BitMEX Exchange Report Shows 90% Drop in Extreme Bitcoin Funding Rates Since 2016
BitMEX's analysis of XBTUSD perpetual swaps reveals a dramatic 90% reduction in extreme funding rate occurrences from May 2016 to May 2025. The data points to Bitcoin's evolution from a volatile speculative asset to a more stable financial instrument, with 2024-2025 showing unprecedented stability even as prices surpassed $100,000.
Perpetual swaps, pioneered by BitMEX in 2016, have become a cornerstone of crypto derivatives trading. Funding rates—the mechanism that Tether futures prices to spot markets—now exhibit patterns resembling traditional financial instruments. This maturation coincides with growing institutional participation and improved market infrastructure.