5. Setting Up Prop Challenges

A) Creating A New Challenge

To create a new prop challenge, follow these steps:

Step 1

1. Navigate to Prop Trading > Challenge Settings.

2. Click on "New Challenge".

   

Step 2

Fill in the "Basic Information" of the challenge:

1. Challenge Name

2. Account Currency

3. Challenge Type - Refer to this link for more details: B) Challenge Types

4. Challenge Time Zone

5. Challenge Start Date & Time

6. Select Card View Content Display

   • Stage 1 Rules: Content displayed on the challenge card will be the rules set for stage 1.

   • Highest Value Across Stages: Content displayed on the challenge card will be the highest value across all stages. For instance, if the profit target for stage 1 is 10% and for stage 2 is 20%, the challenge card will display the profit target of 20%.

Click "Next" to continue with the setup of the challenge or click "Save and Exit" to save the challenge as a draft.

Step 3

Fill in the Challenge Rules.

1. Configure the number of steps you require in your challenge.

   • You can add new steps by clicking the "+" icon.

   • You can delete steps by clicking the "Delete" icon.

   
2. Configure the settings for each step. For more details, please refer to this link: C) Challenge Parameter Definitions

   
3. You have the capability to conceal specific challenge settings from clients by selecting the "Hide" icon.

   
4. Additionally, you can customize the challenge settings name in your preferred languages.

   • To achieve this, just click the "Language" icon.

     
   • Enter the challenge settings name in the respective languages.

   • Click "Save".

Step 4

1. Select the Payment Method for the Registration Fee (if any). The available payment methods are:

   • Purchase Package Directly - You will need to select the payment methods accepted.

   • Deduct from Account Balance

   
2. Decide whether you want to upgrade traders to the next step immediately after they pass the previous step. If you select "Yes", the trader will be upgraded to the next step at the end of the day if the profit target is met, without the need to wait for the trading period to conclude.

3. Indicate whether the fee is refundable.

4. Click "SAVE AND EXIT" to save your challenge as a draft or click "NEXT" to continue.

   

Step 5

Fill in the profit sharing details.

1. Specify the steps at which you want profit sharing to be distributed. Enable profit sharing for various steps by clicking the "Enable" button.

   
2. Enter the profit sharing percentage for each recipient. Additionally, determine the number of upline levels for profit sharing distribution by clicking the "Add" icon.

   
3. Select the profit sharing settlement period:

   • Profit Sharing Every Fixed Number of Days - you will need to specify the required number of days.

   • Day X of Every Month - you will need to enter the desired day. If set to the 31st day and the month lacks a 31st, the settlement will automatically occur on the last day of the month.

   • Manual - This means that profit sharing settlements will only be triggered manually by you. Exceptions are when your trader passes or fails a challenge; in these cases, the system will automatically initiate profit sharing settlement.

   
4. Choose between automatic or manual profit sharing methods.

   • Manual Distribution: Manual review and approval from you are required before the profit sharing amount is distributed to the recipients' wallet.

   • Automatic Distribution: The system automatically calculates and distributes the profit sharing amount to the intended recipients' wallet. No manual intervention is needed.

5. Indicate the upline client types eligible to receive profit sharing distribution—either all client types or IBs only.

6. Click "SAVE AND EXIT" to save your challenge as a draft or click "NEXT" to continue.

   

Step 6

1. Choose your commission structure: Level or Rank.

2. If Rank is selected, choose the applicable "Rank Structure".

3. Opt to "Include Challenger" if you want to pay out commissions to the prop challengers.

4. Select the commission calculation method:

   • Fixed Amount

   • Percentage of Participation Fee

   
5. Refer to this section for more details: D) Participation Fee Commission

6. Click "SAVE AND EXIT" to save your challenge as a draft. Or click "Publish" to immediately publish your challenge.

   

Step 7

1. Upon clicking "Publish", you can review the challenge parameters configured.

2. Click "Publish Now" to proceed.

   
3. A popup notice will appear for you to confirm your action. Click "Confirm" to proceed to publish your challenge.

   
4. You will see that the challenge status is now "Published".

   

B) Challenge Types

1. Challenge types are displayed as keywords, enabling your clients to easily browse and filter prop challenges.

2. To add a new challenge type:

   • Enter the desired type in the dropdown menu and press Enter.

     
   • Ensure that the challenge type is filled in all relevant languages.

     
3. Once created, the new challenge type will appear in the dropdown list and can be assigned to other challenges.

4. Your clients can select a challenge type, and the relevant list of challenges associated with it will be displayed.

   

C) Challenge Parameter Definitions

Below are the definitions for various parameters used in setting up prop trading challenges:

Step Name

The designated name for each stage of the challenge, such as "Preliminary Stage" or "Funded Stage."

Ensure that the step name is provided in all relevant languages.

Account Type

Choose between "Demo" (simulated trading) or "Live" (real funds trading) account types.

Initial Balance Amount

The starting balance in the trading account when your client registers for the prop challenge.

Server Group

Select the trading platform and corresponding trading groups to which the trading account will be assigned.

Leverage

The leverage available to your client for trading during the challenge.

Trading Period

The duration of the challenge in days. Clients must achieve the challenge target within this period.

You can choose an unlimited trading period or manually enter the number of days.

Minimum Trading Days

The minimum number of days your client must trade to pass the challenge.

