The Lux Prediction Markets evaluation is a 1-Step Challenge specifically engineered to identify and back elite forecasting talent. By demonstrating professional risk management and hitting our performance benchmarks, you can secure a Funded Account without risking your own capital.

Evaluation Parameters & Metrics

(All metrics scale proportionally based on your chosen account currency: GBP, USD, or EUR)

In-Depth Evaluation Rules

1. The Profit Target (10%)

Your objective during the evaluation phase is to grow your account equity by 10%.

• For a standard 10,000 account, your target is to reach 1,000 in profit.

• There is no time pressure to rush; you can trade at your own pace and wait for the perfect macroeconomic, political, or global events to build your track record.

2. Maximum Loss Drawdown (4%)

To ensure strict capital preservation, your account equity must never drop by 4% or more from its initial starting balance.

• For a standard 10,000 account, the maximum allowed loss is 400 (meaning your account equity must never drop to or below 9,600).

• This rule applies identically to both the Evaluation Phase and the Funded Stage. Exceeding this limit at any point will result in an automated breach of the account.

3. Institutional Risk Capping (Max Risk & Max Earn)

To promote professional portfolio management and protect the firm against high-risk, illiquid, or highly speculative market anomalies, the following boundaries are hardcoded into the platform:

• Max Risk Per Trade (1%): You cannot risk or allocate more than 1% of your initial account size on any single YES/NO contract event. For a 10,000 account, the maximum allocation per single contract is 100.

• Max Earn Per Trade (2%): The maximum eligible profit you can secure from a single trade/event outcome is capped at 2% of your total account size. For a 10,000 account, a single contract outcome cannot contribute more than 200 toward your target. Any excess profit generated above this 2% cap will be automatically filtered out and will not count toward your phase progression.

To maintain a fair, transparent, and compliant environment for all participants, Lux Prediction Markets enforces strict operational guidelines. Our platform is built for independent thinkers and macro forecasters; manipulation, cheating, or external management will result in immediate disqualification.

1. Account Management & Individual Access Policy

Account management, account passing, or sharing credentials with third parties is strictly prohibited.

• Every Lux account must be accessed and traded exclusively by the individual owner registered on the KYC documentation.

• Mirror Trading Restrictions: Our automated monitoring filters constantly scan the network for identical positions and execution patterns across multiple accounts. If a group of accounts is flagged for coordinated or identical contract positions, an in-depth investigation will be initiated, leading to the permanent termination of all involved accounts.

2. Strict Anti-Hedging Policy

Hedging is fundamentally banned on the Lux Prediction Markets platform. This infrastructure is designed to reward directional market evaluation, not statistical arbitrage or system exploitation.

• Internal Hedging: You are not allowed to purchase opposing YES and NO contracts on the exact same event market within a single account to lock in riskless movements.

• Cross-Account Hedging: Utilizing multiple Lux accounts (or coordinating with other users) to buy opposite outcomes on the same event market is strictly forbidden. Any detected hedging patterns will result in immediate account suspension and forfeiture of fees.

3. Data Integrity & Outdated Pricing (Fair Play)

Traders are strictly prohibited from exploiting wrong, delayed, or outdated contract prices caused by data latency, API delays, or software glitches (this applies to both pre-event and live real-time trading).

• Reporting Obligation: If you notice an obvious mispricing, a frozen contract market, or an error in live data feeds, you must report it to our team immediately. Exploiting these anomalies to gain an unfair advantage is classified as cheating.

• Post-Trade Corrections: Lux reserves the right to correct, void, or cancel any trades affected by incorrect or outdated pricing, even days after the event has settled. Account balances and targets will be adjusted retroactively if latency exploitation is detected.

• Consequences: Repeated attempts to trade on delayed data or system errors will lead to permanent disqualification without a refund.

Congratulations on completing your single-stage evaluation! Once upgraded to a Funded Account, you enter our institutional trading tier where you can begin monetizing your performance through regular payouts.

Payout Milestones & Performance Caps

To ensure stable liquidity management, withdrawals are structured around a scaling schedule based on your funding history and payout cycles.

Understanding the Withdrawal Mechanism

1. The Payout Windows

• Initial Window: You are eligible to request your first payout exactly 10 days after your Funded Account is created.

• Subsequent Windows: After your first successful withdrawal, you can request new payouts every 10 days from the date of your last approved withdrawal.

2. Maximum Profit Share Cap Explained

Your cycle earnings are subject to a maximum eligibility cap based on your initial account size to manage tail-risk. Any profits generated above these percentages will be disqualified from the payout calculations:

• First Withdrawal Example: On a 10,000 funded account, the eligible profit cap is 35% (3,500). You will receive your 70% profit split on this amount, netting you up to 2,450.

• Second Withdrawal Example: The eligible profit cap expands to 45% (4,500). At a 70% profit split, you can withdraw up to 3,150.

• Third & Future Withdrawals Example: The eligible profit cap permanently locks at 50% (5,000). Furthermore, your profit split permanently upgrades to 80%, netting you up to 4,000 per cycle.

3. Verification & Compliance Protocols

Before any funded reward is released to your banking or cryptocurrency destination, you must complete the standard institutional onboarding:

• KYC (Know Your Customer): You must complete full identity verification inside your Lux Trading Firm Portal under the Rewards/Verification tab.

• Payment Details: Ensure your correct bank or cryptocurrency destination details are securely entered and updated in your portal profile.

Q: Are Prediction Markets the same as sports betting?

A: No. While you are forecasting real-world outcomes, you are not placing traditional fixed-odds bets. Instead, you are buying and selling YES/NO contracts whose prices fluctuate in real time between 1 and 99 cents based on market supply and demand, exactly like shares on a stock exchange. You can buy or sell your positions at any point before the market closes.

Q: Why does the platform cap single-trade allocations and wins?

A: These boundaries (1% max risk and 2% max earn per contract) are enforced to eliminate reckless gambling and “all-in” behavior. Our goal is to find traders who utilize structured, thoughtful hedging and risk allocation, which is vital for long-term institutional capital growth. Highly volatile or extremely high-risk “lottery” positions are not permitted.

Q: How do targets process if I have multiple open contracts?

A: Evaluation milestones are processed sequentially based on the order of market resolution (which event finishes first). If your earliest resolved positions successfully touch the +10% target, your account instantly progresses to verification—there is no need to wait for your longer-term open contracts to close. Conversely, if early resolutions trigger a -4% breach, the account is terminated immediately.

Q: How often can I request a payout on a Funded Account?

A: You can request your first payout exactly 10 days after your Funded Account is created. After that, you are eligible to request new payouts every 10 days from the date of your last approved withdrawal. There is no minimum number of trades required to request a payout.

Q: What happens to the profits that exceed the monthly/cycle cap?

A: The cap specifies the maximum eligible profit that can be calculated for a cash withdrawal during that specific 10-day cycle (35% for the 1st payout, 45% for the 2nd, and 50% for subsequent payouts). Any earnings generated above these specific thresholds within a payout window are disqualified and will be permanently removed from the balance during the payout processing. Your account remains active and in good standing as long as you do not breach the 4% drawdown rule.