Derivatives update: Chaotic deleveraging and wildly negative funding rates

Following last week’s mayhem in the markets, we see growing differences in the futures premiums across various venues, with FTX trading at a significant premium. Meanwhile, funding rates on Binance reached its lowest level since July 26th, 2021.
Source: CME

Last week created a uniquely volatile pattern in the BTC futures. The USDT discount likely impacted the Binance futures settled in USDT, which might have had sticky effects on the Binance premiums, leading Binance to trade at a sustained discount compared to FTX.

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