Choosing a prop firm with a balance-based drawdown can make a huge difference in how safely you trade. Unlike trailing drawdown models that move with your profits, balance-based drawdown, also called static drawdown keeps the maximum loss limit fixed from the start of the account.
For example, if you have a $100,000 prop firm account with a 10% balance-based drawdown, your maximum loss is $10,000 and the stop level stays at $90,000, even if your account grows to $110,000 or $120,000.
Because the drawdown level does not tighten as you make profits, many traders prefer this model for better risk management and flexibility.
In this guide, we list some of the best balance-based drawdown prop firms in 2026, including options for forex, crypto, and traders who want large accounts or strong scaling plans.
Balance-Based Drawdown Prop Firms Comparison
| Prop Firm | Challenges With Static DD | Best For | Max Account Size |
|---|---|---|---|
| Funding Pips | 1-Step, 2-Step, 2-Step Pro | Forex traders | $100K+ |
| FXIFY | Two-Step Classic, Three-Phase | Large accounts & metals trading | $400K |
| The5ers | All plans | Long-term scaling | $400K+ |
| Tradeify Crypto | Two-Step Challenge | Crypto trading | $100K |
| FundedNext | Most challenges except instant | Forex & multi-asset traders | $200K |
1. Funding Pips
Funding Pips is one of the most popular prop firms offering balance-based drawdown accounts. Their static drawdown model is available across multiple challenge types including the 1-Step, 2-Step, and 2-Step Pro accounts.
The 2-Step Pro account is particularly well known in the prop firm industry because it is considered one of the most affordable two-step challenge accounts available today. This makes it attractive for traders who want access to funded capital without paying extremely high evaluation fees.
Funding Pips is also a strong option for forex traders, as their accounts are designed to support standard forex strategies with competitive trading conditions.
Funding Pips Static Drawdown Plans
| Account Type | Drawdown Model | Best For |
|---|---|---|
| 1-Step | Balance-Based | Fast evaluation |
| 2-Step | Balance-Based | Standard challenge |
| 2-Step Pro | Balance-Based | Most popular affordable option |
2. FXIFY
FXIFY is another prop firm that offers balance-based (static) drawdown on its Two-Step Classic and Three-Phase challenge models.
One of the biggest advantages of FXIFY is that it works very well for traders who want larger account sizes, such as $200,000 or $400,000 funded accounts. The firm is also known for offering strong leverage on metals, with gold trading leverage reaching 1:50, which is among the highest available in the prop firm industry.
This makes FXIFY particularly appealing to traders who focus on gold (XAUUSD) or want access to larger capital allocations.
FXIFY Static Drawdown Plans
| Account Type | Drawdown Model | Best For |
|---|---|---|
| Two-Step Classic | Balance-Based | Standard trading strategies (don’t pick standard option) |
| Three-Phase | Balance-Based | Slow but steady ones take you time |
3. The5ers
The5ers is one of the oldest prop firms in the industry, and all of their trading programs operate with static drawdown rules.
The firm is especially popular among forex traders because of its long-term approach and scaling opportunities. Their well-known Hyper Growth program allows traders to significantly increase their funded capital over time if they consistently perform well.
Another unique aspect of The5ers is that successful traders may eventually qualify for salary-style compensation in addition to profit splits.
The5ers Static Drawdown Plans
| Program | Drawdown Model | Best For |
|---|---|---|
| Hyper Growth | Static | Aggressive scaling |
| High Stakes | Static | Experienced traders |
| Bootcamp | Static | Low-cost entry |
4. Tradeify Crypto
Tradeify Crypto focuses specifically on cryptocurrency traders, making it a strong choice for those who primarily trade digital assets.
Their two-step challenge uses a balance-based drawdown model, allowing traders to manage risk without the restrictions of trailing drawdown systems.
Tradeify also offers 1:5 leverage on crypto assets, which is considered decent within the crypto prop trading space.
Tradeify Crypto Static Drawdown Plans
| Account Type | Drawdown Model | Crypto Leverage |
|---|---|---|
| Two-Step Challenge | Balance-Based | 1:5 |
5. FundedNext
FundedNext is another well-known prop firm that provides static drawdown accounts across most of its challenge models.
The only exception is their instant funding accounts, which follow a different structure. For traders who prefer traditional evaluation challenges with fixed drawdown levels, the standard FundedNext programs still maintain balance-based risk limits.
Because of its range of challenges and competitive trading conditions, FundedNext remains a solid option for traders looking for flexibility and funded account opportunities.
FundedNext Static Drawdown Plans
| Account Type | Drawdown Model | Notes |
|---|---|---|
| Evaluation Challenges | Balance-Based | Standard funding path |
| Instant Funding | Not Static | Different risk model |
Final Thoughts
Balance-based drawdown models are widely preferred by traders because they provide predictable risk limits and greater flexibility compared to trailing drawdown systems.
The firms listed above offer some of the best static drawdown prop firm accounts available in 2026, whether you trade forex, metals, or crypto.
Choosing the right firm ultimately depends on your trading style, preferred assets, and whether you value scaling opportunities, larger account sizes, or specialized crypto trading environments.
Frequently Asked Questions
What is balance-based drawdown in prop firms?
Balance-based drawdown is a fixed loss limit calculated from the starting balance of the account. The drawdown level does not move as the account grows.
For example, if you have a $100,000 funded account with a 10% balance-based drawdown, the lowest allowed balance is $90,000. Even if the account grows to $110,000, the drawdown level remains fixed at $90,000.
Because of this, balance-based drawdown is also commonly called static drawdown.
Is balance-based drawdown the same as static drawdown?
Yes. In most prop firms, balance-based drawdown and static drawdown refer to the same concept.
Both mean the maximum loss limit stays fixed and does not trail profits. The terms are often used interchangeably depending on how the prop firm describes its risk rules.
Is balance-based drawdown better than trailing drawdown?
Many traders prefer balance-based drawdown because it does not tighten as the account grows. With trailing drawdown, the loss limit moves upward when the account balance increases, which can reduce the amount of risk a trader can take later.
Static drawdown provides more breathing room and simpler risk management.
Can you lose a funded account with balance-based drawdown?
Yes. If your account balance falls below the allowed drawdown level, the account is considered breached.
For example, if your drawdown limit is $90,000 on a $100,000 account, dropping to $89,999 would trigger a violation, even if the account was previously profitable.
