The Free $1K Challenge is BrightFunded's way of giving every trader the opportunity to prove their skills at no cost. No fee, no card, no catch — just pure trading.
How does it work?
Complete one single evaluation phase to access your funded account — completely free.
Phase | Profit Target |
Phase 1 | 10% |
Minimum trading days | 5 |
How does my Reward Split work on my Funded Account?
You can request your first Reward Split after 30 days after you place your first trade on your Funded Account. After your first Reward Split, you can request a Reward Split bi-weekly (14 days).
The Profit Split is 80/20 by default and can be scaled up to 100/0 with our Scaling Plan.
How will my Reward be paid out and processed?
Available Payout Methods:
Crypto (USDC – ERC-20 Network)
Bank Transfer
Currency by Payment Method:
Bank transfers are processed in Euros (€)
Crypto payments are processed in USDC (ERC-20)
Is there a minimum Reward?
No. If your Funded Account is even $0.01 in the funded account, you can already request a Reward Split.
Drawdown Rules
Parameter | Value | Type |
Daily Drawdown | 3% | Higher value between Equity and Balance |
Maximum Drawdown | 6% | Trailing (dynamic) |
Daily Drawdown – How is it calculated?
The daily limit is calculated based on the higher value between your equity and balance at the start of the day. Your day's equity (closed positions + floating PnL) must not drop below the maximum daily loss limit.
Example: If you start the day with $1,000, your maximum allowed loss for that day is $30. Your equity cannot drop below $970.
Maximum Trailing Drawdown – How is it calculated?
The maximum drawdown is trailing, meaning it follows the high-water mark (the highest equity ever reached on the account). As your equity grows, the minimum threshold rises with it. Once the equity reaches 6% above the initial balance, the limit locks in place and stops moving.
The trailing maximum drawdown updates in real time. Every time your equity reaches a new high, the allowed minimum equity level is automatically recalculated from that new peak.
Example on a $1,000 account:
Highest Balance/Equity Reached | New Drawdown Limit |
$1,000 (initial) | $940 |
$1,020 | $960 |
$1,040 | $980 |
$1,060 ✅ | $1,000 ← locks here |
Once the equity reaches $1,060, the drawdown limit is fixed at $1,000 and will no longer move up.
Practical Scenarios
Daily Drawdown Scenarios (3% = $30 on a $1,000 account)
Scenario 1: Normal trading day with no open trades at rollover
Balance at rollover: $1,010 (closed a +$10 trade during the day)
Equity at rollover: $1,010
EOD Highest Value: $1,010
👉 Daily loss limit = $30. Next day, your account cannot drop below $980.
Scenario 2: Open trade in profit at rollover
Balance at rollover: $1,000
Open trade: +$20 floating profit
Equity at rollover: $1,020
EOD Highest Value: $1,020 ← equity is higher
👉 Daily loss limit = $30. Next day, your account cannot drop below $990.
Scenario 3: Open trade in loss at rollover
Balance at rollover: $1,000
Open trade: –$15 floating loss
Equity at rollover: $985
EOD Highest Value: $1,000 ← balance is higher
👉 Daily loss limit = $30. Next day, your account cannot drop below $970.
Trailing Maximum Drawdown Scenarios (6% = $60 on a $1,000 account)
Scenario 1: Account grows steadily — trailing limit moves up
Starting with a $1,000 account, the trailing limit begins at $940. As your equity grows, the limit follows:
Highest Equity Reached | Trailing Limit | Room to Lose |
$1,000 (start) | $940 | $60 |
$1,010 | $950 | $60 |
$1,030 | $970 | $60 |
$1,060 ✅ | $1,000 | $60 ← limit locks here |
$1,100 | $1,000 | $100 (more room) |
Scenario 2: Account grows then drops — how close can you get?
Highest equity reached: $1,030 → trailing limit moves to $970
Account then loses $55 → current equity: $975
👉 You are $5 away from a breach. The limit stays at $970 until a new equity high is set.
Scenario 3: Floating profit moves the trailing limit
Balance: $1,000
Open trade with +$40 floating profit → equity: $1,040
Trailing limit moves to $980
⚠️ If this trade then reverses and closes at –$5, your balance drops to $965 — below the $980 trailing limit → account breached.
Rule Summary
Phase 1 Target: 10%
Minimum trading days: 5
Daily Drawdown: 3% (based on the higher value between equity and balance)
Maximum Drawdown: 6% trailing (follows the high-water mark in real time until balance grows by 6%)
⚠️ Important: The 15% profit share bonus is available exclusively on paid challenge accounts. Traders using a free account are not eligible for this benefit.