> For the complete documentation index, see [llms.txt](https://argon-protocol.gitbook.io/argon-protocol/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://argon-protocol.gitbook.io/argon-protocol/trading/funding-fee.md).
# Funding Fee
Funding rate is the key to maintain the perpetual contract price in balance with the spot price. The underlying principle is: when the contract price is higher than the index price, long position holders compensate short position holders; conversely, when the contract price is lower than the index price, short position holders compensate long position holders.
Based on the pricing mechanism in the previous section: when the LPs hold short position, long position holders compensate short position holders; conversely, when the LPs hold long position, short position holders compensate long position holders.
The Funding Rate is calculated and charged/paid in real time, and the specific calculation formula is:
---
# Agent Instructions
This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com.
## Querying This Documentation
If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.
Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter:
```
GET https://argon-protocol.gitbook.io/argon-protocol/trading/funding-fee.md?ask=&goal=
```
`ask` is the immediate question: it should be specific, self-contained, and written in natural language.
`goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.
Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.