DislikedRealistically, I think 20-30K would work for FTMO & TFT but it's way too high for firms like e8 or my flash.Ignored
I think, if these firms could adopt a new model that is either subscription-based, or, structure it similarly to futures props, where you have many smaller accounts, then it might be viable.
Both, a subscription-based model, or, a model with many smaller but cheaper accounts, would help to create a more steady stream of cash-flow, which is the lifeblood of this business. Having many smaller accounts would force traders to have to take more challenges for the same amount of funding, which could significantly increase the firm's profit margins.
Let's say $30 for an account that offers 1k of draw-down allowance. If my math is correct, that is equivalent to a 100k account that offers 10k of draw-down for $300. In order to max-out capital with the $30 accounts, you would need to purchase 40 challenges (or whatever; firms can set their max allocation).
Most traders are not going to have 1.2k to go all-in and use a copier, which will force them to purchase accounts separately in order to build up to that point. The more challenges, the more turnover, meaning more profit, for the same amount of funding.
Even if the accounts are significantly cheaper, it should work out in the firm's favor, given the statistics on passing 2-phase challenges.
I can only speculate, though. I have no idea. It's interesting to think about and I am hopeful that this space will evolve to something that is more stable and reliable.
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