2-Step Prop Firm Challenge: Two Evaluation Phases to a Funded Account
The 2-Step challenge splits the evaluation into two phases with lower targets: 8% in phase 1 and 5% in phase 2. You get an 8% static drawdown and a 5% daily loss limit, no time limit and no minimum trading days. Pass both phases and you trade a funded account with the same rules and no profit target.
- 8% and 5% profit targets
- 8% static drawdown
- Accounts up to $500,000
- Up to 90% profit split
Last updated
2-Step Challenge Rules at a Glance
Both phases use the same risk rules. The funded account keeps them too, without a profit target.
| Rule | 2-Step challenge |
|---|---|
| Evaluation phases | Two |
| Profit target | 8% in phase 1, 5% in phase 2 |
| Daily loss limit | 5%, reset at 5:00 PM New York time |
| Maximum drawdown | 8% static, on closed balance |
| Time limit | None |
| Minimum trading days | None |
| Inactivity | Breached after 30 days with no trading |
| Weekend holding | Allowed |
| Expert advisors | Allowed, within the prohibited trading rules |
| Profit split | 80%, or 90% with the add-on |
| Platforms | cTrader, DXtrade, MatchTrader, PropX |
The daily loss limit is 5% of the previous day's closing balance or equity at the reset, whichever is higher.
2-Step Account Sizes, Fees and Limits
The 2-Step has the widest range of sizes, from $5,000 to $500,000. Fees are one-off and in US dollars.
| Account size | Challenge fee | Phase 1 target | Phase 2 target | Drawdown floor |
|---|---|---|---|---|
| $5,000 | $49 | $400 | $250 | $4,600 |
| $10,000 | $79 | $800 | $500 | $9,200 |
| $25,000 | $159 | $2,000 | $1,250 | $23,000 |
| $50,000 | $329 | $4,000 | $2,500 | $46,000 |
| $100,000 | $519 | $8,000 | $5,000 | $92,000 |
| $200,000 | $1,099 | $16,000 | $10,000 | $184,000 |
| $300,000 | $1,899 | $24,000 | $15,000 | $276,000 |
| $400,000 | $2,599 | $32,000 | $20,000 | $368,000 |
| $500,000 | $3,399 | $40,000 | $25,000 | $460,000 |
Challenge fees and add-ons are non-refundable. Choose a size and platform on the accounts page.
How the 8% Static Drawdown Works
A static drawdown stays at the same level for as long as the account is active. On a $100,000 account the floor is $92,000, whatever the balance reaches, so every dollar of profit adds to your room.
The 5% daily loss limit applies on top. On a day that starts at $100,000, equity reaching $95,000 is a breach even though the floor is lower.
On the funded account, the floor locks at your starting balance once a payout is processed, unless you bought the Drawdown Lock Removal add-on. Our prop firm drawdown calculator shows both limits in dollars for any account size.
From Phase 1 to Your First 2-Step Payout
- 01
Pass Phase 1
Reach the 8% target within the daily loss limit and the maximum drawdown. There is no deadline.
- 02
Pass Phase 2
Reach the 5% target under the same risk rules.
- 03
Verify and Get Funded
Complete KYC and the Trader Agreement with Prop Account, LLC. Your funded account is usually issued within 24 to 48 business hours.
- 04
Request a Payout
Request your first withdrawal whenever you like, then once every 30 days from your trader dashboard.
2-Step Payouts and Profit Split
Your first withdrawal from a funded account can be requested at any time, then once every 30 days from your trader dashboard. There is no minimum withdrawal on 2-Step accounts. You can request a withdrawal of up to 100% of the profit in the account. You receive your profit split of what you withdraw, 80% as standard or 90% with the Profit Split Upgrade add-on. Requesting the full profit is a hard breach: it is allowed, but not recommended unless you have the Remove Lock on Payout add-on.
When a payout is approved, River Valley Capital takes its share at the same time, and your maximum drawdown locks at the starting balance unless you bought the Drawdown Lock Removal add-on. You may request the full amount, but a small buffer above the floor can be lost in one bad day. The prop firm payout calculator shows a recommended amount that keeps at least one full day's loss limit in hand.
Is the 2-Step Challenge Right for You?
Why Traders Choose 2-Step
Each target is smaller than the 1-Step's 10%, and the 8% drawdown gives more room for a losing run. It is also the only programme with $300,000 and $500,000 accounts.
What to Weigh Up
You have to pass two phases instead of one before you are funded. If you would rather reach a funded account in one phase, see the 1-Step challenge. To start funded with no evaluation, see Instant Funding.
Trading Rules for Both 2-Step Phases
You can trade forex pairs and CFDs on indices, commodities, metals and cryptocurrencies streamed by the liquidity provider.
| Market | Maximum leverage |
|---|---|
| Forex | 50:1 |
| Gold (XAUUSD) | 10:1 |
| Silver and other metals | 5:1 |
| Indices | 10:1 |
| Oil | 1:1 |
| Cryptocurrencies | 2:1 |
News Events
Opening a position within 3 minutes before or after a news event is not allowed. A trade opened in that window can be closed with its profit or loss removed, the account's leverage can be reduced, or the account can be breached.
Prohibited Trading
Strategies that exploit pricing errors or latency, use insider information, front-run trades, use an off-the-shelf strategy sold to pass challenges, or switch to a different strategy once funded are not allowed. Neither is gambling, such as using maximum leverage to try to hit a target on one price move. Copy trading is allowed only between accounts you own.
Hard and Soft Breaches
Breaking the daily loss limit or the maximum drawdown is a hard breach: the account is closed, and any gains in a funded account are lost unless you bought the Payout Protector add-on. A soft breach closes only the trades that broke a rule, and you can keep trading.
Inactivity
An account with no trading activity for 30 days in a row is treated as inactive and breached.
2-Step Challenge Questions
Is there a time limit on either 2-Step phase?
No. Neither phase has a time limit or a minimum number of trading days. An account is only breached for inactivity after 30 days in a row with no trading.
Is the drawdown the same in both phases?
Yes. Both phases and the funded account use an 8% static maximum drawdown and a 5% daily loss limit.
Can I hold trades over the weekend?
Yes. Weekend holding is allowed on 2-Step accounts.
How many 2-Step challenges can I run at once?
There is one limit, the Maximum Allocation Limit: the combined value of all your active accounts, assessment and funded together, may not exceed $1 million. You can hold any mix of plans at the same time within that, including Instant, 1-Step and 2-Step.
What happens if I break a rule on the funded account?
Breaking the daily loss limit or the maximum drawdown closes the account, and any gains in it are lost unless you bought the Payout Protector add-on.
Is the challenge fee refundable?
No. Challenge fees and add-ons are non-refundable.
Start Your 2-Step Challenge
Pick an account size from $5,000 to $500,000, choose your platform and check the add-ons before checkout.