{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,8,7]],"date-time":"2026-08-07T17:05:16Z","timestamp":1786122316795,"version":"build-2736575974"},"posted":{"date-parts":[[2026]]},"group-title":"SSRN","reference-count":0,"publisher":"Elsevier BV","license":[{"start":{"date-parts":[[2026,1,1]],"date-time":"2026-01-01T00:00:00Z","timestamp":1767225600000},"content-version":"unspecified","delay-in-days":0,"URL":"https:\/\/www.uspto.gov\/ip-policy\/copyright-policy\/copyright-basics"}],"content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":[],"abstract":"<jats:p>Perpetual futures combine a contractually specified funding transfer with market-based price adjustment. I study a deadband architecture used by a Commodity Futures Trading Commission-regulated cryptocurrency perpetual-futures venue and compare its realised cash flows with thirteen corresponding Bybit contracts. In a common event-index window (Kalshi: 3 June 2026 20:00 UTC-11 July 2026 04:00 UTC; Bybit: four hours earlier), 73.0 per cent of 1,226 Kalshi settlements are exactly zero, compared with none of 1,469 offshore settlements. A three-day circular block bootstrap gives a 95 per cent interval of 65.7-80.4 per cent for Kalshi's pooled zero share. Conditional on activation, however, the mean absolute Kalshi transfer is 1.88 basis points per eight hours, versus 0.73 basis points offshore. The deadband therefore creates an inaction region in contractual cash flows rather than merely lowering average funding. High-frequency evidence is consistent with premium mean reversion while funding remains inactive, with most observed adjustment borne by the perpetual mark rather than the reference index. The venue's filed impact-price rule, user-facing candle description, and public markindex proxy are not equivalent, although the proxy recovers the corrective sign and aggregate activation frequency. The results show how continuous market-based convergence can coexist with intermittent settlement transfers, and why derivative design should be evaluated through both activation frequency and conditional cash-flow magnitude.<\/jats:p>","DOI":"10.2139\/ssrn.7205749","type":"posted-content","created":{"date-parts":[[2026,8,7]],"date-time":"2026-08-07T09:41:46Z","timestamp":1786095706000},"source":"Crossref","is-referenced-by-count":0,"title":["Inaction Regions in Perpetual Futures: Deadband Funding and Price Convergence"],"prefix":"10.2139","author":[{"ORCID":"https:\/\/orcid.org\/0009-0005-8477-9393","authenticated-orcid":true,"given":"Boon Chuan","family":"Lim","sequence":"first","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]}],"member":"78","container-title":[],"original-title":[],"deposited":{"date-parts":[[2026,8,7]],"date-time":"2026-08-07T09:41:46Z","timestamp":1786095706000},"score":1,"resource":{"primary":{"URL":"https:\/\/www.ssrn.com\/abstract=7205749"}},"subtitle":[],"short-title":[],"issued":{"date-parts":[[2026]]},"references-count":0,"URL":"https:\/\/doi.org\/10.2139\/ssrn.7205749","relation":{},"subject":[],"published":{"date-parts":[[2026]]},"subtype":"preprint"}}