Will this carry trade make money?
Workflow · Carry Trade · Advanced · 8 credits
The spread looks small. At scale it compounds into real yield — with zero directional risk. Enter both legs — get annualized return and net yield math.
What's the spread you're seeing?
Tell me the funding rates on both legs — I'll calculate the net yield and show you the breakeven point.
Frequently Asked Questions
What is a carry trade in crypto?
A carry trade captures the difference in funding rates between two exchanges. You go long on the exchange with the lower (or more negative) funding rate and short on the exchange with the higher rate, collecting the spread as profit over time.
What does delta-neutral mean?
Delta-neutral means your net directional exposure to price movement is zero. By holding equal-sized long and short positions on the same asset, price changes cancel out — your P&L comes only from the funding rate differential.
How is annualized yield calculated?
Annualized yield = net rate per interval × (8760 / interval_hours) × 100%. The net rate is the difference between the short-side received funding and the long-side paid funding. This projects the current rate differential over a full year.
What does the profitability verdict mean?
Profitable means net profit exceeds 0.5% of notional — the spread covers transfer costs and generates net income. Marginal means net profit is positive but thin. Loss means funding income does not offset transfer fees at current rates.