1-Step vs. 2-Step Prop Firm Challenges: Which is Best for Crypto Traders?
If you are a talented crypto trader, you already know the biggest hurdle to making substantial profits: a lack of trading capital. Prop trading firms solve this by providing funded accounts, allowing you to keep the lion's share of the profits without risking your own money.
But before you get funded, you have to prove your skills through an evaluation phase. At top-tier crypto prop firms like PropW, you typically have two options: a 1-Step Challenge or a 2-Step Challenge.
So, which one is better for your trading style? Let’s break down the differences, pros, and cons so you can choose the fastest route to your funded account.
What is a Crypto Prop Trading Challenge?
A prop trading challenge is an evaluation process where you trade on a demo account with virtual funds under specific rules (such as profit targets and maximum drawdowns). If you hit the targets without violating the risk parameters, the prop firm grants you a funded account.
The structure of these evaluations usually falls into one of two categories.
The 1-Step Challenge: The Fast Track to Funding
As the name suggests, the 1-Step Challenge requires you to pass only a single evaluation phase. Once you hit the profit target, you instantly become a funded trader.
Pros:
Speed to Funding: This is the quickest way to get a funded account. If the market aligns with your strategy, you could theoretically get funded in a matter of days.
Less Psychological Fatigue: Trading under evaluation pressure can be stressful. A single phase means you deal with that pressure only once before moving on to real profit splits.
Cons:
Stricter Drawdown Rules: Because the firm is taking on risk faster, 1-Step challenges often feature a tighter trailing drawdown or stricter daily loss limits compared to 2-step evaluations.
Best For: Aggressive traders, scalpers, and experienced veterans who are highly confident in their risk management and want immediate access to capital.
The 2-Step Challenge: The Balanced Approach
The 2-Step Challenge is the industry standard. It is split into two phases:
Phase 1 (The Challenge): Hit a specific profit target to prove you can generate returns.
Phase 2 (The Verification): Hit a slightly lower profit target to prove your first phase wasn't just a lucky streak, while maintaining the same risk rules.
Pros:
More Breathing Room: 2-Step challenges generally offer more generous maximum drawdowns (often static or equity-based rather than trailing), giving your trades more room to breathe during volatile crypto swings.
Builds Discipline: The verification phase forces traders to maintain consistency, which translates perfectly to long-term success once funded.
Cons:
Takes Longer: You have to prove yourself twice, which naturally extends the time it takes to see your first payout.
Best For: Swing traders, conservative day traders, and those who prioritize having a larger drawdown buffer over immediate funding.
1-Step vs. 2-Step: Which Should You Choose?
The decision ultimately comes down to your psychology and trading strategy.
If you trade high-probability setups with tight stop-losses and want to get paid as soon as possible, the 1-Step Challenge is your best bet.
If you trade volatile crypto pairs that need wider stop-losses and you prefer a more relaxed risk environment, the 2-Step Challenge will set you up for success.
The PropW Solution: The Best of Both Worlds
If you find yourself torn between the rapid funding of a 1-Step and the balanced safety of a 2-Step, PropW has completely redesigned the evaluation process to give you the ultimate advantage.
Traditional 1-Step challenges often feature strict drawdown rules that set traders up to fail. To fix this, PropW developed a unique ecosystem that offers the speed you want with the fair rules you deserve:
Expert Mode (The "1.1-Step" Hybrid): If you want the speed of a 1-Step challenge, this is your fast track. You simply hit a 10% target in Phase 1 (3 days), and your Phase 2 verification is essentially a victory lap with a microscopic 0.1% profit target (1 days). You get the rapid funding of a 1-step, without the high-risk constraints. Scale your skills up to a $200,000 account!
Standard Mode (The Perfected 2-Step): If you prefer a relaxed, steady pace, our classic 2-Step offers unlimited trading days. We even lowered the barrier to entry by requiring only a 5% profit target in Phase 1 (followed by 10% in Phase 2). It is the most flexible way to get funded, starting at just $29 for a $2K account.
Why trade with PropW?
100% Refundable Fee: Prove your edge, get funded, and your initial evaluation fee is fully refunded!
Industry-Leading Payouts: Keep a massive 80% of your profits.
Ultimate Crypto Access: Trade with 5x leverage under conditions specifically designed for the crypto market.
Last updated