Here's how to calculate the Fair Price for BTCUSD, BTCUSDT, ETHUSD, ETHUSDT, LTCUSD or LTCUSDT.

We use the Funding Base rate to calculate the Fair Price for a PrimeBit Perpetual Contract.

Here’s the formula:

Funding Basis = Funding Rate x (Time Until Funding / Funding Interval)

Fair Price = Spot Price x (1 + Funding Basis)

Funding Rate (FR) = Premium Index (P) + clamp(Interest Rate (I) - Premium Index (P), 0.05%, -0.05%)

Time Until Funding - time remaining until next Funding

Funding Interval = 3 (since funding occurs every 8 hours)

Spot Price - average last price from multiple external crypto exchanges