The Funded Room is a new forex and crypto prop firm operated by Xybit Inc. It was founded in 2026 and has no full year of operating history. It sells Instant Funding from $69 for a $5K account and One-Step for $79 at the same size, and it lists a $2,500 Two-Step account at $19 that was marked sold out. Both carry a 3% daily loss limit, a 6% maximum loss, an 80% profit split and a strict 15% consistency rule. Payouts go out only in USDT over three blockchain networks, in a weekly window on Sunday night to Monday midday India time.
The low fee and the absence of a time limit make the firm cheap to try. The consistency rule, the short track record and a heavily one-star Trustpilot profile are the points to weigh before buying.
What The Funded Room is and who runs it
The firm trades as The Funded Room at thefundedroom.com, and its legal entity is Xybit Inc. It describes itself as a forex prop firm. It offers forex and crypto as instrument types, with tradable assets covering forex, crypto, commodities and indices. Leverage is 1:100.
The firm has zero years in operation, so there is no history of rule changes, payout behavior or dispute handling. That matters at a prop firm, where you pay upfront and the firm’s payout policy and its reading of its own rules decide whether funded profits ever reach you. The firm does not publish a total amount paid to traders.
Programs and fees
Instant Funding costs $69 at the $5K size and $129 at $10K, while One-Step costs $79 at $5K.
| Instant Funding | One-Step | |
|---|---|---|
| Account size | $5K | $5K |
| Fee | $69 one time | $69 one time |
| Profit target | None | Not stated |
| Daily loss | 3% | 3% |
| Max loss | 6% | 6% |
| Minimum days | 7 | None |
| Consistency rule | 15% | 15% |
| Profit split | 80% | 80% |
Instant Funding $5K
Instant Funding skips the evaluation. You pay the fee and trade a funded account straight away, with no profit target to hit. The trade-off is that every funded-account rule applies from the first trade. That includes the 7-day minimum before trading days count toward a payout and the 15% consistency rule, which governs whether accumulated profit can be withdrawn.
One-Step $5K
One-Step is a single evaluation phase followed by a funded account. It requires a minimum of 3 trading days and has a 10% profit target, and its daily and maximum loss limits match Instant Funding.
Two-Step
The firm’s trading rules page refers to a Two-Step program with a 5% daily loss limit, against 3% for Instant Funding and One-Step, and a 10% maximum total loss. Two-Step is not currently offered for purchase and has no stated price or account size. A trader on a third-party site reports buying a $5K Two-Step challenge in February 2026.
What $69 buys
At $69 for a $5K account, the fee equals 1.38% of the nominal account size. Under the 6% maximum loss, it buys up to $300 of loss allowance.
The firm had no public discount code at the time of the last check.
Loss limits in dollar terms
Measured from the $5K starting balance, the limits work out as follows:
- Daily loss, 3%: $150 of loss allowed in a single day
- Maximum loss, 6%: $300 of total loss allowed before the account fails
The daily limit is half the total limit. Two full bad days end the account. A trader who risks 1% ($50) per trade can take three full losses in a day before breaching the daily cap, and six net losses overall before breaching the maximum.
Several terms need confirming with the firm before you buy: the One-Step profit target, which trading platform is used, whether both loss limits are measured from the $5K starting balance, and whether the 6% limit is static or trailing. A trailing limit that follows your equity peak upward leaves far less room in practice than a static floor at $4,700. Anyone planning to automate should also get written confirmation of which EAs are permitted.
How the 15% consistency rule works
The consistency rule applies to both programs and is the term most likely to shape how you trade. No single trade and no single trading day can account for more than 15% of your total accumulated profits. The firm compares whichever is larger, your best profitable day or your best profitable trade, against your total PnL.
The rule creates a simple formula. To stay compliant, your total profit must be at least your largest single day or trade divided by 0.15, which is about 6.67 times that figure.
Hypothetical example (not the firm’s figures): on the $5K account you earn $120 on your best day, and your best single trade is $90. The larger of the two is $120, so your accumulated profit must reach at least $800 ($120 ÷ 0.15) before that best day falls within the 15% cap. If your total profit is only $400, the best day is 30% of it and you are out of compliance. At the 80% split, $800 of profit would mean a $640 share to you, but only once the rule is satisfied.
Several consequences follow from the wording:
- One big winner raises the bar. A single trade that makes $150 means you need $1,000 in total profit before it fits under 15%, which is 20% of the account size on a $5K account.
- It measures trades as well as days. Spreading profit across days does not help if one trade is outsized.
- Losses can matter. If total PnL means net profit after losing trades, losing days shrink the base and push your best day’s share above 15%, even though the best day itself has not changed.
- It favors many small, similar results. Strategies built on rare large winners, such as setups targeting reward-to-risk ratios of 1:10 or more, will struggle to stay under the cap.
One trader’s published complaint describes this conflict: a $200 profit on a $10K Instant account could not be withdrawn because of the consistency rule, and the account was later closed after a daily loss breach.
Trading rules and prohibited practices
The Funded Room sets these permissions:
- News trading: allowed
- Weekend holding: allowed
- Expert advisors (EAs): restricted
- Copy trading: not allowed
- High-frequency trading: not allowed
- Time limit: unlimited
- Inactivity: 30 days
Allowing news trading and weekend holding helps swing traders and anyone who trades around economic releases, since many firms restrict one or both. The unlimited time limit means the One-Step evaluation has no deadline. The 30-day inactivity rule still applies, so an account left untouched for that long is at risk.
EAs are restricted rather than banned outright. Only third-party EAs built to pass prop firm evaluations are named among the prohibited practices below.
