Propr announced it on X in one line: daily drawdown is now determined by account balance, not equity. That sentence is going to cost people their accounts, not because it is false, but because of what it leaves out.
The short version. The daily loss limit now scales on your realised balance. The breach is still checked against your equity, floating P&L included. If you read the announcement as “unrealised losses can’t kill me anymore”, you have read it backwards.
What the rulebook actually says
The changelog entry is dated 21 July 2026 and titled “Drawdown Anchored to Realized Balance”. Two mechanics changed.
1. The daily loss limit is now a floor, not a fixed number. It is calculated as the percentage of the greater of your starting balance and that day’s starting balance:
Daily Loss Limit = Daily Loss % × max(Starting Balance, Day-start Balance)
On a $100,000 2-Step at 5%, that is $5,000 while your balance sits at or below $100,000. Bank realised profit to $105,000 and the allowance rises to $5,250. Draw down to $95,000 and it stays at $5,000 — it does not shrink with you. That asymmetry is the whole point, and it is worth appreciating: a pure balance-based rule would have handed a losing trader a progressively tighter allowance, tightening the screws precisely when they are already struggling. This does the opposite.
This also reverses the v1.0.2 behaviour from April, where the limit was pinned to the starting balance and never moved at all. If you have been trading Propr since spring, the number you memorised is now a minimum.
2. The 2-Step High Water Mark now tracks realised balance. Previously the trailing drawdown followed your highest equity. Now it follows your highest closed-trade value. Floating gains on an open position no longer push the HWM up.
That fixes a genuinely nasty trap. Under the old rule, a position that floated to +$3,000 and then came back to flat had permanently raised your floor by $3,000 — you were punished for profit you never actually collected. That no longer happens.
The part the announcement doesn’t say
Here is the line from the changelog, verbatim in substance: breach enforcement is unchanged and remains equity-based; a floating loss can still breach an account at any time.
So the system is deliberately asymmetric, and you need to hold both halves in your head at once:
- Your allowance is computed from realised balance — closed trades only. An unrealised gain does not give you more room today.
- Your breach is computed from equity — floating P&L included. An unrealised loss can end the account this second.
Read that as a design choice rather than a gotcha: unrealised profit never helps you, and unrealised loss always hurts you. It is conservative, it is consistent, and it means the only number that ever expands your budget is money you have actually banked.
What to change in your risk model
If you run a bot or a spreadsheet with a hard-coded daily figure, that figure is now a minimum that drifts upward. Two practical consequences:
- Recompute the allowance from your day-start realised balance, not from the account size you bought. On a grown account you are leaving room on the table otherwise — which is fine and safe, but it is no longer accurate.
- Keep your stops real, not mental. Nothing about the breach trigger has softened. The floor is still day-start equity minus the limit, still checked on every tick, still with no grace period.
If you want the full mechanics with worked examples for both formats, they are in the Propr rules guide, which is updated to v1.0.4. The drawdown calculator will show you where your floor sits today, and the Propr data sheet carries every current figure with its source.
Is this a good change?
Yes, on both counts, and I say that as someone who has been openly critical of Propr’s 80% split being beaten on paper by competitors. Neither of these two changes benefits the firm. A daily allowance that grows with your profit and a High Water Mark that ignores your unrealised gains both hand room back to the trader.
What I would still like to see is the announcement matching the rulebook. “Balance, not equity” describes half the system and omits the half that closes accounts. The changelog itself is precise; the tweet is not. If you are trading real size, read the changelog.
FAQ
What changed in Propr rulebook v1.0.4?+
Two things, both dated 21 July 2026. First, the maximum daily loss is now a percentage of the greater of your starting balance and that day's starting balance — so it is floored at the starting allowance and grows once you bank realised profit, reversing the fixed-limit behaviour introduced in v1.0.2. Second, the 2-Step trailing drawdown now trails your highest realised balance instead of your highest equity, so floating gains on an open position no longer push the High Water Mark up.
Does this mean floating losses can no longer breach my account?+
No, and this is the single most important thing to get right. Breach enforcement is unchanged and remains equity-based. Your account is still checked against live equity including unrealised P&L, so an open position moving against you can still breach you instantly. Only the calculation of the limit moved to a realised basis — not the trigger.
Is the change good or bad for traders?+
Good on both counts, and genuinely so. A daily allowance that never shrinks below the starting amount protects you exactly when you are already losing, which is when a percentage-of-current-balance rule would tighten the screws. And a High Water Mark that ignores unrealised gains means giving back open profit no longer permanently raises your floor.
Do I need to do anything to my existing account?+
Nothing administrative — the changelog states the update applies to accounts, and Propr's stated policy is that rules are never changed retroactively. What you should change is your risk model: if you hard-coded a fixed daily dollar figure into a bot or a spreadsheet, that figure is now a minimum rather than a constant, and it will drift upward as you bank profit.
⚠️ Source: the official Propr rulebook, changelog entry v1.0.4 dated 21 July 2026, read on 26 July 2026. Trading leveraged products carries a high risk of loss and most crypto prop firms are unregulated offshore entities. This page contains affiliate links to Propr.xyz — we earn a commission on sign-ups, at no cost to you. Nothing here is investment advice.