Breakout is a crypto prop firm dedicated to cryptocurrency trading, offering traders access to funded accounts without risking personal capital. Here’s what you need to know about their system:
NOTE: BREAKOUT WAS RECENTLY ACQUIRED BY KRAKEN
- Profit Splits: Traders keep 80% of profits by default, with an option to upgrade to 90%.
- Payouts: Withdrawals are on-demand, processed within 24 hours, and issued in USDC (ERC-20).
- Evaluation Options: Choose between a 1-Step or 2-Step evaluation with no time limits. Fees range from $50 to $999 depending on account size and type.
- Risk Rules: Daily loss limits range from 4% to 5%, and maximum drawdowns are static or trailing based on the evaluation type.
- Leverage: Up to 5:1 for Bitcoin/Ethereum and 2:1 for altcoins.
Breakout’s rules are straightforward but strict, ensuring disciplined trading. Success depends on understanding the evaluation process, managing risk effectively, and leveraging tools like low-latency VPS hosting for smooth execution.
Breakout Prop Payout Process đź’µ Profit Splits, Withdrawal Timing & Fees
How the Breakout Prop Firm Evaluation Process Works
Breakout’s evaluation process is designed to assess your trading abilities before funding your account. The firm offers two evaluation paths – 1-Step and 2-Step – each with specific profit targets and risk rules.
Evaluation Phases and Account Sizes
Breakout provides five account size options, ranging from $5,000 to $100,000, for both 1-Step and 2-Step evaluations.
The 1-Step evaluation requires you to hit a single, higher profit target to pass. For example, a $25,000 account demands $2,500 in profits. On the other hand, the 2-Step evaluation divides the target into two phases. For the same $25,000 account, Step 1 requires $1,250 in profits, followed by $2,500 in Step 2. The larger the account, the higher the targets – for instance, a $100,000 account requires $5,000 in Step 1 and $10,000 in Step 2.
Here’s a breakdown of the evaluation details:
Account Size | Evaluation Type | Step 1 Goal | Step 2 Goal | Max. Daily Loss | Max. Drawdown | Evaluation Fee |
---|---|---|---|---|---|---|
$5,000 | 1-Step | $500 | – | 4% | $300 (Static) | $60 |
$5,000 | 2-Step | $250 | $500 | 5% | $400 (Trailing) | $50 |
$10,000 | 1-Step | $1,000 | – | 4% | $600 (Static) | $110 |
$10,000 | 2-Step | $500 | $1,000 | 5% | $800 (Trailing) | $100 |
$25,000 | 1-Step | $2,500 | – | 4% | $1,500 (Static) | $275 |
$25,000 | 2-Step | $1,250 | $2,500 | 5% | $2,000 (Trailing) | $250 |
$50,000 | 1-Step | $5,000 | – | 4% | $3,000 (Static) | $495 |
$50,000 | 2-Step | $2,500 | $5,000 | 5% | $4,000 (Trailing) | $450 |
$100,000 | 1-Step | $10,000 | – | 4% | $6,000 (Static) | $999 |
$100,000 | 2-Step | $5,000 | $10,000 | 5% | $8,000 (Trailing) | $725 |
There are no time limits on completing the evaluation, so you can progress at a pace that suits you. However, understanding the profit targets and accompanying risk rules is essential to avoid setbacks.
Risk Management and Compliance Requirements
Breakout enforces strict risk management rules, and violations will result in your account being permanently disabled. This makes it critical to fully understand the guidelines before you begin.
Daily Loss Limits: These are recalculated daily at 00:30 UTC based on the previous day’s balance. For 1-Step evaluations, the daily loss is capped at 4%, while 2-Step evaluations allow a 5% loss. If your equity hits these limits, all positions are closed automatically, and the account is disabled.
Maximum Drawdown: This varies between evaluation types. The 1-Step evaluation uses a static drawdown, calculated from your starting balance. For instance, a $50,000 account has a fixed $3,000 drawdown limit. In contrast, the 2-Step evaluation uses a trailing drawdown, which adjusts upward as your account balance grows. A $50,000 2-Step account starts with a $4,000 drawdown limit, which increases as your profits accumulate.
