How do prop firms make money, is it from selling challenges?

@kemi_allen_omevia - 3 months ago - Forex Education

I think it is high time I asked this question. How do prop firms really generate their revenue? I find it absurd that people say they depend on profit splits with traders because so many prop firm traders fail.

@liam_calgary - 3 months ago

i am also not buying that profit split lie that prop firms tell. I bet you prop firms hope you fail so you can buy another challenge while they smile to the bank.

@mr_casey - 2 days ago

Its obvious they make their money from people who keep failing and buying challenges again. The entire brokerage industry depends on failure rate to make money. If everybody kept winning in their trades, prop firms/brokers will go out of business.