Carrot Funding review: 80% split, contract says simulated

Verdict: Carrot Funding suits traders who want an 80% split, no minimum trading days and an on-demand USDC payout on Arbitrum, and who can live with a loss limit that counts floating losses. It does not suit anyone who needs a regulated firm, a bank withdrawal, or proof that every funded order is hedged live. The biggest caveat is the contract. The rulebook says simulated trading is used to assess skill, and it lets the firm book a funded order off-chain at its sole discretion.

Key terms

• Challenge fee: $65 to $699 on the two-phase path and $75 to $799 on the one-phase path. The rulebook says the fee is non-refundable once activated. The $100,000 two-phase fee is $699.
• Account sizes: $5,000, $10,000, $20,000, $50,000 and $100,000, with funded balances capped at $200,000 in aggregate.
• Profit split: 80% to the trader and 20% to the firm. A rulebook example pays $1,600 of $2,000 gross profit.
• Profit target: 5% then 8% on two-phase, or 8% on one-phase. None remains after funding.
• Maximum loss: 10% of starting balance on two-phase and 8% on one-phase. The floor trails the high-water mark up until it reaches the starting balance.
• Daily loss: 5% of equity at 00:00:00 UTC on two-phase, and 4% on one-phase, including unrealised losses.
• Payout: on demand, minimum 100 USDC, full profit only, within 24 hours, in USDC on Arbitrum.
• Minimum trading days: none. No time limit and no mandatory stop-loss.

What Carrot Funding publishes about payouts

After a pass, the trader keeps 80% of funded-account profits, on demand, for the full profit only, minimum 100 USDC. The FAQ says 125 USDC of profit is required first. Positions and orders must be closed, and a one-phase account also needs a Best Day Score of 50 or higher. Payment is stated as within 24 hours, in USDC on Arbitrum, with no withdrawal fee. Trading stops during processing, both loss limits then reset, and a wrong wallet is not repaired.

The homepage calls the same process a "24h Guaranteed Payout". On 12 October 2026 the firm's X account posted "No denied payouts." The rulebook says a funded breach cancels payout eligibility, breaches are final, and a forbidden-practice finding can forfeit rewards.

Related:InsaneFunding review: an 80% split that starts at 50/50

We checked one homepage hash. On 1 June 2026 the transfer beside 1,205.61 succeeded as 1,205.61 native USDC on Arbitrum. The chain does not prove the printed 1,943% ROI, or that the other hashes are trader payouts. We did not read live totals for payouts, pass rates or reserves. Trustpilot would not load, so the homepage badge of 4.6 from 22 reviews is unverified.

Pretty solid firm if you know how to work around a balance-based trailing max DD and equity-based daily DD. Took me 4x 2-step 100K accounts to get funded. Total spend: $2,447 One payout covered the cost of those challenges.

The X account named "one" posted that on 11 October 2026. Four list-price fees would be $2,796, so $2,447 is unverified. The drawdown note matches the rulebook. The current rulebook states a flat 80% and does not mention a 15-minute wait. Also unverified: any audited total, any refusal rate, and the 24-hour clock.

Rules that void the account

There is no news ban, no weekend ban and no minimum hold. Grid, swing and scalp trading are allowed. Accounts end on the equity floors, or on conduct the firm judges. On two-phase, the daily limit is 5% of equity at 00:00:00 UTC. The $100,000 example sets the floor at 95,000 USDC, so a closed loss of 3,000 leaves 2,000 for open losses. A touch is a breach even if price recovers, and an intraday profit does not lift that day's floor. The definitions say midnight balance; the formula uses equity. Assume the worked example.

Maximum loss trails, then stops. It is 10% of starting balance on two-phase and 8% on one-phase. The floor is the high-water mark minus that sum, and it does not fall if the balance falls. A high of 106,000 USDC puts the floor at 96,000. Once the floor would pass the starting balance, it stays there. The daily limit can still end the account above it. The homepage disagrees with itself: two-phase cards say 10%, a step block says "below 8%" and also shows a $10,000 loss. The rulebook says 10% and 8%. The cards show a "Consistency Score" with no number. The only such rule is the one-phase Best Day Rule.

