How to Pass the FTMO Challenge in 2025

🌟 Introduction

Passing the FTMO Challenge in 2025 is every aspiring trader’s dream — and for good reason. With the chance to trade up to $200,000 in funded capital without risking personal money, FTMO has become the gateway to professional trading success.

However, passing the FTMO Challenge isn’t just about having a good strategy. It’s about mastering discipline, risk control, and understanding the evaluation process from start to finish.

In this guide, we’ll explore

• ✅ What the FTMO Challenge is and how it works
• ⚙️ The complete step-by-step process
• 💡 Types of FTMO accounts
• 📈 Key benefits and challenges
• 🧠 Common mistakes to avoid
• ❓ FAQs and expert tips for beginners

By the end, you’ll know exactly how to prepare, execute, and confidently pass the FTMO Challenge in 2025.

📘 What Is the FTMO Challenge?

The Fhttps://unlockea.com/TMO Challenge is the first stage of an evaluation process created by FTMO, a proprietary trading firm based in Prague, Czech Republic. It allows talented traders to prove their skills and earn the opportunity to trade the firm’s capital.

Simply put, FTMO acts like a “funding gateway” for traders. Instead of risking your own money, you trade a virtual account to demonstrate your consistency and risk management. If you succeed, FTMO gives you access to a funded live account — and you can keep up to 90% of your profits.

This process is designed to identify disciplined traders who can follow rules and manage risk effectively, rather than gambling on the markets.

⚙️ How the FTMO Challenge Works (Step-by-Step with Example)

FTMO uses a two-step evaluation model to ensure that traders are consistent and responsible. Let’s break it down clearly.

🥇 Step 1: The FTMO Challenge

The FTMO Challenge is the first stage of your evaluation and serves as a real test of your trading discipline. Your main goal is to achieve a 10% profit target while following FTMO’s strict risk limits — a 5% maximum daily loss and 10% overall loss. Exceeding either will end the challenge immediately.

This phase isn’t just about profits; it’s about proving your consistency, patience, and risk management. There’s no time limit, allowing you to trade at your own pace and focus on quality setups instead of rushing.

📋 Key Rules:

• Maximum Daily Loss: 5%
• Maximum Overall Loss: 10%
• Minimum Trading Days: 4
• No Time Limit (as of 2025)

💡 Example:
If your account size is $100,000, your daily loss limit is $5,000, and your total loss limit is $10,000.
Exceeding either one instantly disqualifies you — even if your trades were profitable overall.

🥈 Step 2: The Verification Phase

In this second phase, FTMO lowers the profit target to 5%, but keeps the same risk limits.This phase tests whether you can replicate your performance with the same level of discipline. Essentially, it ensures your success wasn’t just luck.Again, consistency is more important than speed — slow and steady progress wins the Challenge.

🥇 Step 3: The Funded FTMO Account

After passing both phases, you receive a Funded FTMO Account. Here, you trade the firm’s capital and earn up to 90% of the profits.You can request withdrawals every 14–30 days, and FTMO also refunds your initial Challenge fee after your first payout.From here on, your only job is to trade responsibly and keep growing your funded account.

💼 Types of FTMO Accounts

FTMO provides two account types, each catering to different trading styles. Understanding the difference helps you choose the one that suits your personality and schedule.

🟢 1. FTMO Account (Day Trading)

• Leverage: Up to 1:100
• Restrictions: No holding trades overnight or during weekends
• Best For: Scalpers and intraday traders who prefer short-term moves

🟣 2. FTMO Swing Account

• Leverage: Up to 1:30
• Advantages: You can hold trades overnight, over weekends, and during news events
• Best For: Swing traders and position traders who target longer-term setups

💰 Benefits of the FTMO Challenge

Participating in the FTMO program offers several life-changing advantages. Let’s review why thousands of traders choose FTMO each year.

✅ 1. Trade Large Capital Without Personal Risk

FTMO gives traders the opportunity to manage up to $200,000 in funded capital, allowing you to trade confidently without putting your own money on the line. It’s an ideal setup for skilled traders who want to scale up safely and focus purely on performance rather than capital limitations.

✅ 2. Real Profits, Real Rewards

Although trades are executed in a simulated environment, the profits you generate are real — and you can earn up to 90% profit share from your trading results. This system bridges the gap between demo and live trading, rewarding discipline and consistency.