Leverage Limits: Breakout applies uniform leverage rules across all account sizes. You can trade up to 5:1 leverage for Bitcoin and Ethereum, and 2:1 leverage for altcoins. These limits help manage risk while still allowing for meaningful trade sizes. Together, these rules emphasize Breakout’s commitment to disciplined trading practices.
Costs and Fees During Evaluation
The evaluation process comes with a one-time fee, which varies depending on the account size and evaluation type. There are no recurring costs during the assessment period.
"No, your only cost is the evaluation fee", explains Breakout in their FAQ.
The 2-Step evaluation is consistently less expensive than the 1-Step option for the same account size. For example, a $100,000 1-Step evaluation costs $999, while the 2-Step version costs $725. Similarly, a $5,000 account costs $60 for 1-Step and $50 for 2-Step, and a $25,000 account costs $275 for 1-Step and $250 for 2-Step.
It’s important to note that these fees are non-refundable once trading begins, regardless of whether you pass or fail. This highlights the need to thoroughly understand the rules before starting, as failing an evaluation means you’ll need to purchase a new one to try again.
Trader Payouts and Profit Splits Explained
Once you receive your funded account, understanding the payout process is key to making the most of your earnings. Breakout’s payout system is designed to reward successful traders while giving you the flexibility to access your profits on your terms.
Profit Split Percentages and Scaling
Breakout offers a standard 80% profit split for all funded traders. This means you keep 80% of the profits you generate, while the firm retains the remaining 20%. This arrangement applies consistently across all account sizes, whether your account is $5,000 or $100,000.
"Percentage of Breakout Account gains which are eligible for payouts. 80% default, 90% add-on"
For those looking to boost their earnings even further, Breakout provides an option to upgrade to a 90% profit split. This add-on is available for traders who complete either the 1-Step or 2-Step evaluation process.
"Trade your funded account and keep up to 90% of your profits."
Here’s how the numbers break down: If you generate $5,000 in profits, you would receive $4,000 with the standard 80% split. However, with the 90% upgrade, that payout increases to $4,500. The difference becomes even more noticeable with larger profits. For instance, a $20,000 profit would give you $16,000 at 80%, but $18,000 at 90%.
Now, let’s look at how and when you can withdraw your earnings.
Payout Schedule and Frequency
Breakout offers unlimited, on-demand payouts, meaning you can request your profits at any time, as often as you like. There are no restrictions on timing or frequency.
"Withdraw your profits anytime, including multiple times per day"
Even better, payouts are processed quickly, typically within 24 hours. This flexibility ensures you have access to your funds without unnecessary delays.
Payout Methods and Associated Costs
All payouts from Breakout are issued exclusively in USDC (USD Coin) via the Ethereum network (ERC-20). This approach aligns with the firm’s focus on digital asset trading.
"Yes. We accept crypto payments for evaluation purchases and payouts are issued exclusively via USDC using the Ethereum network (ERC-20)"
To receive your payout, you’ll need a crypto wallet that supports ERC-20 tokens. Popular options include MetaMask, Coinbase Wallet, or exchange wallets that accept USDC on Ethereum. Keep in mind that Ethereum transactions come with variable gas fees.
Since 2023, Breakout has issued over 20,000 funded accounts without any payout delays. Their streamlined system eliminates the complications of traditional banking, offering the speed and transparency of crypto transactions. Plus, using USDC ensures your payout retains its dollar value, providing stability and convenience.
Trading Rules, Fees, and Risk Management Requirements
Breakout’s trading framework is designed to protect your funded account while offering flexibility. The platform enforces clear risk management rules to safeguard both traders and their capital.
Trading Rules and Allowed Assets
Breakout keeps things straightforward. You can trade Bitcoin (BTC), Ethereum (ETH), and a variety of altcoins, giving you access to leading cryptocurrency markets.
"Trade freely without worrying about consistency rules, profit caps, or limitations on your trading style." – Breakout Prop
Leverage is set at 5x for BTC and ETH, while altcoins are limited to 2x. There’s no time pressure – trading evaluations come without minimum or maximum time limits. Whether you prefer scalping, swing trading, or reacting to news, Breakout accommodates your style.
