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A Comprehensive Guide to The Funded Trader Rewards & Account Scaling
A Comprehensive Guide to The Funded Trader Rewards & Account Scaling

Streamlined Rewards: Navigating Your Funded account rewards and opportunities for account scaling

Updated over a month ago

Navigating the reward process for different challenges at The Funded Trader can seem daunting, but understanding the specifics can help simplify this crucial aspect of your trading journey. Below, we outline how rewards are processed across various challenges and discuss the scaling plans that enhance your initial account balance.

Reward Process Overview

All traders with eligible Funded accounts need to submit a reward request via the Rewards section of the Trade Hub. Reviews of trader's accounts are conducted before processing rewards, which currently are available through Rise (Riseworks), USDt (via ERC-20 and Polygon Network), Etherum (via ERC-20) and Bitcoin.

For a detailed overview of our reward options, please refer to the following articles:

Reward Processing Times:

  • Standard, Rapid, Royal, Knight, Knight Pro & Dragon Challenges: 3 to 5 business days from request.

Challenge-Specific Rewards Request Eligibility

Funded accounts become eligible to request rewards based on the time since the first trade is placed on the Funded account and subsequent rewards become eligible based on the amount of days after the date of your first trade following any previous withdrawal. Once a first trade is placed, your next reward request eligibility date will appear on the rewards section of the Trade Hub, as long as the accounts balance is above its starting balance.

Challenge Type

First Reward Eligibility

Subsequent Reward Eligibility

Standard

21 days after first trade date

14 days from first trade date after previous withdrawal

Rapid

14 days after first trade date

14 days from first trade date after previous withdrawal

Rapid with 7 days withdrawal add-on

7 days after first trade date

7 days from first trade date after previous withdrawal

Royal

30 days after first trade date

14 days from first trade date after previous withdrawal

Royal with 14 days withdrawal add-on

14 days after first trade date

14 days from first trade date after previous withdrawal

Knight

7 days after first trade date

7 days from first trade date after previous withdrawal

Dragon

7 days after first trade date

7 days from first trade date after previous withdrawal

Knight Pro

Anytime as long as Steadfast Gains rule is satisified

Anytime as long as Steadfast Gains rule is satisified

Reward Eligibility and Request Process

To request a reward, traders must first be verified, which includes submission of a government-issued ID, proof of address, and a signed Funded Trader Agreement. No open positions should be active at the time of the reward request and account balance must be above the starting balance in order to be eligible to submit a reward request.

Note: A reward means you are paid based on data which is measured by simulated profit.

Reward Check Process

At The Funded Trader (TFT), we perform additional risk checks for prohibited trading strategies before processing rewards to ensure compliance with our trading rules. Our goal is to fully automate risk management, but certain key checks remain in place to maintain fairness and integrity in the trading environment.

Ongoing Risk Checks During Rewards

When you reach the reward stage, we conduct thorough reviews to ensure no violations have occurred during the funded phase. If any violations are identified, the following actions may be taken:

Deduction of Net Profits: Any profits earned from trades that violated our rules will be deducted from your reward. The remaining balance will still be available for withdrawal.

Request for New Reward: Once adjustments are made for any violations, you can immediately request another reward if necessary.

These checks are in place to maintain a fair trading environment and ensure rewards are processed with integrity.

Important Notice Regarding KYC Process and Rewards

Before any rewards can be processed, traders must successfully complete the KYC (Know Your Customer) process. If you fail to complete the KYC process or are denied by our KYC partner:

• You will not be eligible for a refund of any orders.

• You will be prohibited from purchasing future products on our platform.

Our KYC partner follows strict Anti-Money Laundering (AML) and KYC guidelines. It is important to stay in good standing with them. If you fail to do so, it is beyond our control, and we must act accordingly.

Refund Policy:

Please note that no refunds will be issued if you fail to complete the KYC process. We encourage all clients to ensure they meet the KYC requirements before making any purchases on our platform.

Violation Warning System

We actively monitor trading activities to ensure compliance with our Terms of Use. If a trader violates these terms, a structured warning system is applied:

1. First and Second Warnings: When a violation is detected, a warning is issued. Profits from violating trades are deducted, while losses remain unchanged and count toward the warning system.

2. Third Warning: Upon the third violation, the account will be breached, and further actions may be taken, such as suspension or termination of the account.

Warnings carry forward, meaning violations accumulate over time and do not reset after each reward or phase.

For more detailed information on the specific checks and violations (such as news trading, order layering, and high-frequency trading) that are monitored during the reward process, please refer to the detailed violations article here.

How do rewards work for TFT Funded Knight Accounts?


When you make a withdrawal from the TFT funded account, it reduces the balance by the same amount. For example, if your account is at $107,000 and you withdraw $5,000, you will only have a $2,000 drawdown left to trade, as the account has a relative drawdown.

Note: For TFT Funded Knight Accounts, it is important to always leave a buffer on the account, as this buffer will act as your maximum loss limit. In cases where the full available amount is requested as a reward, the account will automatically be breached.

Example 1: If your TFT account is at $105,000 and you withdraw $5,000. You will only have $0 drawdown left to trade as the account has relative drawdown. In this example the account will be breached.

Example 2: If your TFT account is at $105,000 and you withdraw $3,000. You will only have a $2,000 drawdown left to trade as the account has relative drawdown. In this example, the account will not be considered breached.