Minimum Trading Volume

The minimum number of lots that must be traded by your client to pass the challenge.

Maximum Daily Loss

The maximum loss allowed within a single day.

Calculation Logic:

• Net Equity: The system updates equity every 10 minutes. If the difference between the current equity and the previous end-of-day equity exceeds the maximum daily loss threshold, the challenge will fail.

• Profit and Loss (PNL): At the end of each day (00:00 challenge time zone), the PNL of all closed orders is calculated chronologically. If the total cumulative loss exceeds the maximum daily loss threshold, the challenge will fail.

Please refer to this link for calculation examples: G) Calculation Logic for Maximum Daily Loss and Maximum Loss

Maximum Loss

The maximum cumulative loss allowed throughout the challenge.

Calculation Logic:

• Net Equity: The system updates equity every 10 minutes. If the difference between current and initial equity exceeds the maximum loss threshold, the challenge will fail.

• Profit and Loss (PNL): At the end of each day (00:00 challenge time zone), the system calculates the PNL of all closed trades in chronological order from the start of the challenge. If the total cumulative loss exceeds the maximum loss threshold, the challenge will fail.

Please refer to this link for calculation examples: G) Calculation Logic for Maximum Daily Loss and Maximum Loss

Profit Target

The profit goal that must be achieved to successfully complete the challenge.

Calculation Logic: The system updates PNL every 10 minutes to check if the profit target has been met. Once the target is reached, at 00:00 in the challenge time zone, the system updates the challenge progress accordingly.

Free Repeat

Indicates whether clients can repeat the challenge at no additional cost.

To qualify for a free repeat, the client's closed trades PNL must be positive, and they must have met the minimum trading days and trading volume requirements without exceeding the maximum daily loss or maximum loss thresholds.

Maximum Retry Count

The maximum number of allowed free repeats.

Fee

The registration fee required for participation in the challenge.

Profit Sharing

The percentage of profits shared with the client, along with the settlement period.

The profit-sharing amount will be credited to the CRM wallet.

D) Participation Fee Commission

You can set up two different commission structures: Level Structure and Rank Structure.

For Level Structure:

1. Add the number of levels for commission payouts by clicking the "Add" icon.

   
2. Enter the commission amount.

3. If "Include Challenger" is selected, the first level defaults to the challenger.

   
4. To set up overriding commission and same rank bonus, you will need to select a "Rank Structure."

5. Set up overriding commission and same rank bonus under the respective tabs.

   

For Rank Structure:

1. The tiers for the selected rank structure will be displayed automatically.

2. Enter the commission amount for each tier.

3. Configure overriding and same rank commission accordingly.

   

E) Challenge Allocation Across Client Groups

You have the flexibility to assign different challenges and packages to specific client groups, tailoring offerings to their unique business requirements. Assigned client groups gain visibility of the challenge and packages, while unassigned groups won't have access.

• All client groups will be automatically selected by default for existing challenges and packages.

• Modifying assigned client groups is possible even after the challenge has commenced.

• Existing challengers can still view and participate in the challenge, even if they are not part of the assigned client groups. However, upon completion or full failure of the challenge, participants will no longer have visibility of the challenge.

To assign a challenge/package to client groups:

1. Locate the challenge/package and click the "Client Groups" icon.

   
2. Select the client groups where the challenge and package will be visible.

3. Click "Save."

   

If a challenge or package does not have any assigned client group, an "!" icon will remind you to make an assignment.

F) Duplicating Prop Challenges

You can also efficiently create new challenges by duplicating existing ones, saving time on repetitive data entry. To duplicate prop challenges, follow the steps below:

1. Locate the prop challenge you want to duplicate and click the "Duplicate Challenge" icon.
2. The challenge will be duplicated, and "-copy" will be appended to the challenge name to indicate it as a duplicate.

3. The duplicated challenge will be automatically saved as a draft.
4. You can then proceed to edit and publish the prop challenge as needed.

G) Calculation Logic for Maximum Daily Loss and Maximum Loss

A) Maximum Daily Loss

1. The CRM compares the latest obtained equity with the equity at the end of the previous day to determine if the trader has reached the maximum daily loss threshold.

2. Challenge fails when: Latest Equity - Previous Day Equity ≤ - Maximum Daily Loss

For Example:

Initial Equity: $10,000

Maximum Daily Loss = 5% x $10,000 = $500

Previous Day Equity	Latest Equity	Equity Change	Challenge Failed
$10,000	$11,000	$11,000 - $10,000 = $1,000	$1,000 ≥ - $500 Challenge has not failed.
$11,000	$8,500	$8,500 - $11,000 = -$2,500	-$2,500 ≤ -$500 Challenge has failed.

B) Maximum Loss

1. The CRM compares the latest obtained equity with the initial equity to determine if the trader has reached the maximum loss threshold.

2. Challenge fails when: Latest Equity - Initial Equity ≤ - Maximum Loss

For Example: Initial Equity: $10,000

Maximum Loss = 10% x $10,000 = $1,000

Initial Equity	Latest Equity	Equity Change	Challenge Status
$10,000	$11,000	$11,000 - $10,000 = $1,000	$1,000 ≥ - $1,000 Challenge has not failed.
$10,000	$8,500	$8,500 - $10,000 = -$1,500	-$1,500 ≤ -$1,000 Challenge has failed.