Binance will remove certain overnight pricing observations from a funding-rate calculation for its US-equity perpetual futures after a connectivity problem affected an alternative trading system. The change concerns the data used to determine transfers between long and short traders, not the valuation of stock-token collateral.
Connectivity issue affected overnight premium data
In a notice covering October 21, Binance said an unnamed US overnight alternative trading system experienced intermittent network connectivity problems from 03:46 to 06:30 UTC. The exchange said premium-index observations from that period would be excluded from the 08:00 UTC funding-rate calculation for TradFi perpetual contracts whose underlying assets are US equities.
According to CryptoSlate, Binance did not identify the alternative trading system involved. It also did not publish the resulting funding rates, the payment totals for individual customers or any figures relating to customer losses.
The affected products are perpetual futures, which do not have a fixed expiry date. Because they can continue trading while the underlying stock market is closed, exchanges need reference prices and market data to calculate their pricing mechanisms during periods when regular equity trading is unavailable.
What the adjustment changes
Binance’s funding methodology uses a premium index as one component of the funding-rate calculation. The index compares the prices at which a specified amount could be bought or sold in the futures order book with a reference price index. Premium observations are then averaged over the relevant funding period.
By removing the observations affected by the connectivity disruption, Binance changed the group of data points used in the 08:00 UTC calculation. The announcement therefore addressed the input to the funding formula rather than cancelling a funding transfer after it had been assessed.
Funding is a periodic payment exchanged by traders holding opposing perpetual positions. When the funding rate is positive, long-position holders pay short-position holders. When it is negative, shorts pay longs. Binance says it charges no fee on these transfers, while the payment amount depends on the position’s nominal value and the applicable funding rate.
Why overnight equity trading creates a data challenge
Stock-based perpetual contracts are designed to trade beyond the regular schedule of the underlying equity market. During market closures, Binance’s TradFi perpetuals framework uses session-dependent methods, including order-book-derived inputs, vendor-based reference prices and smoothing mechanisms described in its guide.
That makes the quality and availability of overnight observations important to the calculation. In this case, Binance specifically said the affected premium-index data would be removed. Its notice did not say that the underlying contracts, collateral values or stock-token valuations would be repriced as part of the adjustment.
The distinction matters because funding payments and asset valuation are separate mechanisms. Funding transfers money between opposing positions, while mark prices, index relationships and collateral valuation help determine how positions and account assets are valued.
Moneyiar market picture
Moneyiar data at 23:34 on October 22, 2026, showed BNB at $730.3689216916, down 2.2% over 24 hours and up 0.43% over seven days. At 23:33, Midnight (NIGHT) was $0.038253881, down 7.92% in 24 hours and 9.62% over seven days; Nexus (NEX) was $0.0000006019, down 10.62% and 19.28%; and Data Network (DATA) was $0.1470415126, down 6.78% and 22.56%, respectively.