New Withdrawal Warning System for Knight Funded Accounts


We have introduced a new withdrawal warning system for clients whose Knight Funded accounts have their max relative drawdown set to their initial balance. If such clients request to withdraw their entire profit, thereby resetting their balance to the initial balance and risking account breach, the system will issue a warning. Clients can then cancel the withdrawal and select a lower amount or proceed, acknowledging the potential breach.


Maintaining a buffer in your Knight Funded account is crucial for avoiding breaches due to drawdown violations, especially when the max relative drawdown is set to the initial balance.


Account Scaling and Profit Split Enhancement Plans

Introduction

At The Funded Trader, we understand the value of rewarding consistent performance. Our scaling plans across different challenges—Standard, Rapid, Royal, Knight, and Dragon—are designed to provide traders with the opportunity to increase their account's virtual starting balance and potential profit sharing percentage based on their trading success. This comprehensive guide outlines how you can grow your demo account and enhance your simulated rewards.

Scaling Overview

Scaling is a process designed to incrementally increase a trader's demo account balance by a set percentage, based on consistent simulated trading performance over time.

Standard Challenge Scaling

  • Eligibility: Traders must show profitability of at least 6% over a 3-month period.

  • Scaling Increase: 25% increase of initial demo account balance per scaling event.

Standard Challenge Scaling Examples

Initial Virtual Starting Balance

Scaling Event

New Virtual Starting Balance

100K

25% of original starting balance added to virtual starting balance

125K

125K

25% of original starting balance added to virtual starting balance

150K

150K

25% of original starting balance added to virtual starting balance

175K

Rapid Challenge Scaling

  • Eligibility: Traders must show profitability of at least 6% over a 3-month period.

  • Scaling Increase: 25% increase of initial demo account balance per scaling event.

Rapid Challenge Scaling Examples

Initial Virtual Starting Balance

Scaling Event

New Virtual Starting Balance

100K

25% of original starting balance added to virtual starting balance

125K

125K

25% of original starting balance added to virtual starting balance

150K

150K

25% of original starting balance added to virtual starting balance

175K

Royal Challenge Scaling

  • Eligibility: Traders must show profitability of at least 6% over a 3-month period.

  • Scaling Increase: 25% increase of initial demo account balance per scaling event.

Royal Challenge Scaling Examples

Initial Virtual Starting Balance

Scaling Event

New Virtual Starting Balance

100K

25% of original starting balance added to virtual starting balance

125K

125K

25% of original starting balance added to virtual starting balance

150K

150K

25% of original starting balance added to virtual starting balance

175K

Knight Challenge Scaling

  • Eligibility: Traders must show profitability of at least 6% over a 3-month period.

  • Scaling Increase: 25% increase of initial demo account balance per scaling event.

Knight Challenge Scaling Examples

Initial Virtual Starting Balance

Scaling Event

New Virtual Starting Balance

100K

25% of original starting balance added to virtual starting balance

125K

125K

25% of original starting balance added to virtual starting balance

150K

150K

25% of original starting balance added to virtual starting balance

175K

Dragon Challenge Scaling

  • Eligibility: Traders must show profitability of at least 6% over a 3-month period.

  • Scaling Increase: 25% increase of initial demo account balance per scaling event.

Dragon Challenge Scaling Examples

Initial Virtual Starting Balance

Scaling Event

New Virtual Starting Balance

100K

25% of original starting balance added to virtual starting balance

125K

125K

25% of original starting balance added to virtual starting balance

150K

150K

25% of original starting balance added to virtual starting balance

175K

Knight Pro Challenge Scaling

  • Eligibility: Traders must show profitability of at least 6% over a 3-month period.

  • Scaling Increase: 25% increase of initial demo account balance per scaling event.

Knight Pro Challenge Scaling Examples

Initial Virtual Starting Balance

Scaling Event

New Virtual Starting Balance

100K

25% of original starting balance added to virtual starting balance

125K

125K

25% of original starting balance added to virtual starting balance

150K

150K

25% of original starting balance added to virtual starting balance

175K

Scaling Mechanics

Account scaling happens automatically and will only be done and processed while awaiting a withdrawal since the account balance must equal the starting balance when an account is scaled.

Note: Since daily and maximum drawdown loss limits are always calculated as a percentage of virtual starting balance, scaling your account will also scale your daily and maximum drawdown limits.

Maximum Simulated Funded Account Balance Potential

The Funded Trader allows traders to scale their demo account virtual balances through account increases of up to 25%, with a maximum balance of $1.5M in simulated virtual starting balance across all active Standard, Rapid, Royal, Knight, and Dragon funded accounts.

For example, if you have two 200K funded accounts, you can scale each of them to 750K in virtual starting balance, resulting in a total of $1.5M in virtual starting balance, which is the maximum allowed through the scaling plan.

Knight Pro Account Exception

The Knight Pro Challenge offers an even higher scaling potential, allowing traders to hold up to $2.5M in simulated virtual starting balance across up to 20 accounts. This is significantly higher than other challenge types and gives Knight Pro traders the ability to reach a maximum of $5M combined across both challenge and funded accounts.

In summary:

• For Standard, Rapid, Royal, Knight, and Dragon challenges: Maximum of $1.5M in total simulated funded balance.

• For Knight Pro challenges: Maximum of $2.5M in funded accounts and an additional $2.5M during the challenge phase, totaling $5M in active accounts.

Concluding Notes

Understanding the reward process and scaling opportunities at The Funded Trader allows for a more strategic and informed trading approach. Each Funded account offers unique benefits and requires specific criteria for rewards and account growth, tailored to support your trading ambitions effectively. For more details or specific inquiries, contact our support at [email protected].

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