That rule does not breach the account. No day may exceed 50% of total profit, scored as total profit minus the best day, divided by total profit, times 100. Below 50, the trader continues. It governs the one-phase pass and later payouts. Two-phase accounts do not have it. A breach closes the account with no appeal and no reset. Banned conduct, judged by the firm, includes bad prices, high-frequency orders, cross-account hedges, third-party access and "gambling-style behavior". That is discretion, next to a homepage line that says there is none. Hyperliquid maker and taker fees, with no markup, and funding payments count inside the limits. Leverage is up to 5x, or lower where Hyperliquid's cap is lower.

The on-chain claim and the B-book

The homepage title, read on 14 October 2026, is "carrotfunding.io | The Verifiable Prop Firm". Both paths are priced for sale. The rulebook names Hyperliquid's order book for crypto, forex, commodities, and stocks and indices, via Carrot Funding's terminal. The homepage says 175 or more assets, which we did not count.

A funded order is routed, at the firm's sole discretion, either to Hyperliquid through a vault or to an internal book. The internal fill is called hypothetical, with no on-chain settlement, and the trader does not choose. A public Arbitrum payout can therefore sit on positions that never reached Hyperliquid, the same split this desk noted at Propr. The rulebook says 50% of evaluation revenue goes to a vault and that Oasis ROFL proves the maths. We audited neither. A September 2026 third-party page still cites gTrade and a $500,000 cap. Pages read on 14 October 2026 say Hyperliquid, a $100,000 account and a $200,000 aggregate. We do not adopt the other figures.

The rulebook says simulated trading is used to assess skill, while a funded order can still be booked off-chain. A fee-based evaluation is not capital the trader owns, which is the point of what a funded account is. The homepage's verifiable-capital line and that rulebook wording are not the same claim.

How the $100,000 path compares

One size, read on 14 October 2026, and not a ranking. Wider context is in this desk's 2026 payout comparison. FTMO's objectives are on its two-step page, and the $619 / $499 fee pair is on its US comparison page. Breakout's column is its pricing page.

Who operates Carrot Funding

The rulebook and the FAQ do not name the operating company. Nothing on those pages shows a regulator supervising the challenges. A 2026 letter on software relief, in this separate piece, is not about this firm.

The only payout rail in the rulebook is USDC on Arbitrum. A pass opens the same starting balance, target removed, loss limits kept. Anything above $200,000 waits in a "Ready to Fund" queue. Challenges themselves are not capped.

Frequently asked questions

What split does the rulebook state?

It states 80% to the trader and 20% to the firm. The worked example pays $1,600 of a $2,000 gross profit. The FAQ repeats the split and the 125 USDC needed for a 100 USDC payout. An older line says "up to 80%". Where they differ, this review quotes the rulebook.

When can a funded trader withdraw?

On demand, for the full profit only, minimum 100 USDC, in USDC on Arbitrum within 24 hours, after every position and order is closed. One-phase accounts also need a Best Day Score of at least 50. Trading stops during processing, and both loss limits reset afterwards. A wrong wallet is the trader's loss.

Is the funded account live or simulated?

The rulebook says simulated trading is used to assess skill, and that some funded orders go to Hyperliquid while others are booked internally, at the firm's choice, with the same stated result. The trader does not pick. The homepage's "real capital" wording is a separate marketing line.

What closes an account without a payout?

Equity touching either loss floor, including a floating loss that later recovers. A funded breach also ends payout eligibility. Cross-account hedging, third-party trading and exploiting a bad price can forfeit a payout even if the targets were met. The rulebook has no reset.

Is Carrot Funding regulated?

The rulebook and the FAQ do not name the operating company. Nothing on those pages shows a regulator supervising the challenges.

This review is independent editorial analysis and is not financial, investment, or trading advice, and is not an endorsement or solicitation. The Industry Spread has no affiliate or referral relationship with the firms covered. Proprietary trading challenges carry a fee that is generally non-refundable, most participants do not reach a funded account, and funded capital is the firm's capital, not the trader's. Terms change frequently — always verify current rules directly with the firm before paying any fee.