Carrot Funding Review: Plans, Rules, and How It Compares

Carrot Funding

Carrot Funding (carrotfunding.io) is a crypto proprietary trading firm that funds traders through a one-time-fee evaluation and settles every payout on-chain. Payouts are made in USDC on Arbitrum, can be requested on demand from the trader dashboard once eligible, and are processed within 24 hours against a 100 USDC minimum. The firm publishes Arbiscan transaction hashes for its payouts, which makes settlement independently verifiable rather than something a trader has to take on trust.

Two evaluation paths are sold: a 2-Phase Challenge and a 1-Phase Challenge, across five account sizes from $5K to $100K. Both pay an 80% profit split. Trading takes place on the firm's own web-based terminal rather than MT4, MT5 or Match Trader, with Hyperliquid as the execution venue. The firm does not publish a founding date, and PropFirmMap records its established date as unknown. Our current PropFirmMap score for Carrot Funding is 5.7 out of 10, safety grade C.

Plans and pricing

Carrot Funding sells ten plans in total, five on each evaluation path. The 2-Phase Challenge is the cheaper route at every account size and carries a 5% profit target in the first phase followed by an 8% target in the second. Its risk limits are a 5% max daily loss measured on equity and a 10% max loss measured against the starting balance. The 1-Phase Challenge asks for a single 8% profit target and tightens both limits in exchange: 4% max daily loss on equity and 8% max loss on starting balance. The daily figure is recalculated at 00:00:00 UTC.

Across the ladder the 1-Phase path costs more than the 2-Phase equivalent at every account size. The challenge fee is one-time and non-recurring, with no activation fee and no monthly subscription attached to either path. Funded balance is capped at $200,000 in aggregate, and the largest single account the firm sells is $100,000. Source: carrotfunding.io/rulebook.

Trading rules

The drawdown model differs by path rather than by account size. The 2-Phase Challenge uses a 5% daily loss limit on equity and a 10% overall loss limit on starting balance; the 1-Phase Challenge uses 4% and 8% respectively. There is no time limit on any evaluation, no minimum trading days requirement, no inactivity rule and no stop loss rule. Minimum trading days for a payout is also zero.

Consistency applies to one path only. The 1-Phase Challenge requires that no single trading day represents more than 50% of total profits. The 2-Phase Challenge carries no consistency requirement at all.

On strategy, scalping, grid trading and swing trading are permitted, as are news trading and weekend holding, with no minimum holding time. Hedging, copy trading and automated expert advisors are not permitted. Leverage is capped at up to 5x per position, or the maximum Hyperliquid allows for that market if that figure is lower.

Pros

• Payouts settle on-chain in USDC on Arbitrum with published Arbiscan transaction hashes, so a trader can verify a payment independently of anything the firm says about it.
• On-demand payouts processed within 24 hours, a 100 USDC minimum, and zero minimum trading days before a first payout can be requested.
• No time limit, no minimum trading days, no inactivity rule and no stop loss rule, and the 2-Phase path carries no consistency requirement.

Cons

• Leverage is capped at 5x per position, well below what CFD-based prop firms typically offer.
• The firm publishes no company registration, founding date or regulator on any first-party page, and its terms are hosted on an external GitBook rather than on its own domain.
• Payouts are crypto-only, with bank transfer listed as coming soon, and the firm discloses that it can B-book any trade at its sole discretion with no trader control over routing.

How it compares

Three other crypto-class firms in our database sit in a comparable fee range at the $50K account size: Breakout, HyroTrader and Fundedbit. The table below compares only the fields we hold verbatim for all four firms.

Carrot Funding is the most expensive of the four at $50K on either path. Breakout and HyroTrader both offer a higher ceiling on profit split, at 90% and 80% scaling to 90% respectively, against Carrot Funding's flat 80%. Where Carrot Funding is more permissive is on the loss limits attached to its 2-Phase path: a 10% max loss against Breakout's 6% and HyroTrader's 6% gives a trader more room before an account is closed, though Fundedbit's 2-Phase matches it at 10%. Breakout's 3% daily loss limit is the tightest of the group and Carrot Funding's 2-Phase 5% the loosest.

On our own scoring the ordering runs Breakout at 7.4 (grade B+), HyroTrader at 6.5 (grade B), then Carrot Funding at 5.7 and Fundedbit at 5.6 (both grade C). The gap is driven largely by what each firm documents about itself rather than by its trading terms.

Verdict

Carrot Funding is a reasonable fit for a trader who wants verifiable settlement and a rule set with very few procedural traps: no time limit, no minimum trading days, no inactivity rule, no stop loss rule, and on the 2-Phase path no consistency rule either. The on-chain payout record with published transaction hashes is a genuine point of difference, and on-demand payouts processed within 24 hours at a 100 USDC minimum is a short cycle by prop firm standards.

It is a poor fit for a trader who needs leverage above 5x, who wants to be paid in fiat, who relies on hedging, copy trading or automated strategies, or who wants a documented corporate entity and regulator behind the account. The permanent-breach policy, with no resets or appeals, also means a single mistake ends the evaluation outright. Traders weighing those trade-offs should read the firm's own rulebook before purchasing.

Sources checked for this review: carrotfunding.io, the rulebook, the FAQ and the TrustPilot profile.