example

cargo run -- -k ../keypairs/x19.json -t 1 -s

• -t: 0.1 base size
• -s: send transactions to mainnet flag (if not provided will simulate)

cargo run -- --help

drift-funding-arb 0.1.0

USAGE:
    drift-funding-arb [OPTIONS] --keypair-path <KEYPAIR_PATH> --target-position-size <TARGET_POSITION_SIZE>

OPTIONS:
    -c, --close
            will close all open positions

    -h, --help
            Print help information

    -k, --keypair-path <KEYPAIR_PATH>
            keypair for owner

        --perp-market-index <PERP_MARKET_INDEX>
            perp to long/short for funding [default: 0]

    -s, --simulate
            will simulate what will happen by default -- provde '-s' flag to send txs

        --spot-market-index <SPOT_MARKET_INDEX>
            spot to long/short for delta-neutral position [default: 1]

        --subaccount-id <SUBACCOUNT_ID>
            subaccount id of owner [default: 0]

    -t, --target-position-size <TARGET_POSITION_SIZE>
            position size of the arb  (with precision 10)

    -V, --version
            Print version information

overview

• init drift account
  • usdc collateral
• pull market
• read current market funding rate APY
  • just need market then can use controller/funding.rs math to determine the long/short funding rate
  • APY calculation = (1 + rate) ^ (24 x 365.25) - 1
    • FUNDING_RATE_BUFFER
• read borrow APR
  • spot_balance.rs in math/ pub fn calculate_accumulated_interest(
    • SPOT_UTILIZATION_PRECISION
• if funding APY > borrow APR
  • if funding pays longs -> go long on the perp and borrow (+ sell) SOL spot
  • if funding pays shorts -> go short on the perp and borrow (+ hold) SOL spot
• closing out = close position + repay spot position