A key question that every trader must answer before purchasing a funding challenge is: Would I invest in my own trading strategy if the capital belonged to someone else? If the answer is no, the trader likely isn’t ready.
Rather than chasing capital prematurely, traders should aim to prove their profitability over a sustained period. One year of consistent results—either through a small live account or a seriously managed demo account—can provide the necessary confidence and validation. This period serves as a self-assessment: Can you manage risk, avoid overtrading, and achieve consistent net gains across various market conditions?
Contrary to popular belief, a demo account can be a powerful tool when used with discipline. The lack of emotional attachment to demo money should not invalidate the value of tracking performance over time. Serious traders treat demo trading as an extension of their strategy development, not a throwaway exercise.