What is FTMO?
FTMO is a Prague-based proprietary trading firm founded in 2015. They pioneered the modern prop firm model — the two-phase evaluation challenge that's now industry standard. A decade later, they remain the most recognised name in the space with over $500 million paid to traders globally and a Trustpilot score that no competitor has matched at scale.
In 2026 they introduced the FTMO 1-Step challenge — a faster path to funding with a single evaluation phase. Combined with the established 2-Step, FTMO now covers both speed-focused and discipline-focused trader profiles.
The 2 Challenge Types — Explained
FTMO keeps it simple: two paths to a funded account. Choose based on your trading style and how much risk you want to take in the evaluation phase.
The classic FTMO path. Phase 1 requires 10% profit — then Phase 2 just needs 5% with the same rules. Pass both and you're funded, with your challenge fee fully refunded on your first payout.
Important: FTMO uses static drawdown on the 2-Step. Your 10% floor is fixed from the Initial Simulated Capital and never moves up — on a $10K account that's always $9,000, regardless of profits. This is the most trader-friendly drawdown type. The daily loss of 5% resets every midnight CE(S)T based on that day's opening balance.
PRICING — 2-STEP CHALLENGE
| Account Size | Challenge Fee | Fee Refund |
|---|---|---|
| $10,000 | €89 | ✓ Yes |
| $25,000 | €199 | ✓ Yes |
| $50,000 | €299 | ✓ Yes |
| $100,000 | €499 | ✓ Yes |
| $200,000 | €1,089 | ✓ Yes |
Single phase — hit 10% profit and you're funded. No Phase 2. But the tradeoff is real: the 1-Step uses EOD Trailing drawdown — your 10% floor trails upward from the highest balance recorded at end of each trading day. If you grow your account, your floor rises with it. This is stricter than the static drawdown on the 2-Step.
Best Day Rule: No single day can represent more than 50% of your total Positive Days' Profit. If your best day is 62% of total profits, you need to keep trading until it drops below 50%. This isn't a breach — but it means you can't pass on one lucky day alone.
PRICING — 1-STEP CHALLENGE
| Account Size | Challenge Fee | Fee Refund |
|---|---|---|
| $10,000 | €139 | ✗ No |
| $25,000 | €249 | ✗ No |
| $50,000 | €349 | ✗ No |
| $100,000 | €549 | ✗ No |
| $200,000 | €1,089 | ✗ No |
Payout Structure
FTMO pays out on demand — you request a payout anytime after your first 30 calendar days on the funded account. After that, there are no mandatory waiting periods. Payment methods include bank transfer (SEPA/SWIFT), Wise, Skrill, and cryptocurrency.
| Milestone | Split | Notes |
|---|---|---|
| Standard Funded Account | 80% | From day 1 |
| After Scaling Plan Level 1 | 85% | +10% account balance |
| After Scaling Plan Level 2+ | 90% | Max split, ongoing |
Scaling Plan — Up to $2,000,000
FTMO's scaling plan is one of the most established in the industry. Funded traders who hit specific profit and consistency targets unlock account balance increases and higher splits. The path looks like this:
Key Rules You Need to Know
Static vs EOD Trailing Drawdown
The two challenges use different drawdown types — and this is the most important rule difference to understand. The 2-Step uses static drawdown: your 10% floor is fixed at the Initial Simulated Capital and never moves, no matter how much profit you make. On a $10K account, your floor is always $9,000. This is the most forgiving type and the main reason the 2-Step is recommended for most traders.
The 1-Step uses EOD Trailing drawdown: the floor recalculates at end of each trading day based on your highest closing balance. If you grow your $10K account to $11,000 EOD, your new floor becomes $10,000. Profits lock in your floor, which means a reversal after a strong run is more dangerous than on the 2-Step.
News Trading
During the evaluation phase (challenge and verification), news trading is completely unrestricted on both Standard and Swing accounts. Once you're on a funded Standard account, FTMO restricts opening or closing trades within 2 minutes before and after high-impact news releases. The Swing account has no such restrictions at any stage. If news trading is central to your strategy, the Swing account is worth considering.
To stay on top of high-impact news events — NFP, CPI, FOMC — check ForexFactory before every session. For a full AI-driven pre-session briefing that combines news context with market structure, see our MRKT AI review.
Weekend & Overnight Holding
Positions can be held over weekends and overnight with no restrictions. Important for swing traders and those trading larger timeframes.
Expert Advisors (EAs)
Private EAs and automated strategies are allowed. Third-party shared EAs used by multiple FTMO traders simultaneously are not permitted — this protects against coordinated exploitation of the firm's books.
Platforms
FTMO supports MetaTrader 4, MetaTrader 5, and cTrader. MT4 support is a notable advantage over newer firms that have dropped it. If your strategy relies on MT4-specific indicators or EAs, FTMO keeps you covered.
FTMO vs FundingPips
The two most commonly compared prop firms in 2026. Here's the honest breakdown:
| FTMO | FundingPips | |
|---|---|---|
| Founded | 2015 (10 yrs) | 2022 (3 yrs) |
| $10K Fee | €89 (~$95) | ~$49–55 |
| Drawdown Type | Static (2-Step) | Static |
| 1-Step Drawdown | EOD Trailing | Static |
| Max Payout Split | 90% | 90–100% |
| Fee Refund | Yes (2-Step) | Yes (Standard) |
| News Trading Funded | 2-min window (Standard) | Profits stripped |
| MT4 Support | Yes | No |
| Trustpilot Reviews | 42,000+ at 4.8 | 52,000+ at 4.5 |
| Scale To | $2,000,000 | $2,000,000 |
Our take: Both use static drawdown on their main challenges — FTMO's advantage is trust, track record, MT4 support and no news profit stripping during evaluation. FundingPips wins on entry price and the 1-Step static drawdown. For a long-term prop career, FTMO is the stronger foundation. Read our full FundingPips review →
Overall Rating
Yes — FTMO is still the benchmark. Ten years of payouts, 42,000+ verified reviews at 4.8/5, static drawdown on the 2-Step, MT4 support, and a scaling path to $2M. The 2-Step fee refund means the challenge costs nothing if you pass.
The 1-Step, while faster, uses EOD Trailing drawdown and comes with the Best Day Rule — making it less forgiving than the 2-Step for most traders. The 2-min news restriction on funded Standard accounts is the one area where FTMO isn't fully open.
Choose 2-Step if you're building a prop trading career. Choose 1-Step only if you have proven consistency and want the fastest route to funding.
Before starting your challenge — calculate your exact position size with our free prop trader calculator and track your consistency from day one with a trading journal like TradeZella.
What We Like
What to Watch Out For
Choose 2-Step for the fee refund and no time pressure, or 1-Step for the fastest route to funding. Scale up to $2,000,000.
Start FTMO Challenge →