"Our rules are clear, consistent, and focus on risk management." – Breakout Prop
While the rules are simple, the platform enforces strict risk controls to ensure disciplined trading.
Risk Management Guidelines
Breakout’s approach to risk management revolves around two main safeguards: daily loss limits and maximum drawdown limits. These rules apply both during evaluations and after funding is secured. If either limit is breached, the account is disabled immediately, and all open positions are closed at market prices.
Daily Loss Limits: These are calculated daily based on the previous day’s balance and reset at 12:30 AM UTC. For 1-Step accounts, the daily loss limit is capped at 4%, while 2-Step accounts allow up to 5%.
Maximum Drawdown Limits: The drawdown rules differ depending on the evaluation type. For 1-Step accounts, the drawdown is fixed – for instance, a $25,000 account has a maximum loss cap of $1,500. In 2-Step accounts, the drawdown is trailing, meaning it adjusts upward as your account balance grows. A $25,000 2-Step account starts with a $2,000 drawdown limit, which increases as the account value rises.
Account Size | Evaluation Type | Daily Loss Limit | Drawdown Limit | BTC/ETH Leverage | Altcoin Leverage |
---|---|---|---|---|---|
$5,000 | 1-Step | 4% | $300 (static) | 5x | 2x |
$5,000 | 2-Step | 5% | $400 (trailing) | 5x | 2x |
$25,000 | 1-Step | 4% | $1,500 (static) | 5x | 2x |
$25,000 | 2-Step | 5% | $2,000 (trailing) | 5x | 2x |
$100,000 | 1-Step | 4% | $6,000 (static) | 5x | 2x |
$100,000 | 2-Step | 5% | $8,000 (trailing) | 5x | 2x |
If you exceed either limit, the account is permanently disabled, and all positions are closed automatically. This strict policy underscores the importance of managing risk effectively. Many traders opt to set their own personal thresholds below these limits to create a cushion, especially in volatile markets.
Using QuantVPS for Better Prop Trading Performance
In the high-stakes world of prop trading, execution speed can make or break your success. Meeting profit targets and staying within strict risk limits often hinges on how quickly your trades are executed. Cryptocurrency markets, in particular, are notoriously volatile, where even a fraction of a second can determine whether you seize an opportunity or avoid a costly mistake. Low-latency VPS hosting solutions, like QuantVPS, are designed to tackle these challenges head-on.
With ultra-low latency, QuantVPS ensures timely trade execution, helping traders manage leveraged positions and minimize drawdowns. Offering 0-1 ms latency, 100% uptime, and DDoS protection, QuantVPS provides the stability and security needed to keep your trading platform connected – even during volatile market conditions. This means your setups, indicators, and open positions remain safe from technical disruptions.
For traders managing multiple assets, reliable performance isn’t just helpful – it’s essential.
Why Low-Latency VPS Hosting Matters for Trading
QuantVPS is built with traders in mind, offering hosting plans tailored to different trading needs while maintaining low latency and system stability. Here’s a quick look at some of their plans:
- VPS Pro: Priced at $99.99/month (or $69.99/month billed annually), this plan includes 6 cores, 16 GB of RAM, and 150 GB of NVMe storage. It supports up to 2 monitors and is ideal for traders monitoring 3–5 charts simultaneously.
- VPS Ultra: At $189.99/month (or $132.99/month billed annually), this plan steps up to 24 cores, 64 GB of RAM, and supports 5–7 charts across up to 4 monitors. With unmetered bandwidth and network speeds exceeding 1Gbps, this plan is perfect for handling complex technical analysis and real-time data feeds.
For those seeking an extra boost, QuantVPS also offers Performance Plans. For instance, the VPS Pro+ plan, priced at $129.99/month (or $90.99/month billed annually), matches the VPS Pro’s specifications but delivers enhanced performance to handle demanding trading environments.
This technical advantage aligns seamlessly with Breakout’s strict risk controls, giving you the tools to meet evaluation requirements and maintain funded trading accounts without delays.
QuantVPS Features and Pricing Plans
Benefits for U.S.-Based Prop Traders
U.S.-based traders often face unique hurdles, from navigating regulatory landscapes to ensuring consistent performance across time zones. QuantVPS rises to these challenges by offering globally accessible, dedicated resources that keep your trading platform running smoothly, no matter where you are.
