MyFundedCapital drawdown rules
When the loss limit rises, what it is measured against, where it stops rising and what a payout does to it, in the firm’s own words.
What makes the loss limit rise · phase 1
Our reading
It rises with the day's closing balance
“As your account grows, the drawdown trails your highest closed balance.”help centre · myfundedcapital.com/faq/1-step-mfc-challenge/ · 2026-08-02 · saved copy
Plans: 1-Step Challenge
What makes the loss limit rise · funded
Our reading
It rises with the day's closing balance
“Max Drawdown 10% 10% Equity-based, trailing account balance high water mark, locks in at starting account balance”help centre · myfundedcapital.com/faq/1-step-mfc-challenge/ · 2026-08-02 · saved copy
Plans: 1-Step Challenge
What the limit is measured against · phase 1, funded
Our reading
Live equity, open trades included
“From here on, you’ll only violate the rule if your equity drops to $100,000 or lower, regardless of how high your account goes.”help centre · myfundedcapital.com/faq/1-step-mfc-challenge/ · 2026-08-02 · saved copy
Plans: 1-Step Challenge
Where the limit stops rising
Our reading
At your starting balance
“Once your closed balance reaches a 10% profit, the drawdown stops trailing and locks at your initial balance.”help centre · myfundedcapital.com/faq/1-step-mfc-challenge/ · 2026-08-02 · saved copy
Plans: 1-Step Challenge
What taking a payout does to the limit
Our reading
Nothing — the limit stays where it was
“Once your maximum drawdown locks (after reaching the profit threshold for your account type), it stays locked at the starting balance — it does not reset after payouts.”help centre · myfundedcapital.com/new-faq/ · 2026-08-02 · saved copy
Plans: 1-Step Challenge, Scale Up Challenge, Instant Funding
Total loss allowed · phase 1
Our reading
10%
“Your Trailing Drawdown starts 10% below your starting balance.”help centre · myfundedcapital.com/faq/1-step-mfc-challenge/ · 2026-08-02 · saved copy
Plans: 1-Step Challenge
Daily limit · phase 1, funded
“It is 5% of your equity. The limit is set based on the prior day’s closing balance.”rules page · myfundedcapital.com/trading-rules/ · 2026-08-02 · saved copy
Plans: 1-Step Challenge
What makes the loss limit rise · phase 1, phase 2
Our reading
It does not move at all
“When you open the account, your Maximum Drawdown is set at 10% of your starting balance. This 10% is static and does not trail.”help centre · myfundedcapital.com/faq/2-step-mfc-challenge/ · 2026-08-02 · saved copy
Plans: Scale Up Challenge
What makes the loss limit rise · funded
Our reading
It does not move at all
“Scale Up / 2-Step (10% static): 10% below starting balance, does not trail.”help centre · myfundedcapital.com/new-faq/ · 2026-08-02 · saved copy
Plans: Scale Up Challenge
Total loss allowed · phase 1, phase 2, funded
Our reading
10%
“Max Drawdown is 10% for Step 1, Step 2, and Live. It is equity-based and locks in at the starting account balance. Violation results in a Hard Breach.”rules page · myfundedcapital.com/trading-rules/ · 2026-08-02 · saved copy
Plans: Scale Up Challenge
Daily limit · phase 1, phase 2, funded
“Daily Loss Limit is 5% for Step 1, Step 2, and Live. It is equity-based, and the limit is set by prior day balance. Violation results in a Hard Breach.”rules page · myfundedcapital.com/trading-rules/ · 2026-08-02 · saved copy
Plans: Scale Up Challenge
What makes the loss limit rise · funded
Our reading
It rises with the day's closing balance
“Maximum drawdown: 6% trailing on closed balance. Locks at starting balance once you reach +6% profit.”help centre · myfundedcapital.com/new-faq/ · 2026-08-02 · saved copy
Plans: Instant Funding
Daily limit · funded
“Daily loss limit: 3% based on previous day’s balance.”help centre · myfundedcapital.com/new-faq/ · 2026-08-02 · saved copy
Plans: Instant Funding
What taking a payout does to the limit
Our reading
Nothing — the limit stays where it was
“Your account pauses while a withdrawal is processed, then continues under the same rules.”rules page · myfundedcapital.com/prediction-markets/ · 2026-08-02 · saved copy
Plans: Prediction Markets
See MyFundedCapital’s full page →MyFundedCapital payout rules →
This is what the firm publishes, not our opinion. When a firm changes a sentence we see it, and the date moves.