user68046: On bitfinex, funding fee for USD is around 0.05% (daily) while that for other crypto like BTC is 5-10x smaller (around 0.008%).
In my margin account, i have positions in few crypto currencies and i have posted some USD and BTC collateral in margin account. Rest gets 'funded' with USD at 0.05% funding rate daily (thats almost 25% annual cost!). 
Is it possible to fund this with BTC instead of fiat and will it reduce my daily funding cost by 5-10x. If so, what do i need to do?

user77147: What you fund your account with is irrelevant to this question.
If you take a long position against a USD pair, you'll borrow USD and pay USD interest. If you short a Coin you will borrow that coin and pay its interest.
Eg. Open long position on BTC/USD for $1000, you'll be borrowing $1000 for your position and would have to pay back $1000 + Interest.
If you short BTC/USD for 1 BTC, you'll be borrowing 1 BTC for your position and would have to pay back 1 BTC + Interest.

68046: <p>On bitfinex, funding fee for USD is around 0.05% (daily) while that for other crypto like BTC is 5-10x smaller (around 0.008%).</p>

<p>In my margin account, i have positions in few crypto currencies and i have posted some USD and BTC collateral in margin account. Rest gets 'funded' with USD at 0.05% funding rate daily (thats almost 25% annual cost!). </p>

<p>Is it possible to fund this with BTC instead of fiat and will it reduce my daily funding cost by 5-10x. If so, what do i need to do?</p>
 77147: <p>What you fund your account with is irrelevant to this question.</p>

<p>If you take a long position against a USD pair, you'll borrow USD and pay USD interest. If you short a Coin you will borrow that coin and pay its interest.</p>

<p>Eg. Open long position on BTC/USD for $1000, you'll be borrowing $1000 for your position and would have to pay back $1000 + Interest.</p>

<p>If you short BTC/USD for 1 BTC, you'll be borrowing 1 BTC for your position and would have to pay back 1 BTC + Interest.</p>
