- Bybit's dynamic settlement frequency feature is designed responsive to changing market conditions, enhancing trading efficiency and responsiveness.
Bybit exchange has added a feature to its Perpetual Contracts that automatically changes the frequency of funding rate settlements. The new feature will be available starting at 8 a.m. UTC on October 30, 2025, but the final rollout will happen by November 3, 2025, at 6 a.m. UTC.
The feature is meant to make trading faster and more responsive. Bybit has said that any changes to funding rate limits or settlement frequencies in the future will be made automatically and without any additional announcements.
How It Works
The functionality will change the frequency of funding rate settlements based on what is happening in the market at the time. When the funding rate of a Perpetual Contract reaches its defined upper or lower limit during settlement, the system will automatically change the settlement frequency to once an hour. This change makes funding rates better reflect how the market is moving and how volatile it is.
For example, if a Perpetual Contract settles every four hours—at 4 a.m., 8 a.m., and 12 p.m. (UTC+8)—and has upper and lower limits of ±2%, the system will work like this:
- Scenario 1: If the funding rate hits ±2% at 8 a.m. (UTC+8), it triggers an automated transition to an hourly settlement frequency. The subsequent settlement will take place at 9 a.m. (UTC+8).
- Scenario 2: If the funding rate is 1% at 8.am (UTC+8), the frequency stays unchanged.
Bybit said that traders can see the most recent settlement frequency on the platform, allowing them to adjust their tactics based on changing market conditions. The funding settlement schedule (UTC+8) is as follows:
- Every 8 hours: 12 a.m., 8 a.m., 4 p.m.
- Every 4 hours: 12 a.m., 4 a.m., 8 a.m., 12 p.m., 4 p.m., 8 p.m.
- Every 2 hours: 12 a.m., 2 a.m., 4 a.m., 6 a.m., 8 a.m., 10 a.m., 12 p.m., 2 p.m., 4 p.m., 6 p.m., 8 p.m., 10 p.m.
Reversion and Adjustment Timing
After an automatic move to hourly settlements, the system may go back to lengthier intervals—every two, four, or eight hours—without prior notification, depending on how the market is doing. The adjustment typically takes around four minutes to complete.
For some contracts, the automatic adjustment option may be turned off because of liquidity or volatility issues. Initially, this feature won’t be applicable to BTCUSDT, BTCUSDC, BTCUSD, ETHUSDT, ETHUSDC, ETHUSD, ETHBTCUSDT, or ETHWUSDT Perpetual Contracts.
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