings during volatility.

2️⃣ Leverage Trading Take directional positions with up to 100× leverage.

3️⃣ Funding Rate Arbitrage Capture profit opportunities from ARB funding rate differentials.

4️⃣ Volatility Speculation Trade ARB’s short-term price movements with transparent hourly funding and zero fees.

Funding Transparency and Reproducibility

PowerTrade offers complete funding transparency — every rate is reproducible using public index and order-book data. This ensures that all traders operate on a level, verifiable system.

👉 See details: PowerTrade Perpetual Funding Rate Methodology

How to Start Trading ARB Perpetuals

  1. Create an account on PowerTrade or Polaris.

  2. Deposit collateral – USDC, BTC, or ETH.

  3. Select ARB-PERPETUAL from the perpetuals list.

  4. Start trading instantly with 0% fees and hourly funding transparency.

Conclusion

PowerTrade’s ARB Perpetual Futures deliver unmatched transparency, capital efficiency, and zero trading fees — allowing traders to hedge, speculate, or arbitrage Arbitrum price movements with precision. Whether you’re trading ARB volatility or building long-term strategies, PowerTrade and Polaris provide the industry’s most transparent and liquid perpetual markets.

👉 Start trading ARB perpetuals today on PowerTrade or Polaris.

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