When you trade perpetual futures on Toobit, trading fees and funding can affect the P&L you actually walk away with. The amount can vary depending on factors such as how your order is filled, your VIP level, and whether you hold a position through a funding settlement.
Knowing how these costs are calculated can help you understand what you are being charged and estimate the cost of a trade before you place it.
What are futures order costs?
Futures order costs mainly come from two sources: trading fees and funding.
Trading fees are charged when an order is filled, while funding is exchanged between long and short position holders at scheduled settlement times. Depending on the funding rate and your position direction, you may either pay or receive funding.
How much you pay can depend on several factors:
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Maker or taker execution: Maker and taker fills have different fee rates. The rate you pay depends on how your order is actually filled.
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VIP level: Your VIP level determines your applicable maker and taker fee rates. Higher VIP levels generally come with lower rates.
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Trade and position value: Trading fees are based on the actual value filled, while funding is based on the value of your position at the time of settlement.
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Funding rate: The funding rate determines how much is exchanged between long and short position holders.
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Holding period: Keeping a position open longer may mean going through more funding settlements, which can result in multiple funding payments or receipts.
How does the order cost calculation work?
The basic formulas used to calculate your costs are:
Trading fee = Filled value × Trading fee rate
Funding fee = Position value × Funding rate
When funding is paid, the total order cost can be calculated as:
Total order cost = Trading fee + Funding fee
Here's what each part means:
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Filled value: The actual value of the portion of your order that is filled.
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Trading fee rate: The rate that applies based on your maker or taker execution and current VIP level.
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Position value: The value of your open position at the time of funding settlement.
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Funding rate: The rate used to calculate the funding payment. You can check the current funding rate and next settlement time on the Toobit Futures trading page.
Keep in mind that funding is not always a cost. Depending on the funding rate and whether you are long or short, you may pay or receive funding.
BTCUSDT example: putting it all together
Suppose you open a BTCUSDT perpetual futures long position with the following details:
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Entry price: 80,000 USDT
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Quantity: 0.1 BTC
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Leverage: 10x
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Execution: taker
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Trading fee rate: 0.06%
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Funding rate: +0.01% for this example
Step 1: Calculate the trading fee
First, calculate the filled value:
80,000 USDT × 0.1 BTC = 8,000 USDT
Then apply the taker fee rate:
8,000 USDT × 0.06% = 4.8 USDT
Your trading fee for this fill is 4.8 USDT.
Step 2: Calculate the funding payment
Now suppose you are still holding the position at the next funding settlement and its position value is 8,000 USDT.
Because the funding rate is positive and you are long, you would pay funding:
8,000 USDT × 0.01% = 0.8 USDT
Your funding payment for this settlement is 0.8 USDT.
When the funding rate is positive, longs pay shorts. When it is negative, shorts pay longs.
Step 3: Calculate the total cost
Assuming the position goes through one funding settlement:
4.8 USDT + 0.8 USDT = 5.6 USDT
In this example, you would pay 5.6 USDT in trading fees and funding.
This example covers one fill and one funding settlement. If you later close the position, the closing order may also incur a trading fee based on its actual filled value and applicable maker or taker rate.
Actual funding rates and settlement intervals can vary by trading pair, so check the latest information before trading.
How can you estimate your trading costs?
Before placing a trade, check your current maker and taker fee rates, especially if your VIP level has changed. If you plan to hold a position through a funding settlement, also check the current funding rate and next settlement time.
What else should you know?
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Trading fees apply only to the portion of an order that is filled. If an order is canceled without being filled, no trading fee applies.
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If an order is filled in multiple parts, the trading fee is calculated based on each actual fill.
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Leverage does not directly affect your trading fee rate.
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Funding only applies if you hold an eligible perpetual futures position at the relevant settlement time.
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Trading fee rates, funding rates, settlement intervals, and related rules may change. Check the latest information displayed on Toobit before trading.
FAQ
1. What are futures order costs on Toobit?
Futures order costs mainly include trading fees on filled orders and any applicable funding while you hold a futures position.
2. What affects my futures order costs?
Your costs can depend on your maker or taker execution, VIP level, filled value, position value, funding rate, and whether you hold your position through a funding settlement.
3. Does leverage affect my trading fee?
No. Your trading fee is based on the actual filled value and the applicable maker or taker fee rate, not the amount of leverage you use.
Leverage does affect how much margin you need to open and maintain a position, so it can still have a significant impact on your trading risk.
4. How often is funding settled?
Funding settlement intervals can vary by trading pair. You can check the current funding rate and next settlement time directly on the futures trading page.
Risk warning
This article is provided for informational purposes only to explain how Toobit futures order costs are calculated. It does not constitute investment, trading, financial, legal, or other professional advice, nor does it constitute an offer or solicitation.
Digital asset and futures trading involve significant risk. Price movements may result in substantial losses, and leverage can amplify both gains and losses. You may lose your entire investment. Products, features, rules, fee rates, funding rates, and related services may change. Always refer to the latest information displayed on Toobit and official announcements.
