In a significant move for cryptocurrency traders, Binance Futures announced the launch of a new funding rate arbitrage bot. The bot, intended to facilitate more efficient trading, will be available on the Binance website and the app will be launched in June.
Special promotions with USDT prize pool
To celebrate the launch of the bot, Binance Futures is running a special promotion. Eligible users can participate in a 50,000 USDT prize pool. The promotion period is from 2024-05-15 11:30:00 (UTC) to 2024-05-29 11:30:00 (UTC).
There are two promotional offers going on: In Promotion A, eligible users who set up their first arbitrage bot and maintain it for 72 hours during the promotion period will win 10 USDT per user from the 30,000 USDT prize pool. This offer operates on a first-come, first-served basis.
In Promotion B, new users who have never traded Binance Futures before the promotion period can receive an additional 10 USDT token vouchers on a first-come, first-served basis after participating in Promotion A.
How Funding Rate Arbitrage Bots Work
Funding rate arbitrage bots utilize funding fees (regular payments exchanged between long and short positions in perpetual futures contracts). The bot aims to allow traders to earn these fees by opening positions on perpetual futures and hedging them by taking opposing positions on the same symbols in the spot market.
There are two types of strategies: Positive Carry, where the bot buys an asset in the spot market and sells the corresponding perpetual futures contract, and Reverse Carry, where the bot sells the asset in the spot market and takes a long position on the perpetual contract.
How to Participate
Participation involves three steps: First, users must log in to their Binance Futures account. Second, you must register for the activity by clicking ‘Register Now’ on the activity page. Finally, users must set up their arbitrage bot strategy and allow it to run for at least 72 hours.
Terms of Use
There are some terms and conditions attached to the promotion. In particular, all vouchers will be distributed within 14 business days of the end of the campaign. All vouchers are valid for 14 days after distribution. This campaign is only available to users who are eligible to trade on Binance Futures and may be restricted in certain jurisdictions or regions due to legal and regulatory requirements.
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