The full list of prohibited practices:
- Hedging on the same account
- Hedging across multiple accounts
- Third-party EAs designed to pass prop firm evaluations
- Copy trading services
- Account sharing
- High-frequency trading
- Latency arbitrage
- Exploiting platform or price feed delays
- Tick scalping
- Arbitrage
The hedging ban covers both opposite positions in one account and offsetting positions across several accounts. That rules out running opposite trades on two challenges to guarantee one passes. The ban on tick scalping is broader than some firms’ wording, so very short holding times may draw scrutiny even without automation.
Payouts and withdrawals
Profit split. 80% of eligible profit goes to the trader on both programs.
Payout window. Requests are handled from Sunday 11:59 PM to Monday 12 PM, India Standard Time (IST, UTC+5:30). In US Eastern time, that runs from Sunday 1:29 PM to Monday 1:30 AM during standard time, or Sunday 2:29 PM to Monday 2:30 AM during daylight saving time. Missing the window means waiting for the next one.
Processing time. The firm says requests are processed in under 2 hours.
Methods. Withdrawals are paid only in USDT, over three networks:
- Ethereum (ERC-20)
- BNB Chain (BEP20)
- Tron (TRC-20)
There is no bank transfer or card payout. To receive funds you need a wallet that supports at least one of these networks, and you need to give the firm the address for the matching network. USDT sent over one network to an address on another may not be recoverable. Network fees also differ: Ethereum transactions usually cost more than BEP20 or TRC-20 transfers, which matters on small payouts from a $5K account. Converting USDT to dollars in a bank account requires an exchange and may create a taxable event, depending on where you live.
Trustpilot rating and trader reports
The firm holds a 2.5 rating on Trustpilot from 3,336 reviews. The distribution is lopsided:
- 5 stars: 751
- 4 stars: 66
- 3 stars: 75
- 2 stars: 126
- 1 star: 2,312
About 69% of reviews are one star and about 23% are five stars, with few in between. The firm has Trustpilot profiles under three domains: thefundedroom.com, fundedroom.com and propfirmroom.com.
The same trader whose consistency rule complaint is described above makes further allegations. The trader says the firm cited a “bot attack” and “ghost trading,” swapped a purchased $5K Two-Step account for a $10K Instant account without consent, and did not answer more than ten support emails. These are one trader’s unverified claims.
Strengths and trade-offs
Strengths
- Low entry cost. $69 is a small upfront commitment for a funded or evaluation account.
- No time limit. There is no deadline pressure on the One-Step evaluation.
- No target on Instant Funding. You can trade toward a payout from day one.
- News and weekend holding allowed. Both are useful for swing and event-driven traders.
- Weekly payout window with fast stated processing. Under 2 hours, as reported by the firm.
Trade-offs
- No track record. Founded in 2026, with zero years in operation and no published payout total.
- Tight daily loss. The 3% daily limit is half of the 6% maximum, which leaves little room for a volatile day.
- Strict consistency rule. 15% on both the best day and the best trade, which puts payouts out of reach for outlier-driven strategies.
- Crypto-only payouts. USDT only, which adds wallet, network and conversion steps.
- Only $5K accounts on sale. Any meaningful scaling depends on terms the current offer does not set out.
- Weak review profile. A 2.5 Trustpilot rating with a one-star majority.
How we checked The Funded Room
We visited thefundedroom.com on 13 November 2026, connecting from Tallinn, Estonia. We opened the home page and scrolled to the footer, which names Xybit Inc. with an address at 48, Wall Street New York 10005 and the email [email protected]. From there we clicked through to the Terms and Conditions, whose introduction calls Xybit Inc. “a legally recognised limited liability proprietary trading firm in Delaware.” We also read the rules page. Back on the home page, we clicked the Instant Funding tabs for $10,000, $25,000, $50,000 and $100,000 to reveal each plan.
The prices were not one flat fee. Instant Funding showed $69 for a $5,000 account and $129 for $10,000. One-Step listed an entry fee of $79. A $2,500 Two-Step account at $19 was marked sold out. The rules set One-Step at a 10% profit target, a 3% daily loss, a 6% total loss and 3 minimum trading days. Two-Step runs at an 8% target and then a 5% target, with a 5% daily loss and a 10% total loss. We never reached a checkout page. We cannot say whether an account is needed before payment.
No licence or registration number appears on the pages we opened, so there was no register record for us to look up. The domain was registered on 2025-04-03 through GoDaddy.com, LLC. It is a young domain. The Wayback Machine’s first capture is dated 2025-04-04, although that capture may predate the current brand. We read Trustpilot on 13 November 2026 and found a score of 2.5/5 from 3,336 reviews, with 69% one-star and 23% five-star. The company had replied to 0 of the 8 newest reviews.
Some of the firm’s claims rest only on its own pages. We did not buy a challenge, trade or request a payout. That means the stated processing time of under 2 hours and the conduct alleged in trader complaints remain untested by us. We also did not confirm the Delaware company claim against any state record.
Who it may suit
The terms fit a trader who produces frequent small, similar winners and keeps daily risk disciplined. Someone who regularly makes modest daily gains and rarely has one trade dominate the week can live with the 15% cap. A trader already comfortable holding and moving USDT avoids the payout friction, and swing traders benefit from weekend holding.
The terms work against traders whose results come from a few large winners, anyone who needs bank payouts, and anyone who relies on third-party automation or copy trading.
Alternatives
| Provider | Score | Fee | Split | Payouts | |
|---|---|---|---|---|---|
| 7.0/10 | $44 | up to 100% | 14 or 30 Days | Review | |
| 5.8/10 | $531 | 85% | Bi-weekly | Weekly with add-on | Review | |
| 7.8/10 | $159 | 60% or 80% | Daily | Review |