Which Exchanges Are NOT Supported for Funding Farming?
Funding Farming in MagicTradeBot requires both Spot and Futures trading to operate. Exchanges that cannot support hedged Spot + Futures positions are not compatible with this strategy.
๐น Unsupported Exchange Types
Wallet-Based Exchanges
These platforms typically do not allow simultaneous Spot + Futures hedging
Example:
- Hyperliquid
Attempting to run Funding Farming on these exchanges will fail, as the bot cannot open both positions needed for delta-neutral operation
Futures-Only Exchanges Without Spot Access
Exchanges that only allow futures trading cannot provide the spot hedge
- Without a spot position, the strategy becomes directional and high-risk, defeating the delta-neutral design
๐น Why These Exchanges Are Unsupported
| Limitation | Effect on Funding Farming |
|---|---|
| No spot trading capability | Cannot hedge futures positions |
| No hedging mechanics | Exposure to price swings increases |
| Wallet-only account restrictions | Bot cannot automate dual-position trades |
Key Reason: Funding Farming relies on hedged positions to capture funding fees while minimizing price risk. Any exchange that cannot support this setup cannot run this strategy safely.
๐น Recommended Exchanges
- Choose platforms that support both Spot and Futures trading with sufficient liquidity
- Avoid wallet-based or futures-only platforms
- Focus on stable, highly liquid symbols like BTC, ETH, and top-cap altcoins
โ Key Takeaway
Funding Farming is NOT supported on:
- Wallet-based exchanges (e.g., Hyperliquid)
- Futures-only exchanges without spot access
Reason: These exchanges cannot support hedged Spot + Futures trades, which are essential for delta-neutral funding fee farming.