For traders managing risk across multiple screens, QuantVPS’s ability to support several monitors is a game-changer. You can dedicate one screen to your trading platform, another to risk monitoring tools, and a third to market analysis, enabling you to stay within daily loss limits while maximizing profit opportunities.
Additionally, full root access lets you customize your trading environment to suit your strategies. Whether it’s configuring risk alerts or optimizing system settings, this flexibility ensures you’re always in control. Proactive system monitoring provides real-time performance insights, allowing you to address potential issues before they impact your trades.
For those relying on algorithmic or automated strategies, QuantVPS’s consistent and uninterrupted performance is crucial. It ensures you meet profit targets and complete Breakout’s evaluation phases without the setbacks caused by technical hiccups.
Key Takeaways
Navigating Breakout Prop Firm’s evaluation process successfully requires a clear understanding of their trader-focused model and selecting the evaluation path that aligns with your trading style and risk tolerance. They offer two options: a 1-step and a 2-step evaluation process, both without time limits. This flexibility allows traders to secure funding quickly – sometimes after just one trade.
The firm’s payout structure is highly competitive, letting traders keep up to 90% of their profits. Withdrawals are processed within 24 hours via USDC on the Ethereum network (ERC-20), ensuring fast and seamless access to earnings.
Risk management is a non-negotiable part of the process. The maximum daily loss limits depend on the evaluation type – 4% for the 1-step process and 5% for the 2-step process. These limits are recalculated every day at 00:30 UTC. Staying within these boundaries is critical, as exceeding them results in immediate account disablement.
Technology is another key factor in achieving success. Breakout Prop Firm’s partnership with QuantVPS offers ultra-low latency hosting (0–1 ms) and a 100% uptime guarantee. This technical advantage ensures trades are executed with precision, which is especially valuable for U.S.-based traders managing multiple positions in volatile cryptocurrency markets. Having reliable infrastructure can make a significant difference in hitting profit targets and maintaining account stability.
Finally, Breakout funds your account, and the only cost to you is the evaluation fee. This funding model, combined with their robust technology and trader-friendly policies, provides a straightforward path for traders to scale their operations and maximize their earnings. It’s a streamlined system designed to support growth and profitability.
FAQs
What’s the difference between the 1-Step and 2-Step evaluation processes at Breakout Prop Firm?
Breakout Prop Firm offers two evaluation paths to test a trader’s abilities before granting access to funded accounts: the 1-Step evaluation and the 2-Step evaluation.
In the 1-Step evaluation, the goal is straightforward: hit a profit target while adhering to specific risk parameters, such as limits on daily losses and overall drawdown. The 2-Step evaluation, on the other hand, introduces an additional phase where traders must demonstrate consistency over a longer timeframe. Both options let traders select account sizes ranging from $5,000 to $100,000, with profit splits reaching up to 90%.
Each evaluation requires a fee and includes leverage to provide greater trading flexibility. Whether you choose the 1-Step or 2-Step process depends on your trading approach and how quickly you’re looking to secure a funded account.
How does Breakout Prop Firm protect the security of funded accounts through its risk management system?
Breakout Prop Firm prioritizes the safety of funded accounts through a strong, rules-driven risk management system. This approach helps traders manage risks effectively while staying consistent in their trading practices.
To make this process seamless, the firm provides a custom-designed web and mobile app packed with built-in risk management tools. These tools help traders stay on track with the firm’s guidelines. On top of that, their knowledgeable support team is always ready to answer questions, giving traders the clarity and confidence they need.
Why does Breakout Prop Firm use USDC for trader payouts, and how does this benefit traders?
Breakout Prop Firm processes payouts using USDC (USD Coin) because it combines speed, reliability, and stability. Since USDC is a cryptocurrency tied to the US dollar, it guarantees traders receive payouts without the hassle of dealing with currency fluctuations. This makes it a dependable and consistent choice.
For traders, the benefits are clear: transactions are completed much faster than traditional banking methods, often taking just minutes instead of days. Plus, USDC is widely supported across numerous crypto platforms, allowing traders to easily reinvest, exchange it for other currencies, or withdraw to their preferred accounts without complications.