✅ 3. Refundable Entry Fee

FTMO ensures fairness by refunding your Challenge registration fee once you successfully pass the evaluation and receive funding. You’ll get your fee back with your first payout, making it a risk-free opportunity if you perform well.

✅ 4. Transparent Evaluation Process

Every aspect of the FTMO Challenge and Verification stages is completely transparent. You can track all your statistics, trading objectives, and performance metrics directly in your FTMO Account Metrix dashboard, ensuring full clarity and accountability.

✅ 5. Advanced Performance Tools & Mentorship

FTMO goes beyond funding by offering a complete trader development ecosystem. Their tools include detailed performance analytics, a psychological app to improve trading discipline, and access to the FTMO Mentor App, where traders receive personalized guidance and mindset coaching to enhance long-term success.

⚠️ Drawbacks and Limitations

While the FTMO Challenge offers tremendous opportunity, it comes with a few limitations you should understand before diving in.

❌ 1. Strict Rules
FTMO’s rules are unforgiving — even a single violation, such as exceeding the 5% daily loss limit, results in immediate failure, no matter how profitable your account is overall.

❌ 2. Emotional Pressure
Because one mistake can end the Challenge, many traders experience anxiety or overtrading, which often leads to emotional decision-making and unnecessary losses.

❌ 3. No Real Capital During Evaluation
Both the Challenge and Verification stages are simulated environments, meaning traders don’t trade with real capital until they pass. Some find it difficult to stay disciplined in this setup.

❌ 4. Reduced Leverage for Swing Accounts
FTMO Swing Accounts operate with 1:30 leverage, which can limit flexibility and make it harder for long-term traders to hit their targets quickly.

⏰ When to Take the FTMO Challenge

Timing plays a crucial role in your FTMO journey. Jumping into the Challenge too early often results in avoidable mistakes and losses. You should only attempt it once you’ve built a strong foundation and trading discipline.

Ideally, take the Challenge when you’ve had at least 6 months of consistent performance on demo or live accounts, fully understand risk management and position sizing, and can stay calm under emotional pressure. Additionally, your strategy should be tested across various market conditions to ensure it performs reliably.

👉 For beginners, it’s best to start with demo accounts or smaller Challenges first. This allows you to practice in a realistic environment, gain confidence, and refine your approach before risking money on the full FTMO evaluation.

⚡ Common Mistakes That Cause FTMO Failure

Even skilled traders fail the Challenge due to common, preventable mistakes. Let’s look at the top five errors and how to avoid them.

❌ 1. Overleveraging

Trying to hit the 10% target too quickly by increasing lot size is a recipe for disaster. Stay within 1–2% risk per trade.

❌ 2. Ignoring Daily Loss Limits

Many traders fail because they don’t stop trading after reaching the daily loss threshold. Discipline beats greed.

❌ 3. Revenge Trading

After a loss, emotions take over. This often leads to irrational decisions. Step away, reset, and come back focused.

❌ 4. Skipping Risk Management

Never trade without a stop-loss. Always calculate your position size before entering the market.

❌ 5. Trading During Emotions

Avoid trading after major wins or losses. Emotional trading clouds judgment and leads to inconsistency.

🧠 Pro Tip: Keep a trading journal. Logging your trades and emotions helps identify patterns and improve long-term decision-making.

❓ FAQs – FTMO Challenge 2025

Q1. Is the FTMO Challenge worth it in 2025?

Absolutely. FTMO remains one of the most reputable prop firms, offering realistic rules, fair payouts, and excellent trader support.

Q2. Can I use Expert Advisors (EAs) or bots?

Yes, you can use EAs, provided they don’t exploit latency or arbitrage. Your EA must follow FTMO’s risk limits.

Q3. What happens if I fail?

You can retake the Challenge. FTMO offers discounts and retry options for traders who fail the first time.

Q4. How long does it take to get funded?

Most traders complete both phases in 4–8 weeks, depending on their trading frequency and consistency.

Q5. Does FTMO refund the Challenge fee?

Yes. Once you receive your first payout, your Challenge fee is refunded, making the process effectively risk-free.

🏁 Final Thoughts

In conclusion, the FTMO Challenge 2025 offers a golden opportunity for serious traders to scale their careers without risking personal capital. However, success depends not only on your strategy but also on your mindset and discipline.

By following the rules, respecting drawdowns, and maintaining patience, you can turn the Challenge into your stepping stone toward financial independence.