What Documents Do Prop Firms Ask For in KYC Before Your First Payout?
Direct answer
Prop firm KYC documents (FTMO example)
Expect to show a government-issued photo ID and a recent proof of address, and sometimes more. Using FTMO's published process as the example: individuals need an ID document showing nationality, a passport or national ID card (driving licences and residence permits aren't accepted), plus proof of address no older than six months, such as a bank statement, utility bill or lease. Traders contracting as an entrepreneur or company also go through business checks: registration documents no older than 12 months and details of owners above 25%. FTMO's identity step becomes available after you meet the trading objectives on 1-Step or 2-Step accounts, and comes at the first reward request on its Instant Account. Checks usually take under one business day for individuals and up to three for companies.
- ID showing nationality: passport or national ID card (no driving licence, no residence permit)
- Proof of address no older than 6 months: bank statement, utility bill, lease…
- Companies: registration documents no older than 12 months, owners above 25%
- Timing: after passing (1-Step/2-Step) or at first reward request (Instant)
- Review: usually under 1 business day (individuals), up to 3 (companies)
- FTMO cannot contract with nonprofits or trusts
Passing the challenge is the hard part, but the first payout often stalls on paperwork. A blurry bill or the wrong kind of ID can add days. Here's what to have ready before you pass.
What people on X are asking
In February 2026 a trader asked another, in mixed Swahili and English, whether prop firms ask for proof of address during KYC verification. In November 2025 someone asked which prop firm doesn't require proof of address during KYC. And in January 2026, after a reported case of a banned trader trading again, a commentator noted that most major prop firms rely on similar third-party KYC providers, asking why it wasn't caught before the payout request. All three come back to what firms check and when.
The fact-checked answer
Why firms do KYC at all. Before paying money to a trader, a firm needs to know who it is contracting with, check sanctions and stop people holding banned or duplicate accounts. KYC ("know your customer") is the standard term. Regulated financial firms have formal duties; in the US, FinCEN's customer due diligence rule requires covered institutions to identify and verify customers and beneficial owners of companies. Prop firms that only offer simulated trading sit outside many of those regimes, but large ones run similar checks, often through specialist providers.
When it happens (FTMO). FTMO calls its process FTMO Identity. For 1-Step and 2-Step accounts it becomes available once you have met the trading objectives, before the FTMO Account contract. For the FTMO Instant Account it happens at the first reward request. So you can't "get through KYC later" on the standard path: it sits between passing and being funded.
Documents FTMO asks for, by how you contract
From FTMO's legal-relationship and FTMO Identity FAQs, read November 10, 2026. Driving licences and residence permits are not accepted as the ID document. Other firms' lists differ. Tap a column header to sort.
| Natural person | Government ID showing nationality: passport or national ID card | Proof of address no older than 6 months (bank statement, utility bill, lease and similar) | n/a |
| Entrepreneur | As above | As above | Business registration documents no older than 12 months |
| Company | Business checks (KYB) | Company documents | Registration documents no older than 12 months; ultimate beneficial owners above 25% |
| Nonprofit or trust | FTMO cannot contract with these |
How long it takes. FTMO says compliance checks usually take under one business day for individuals and up to three business days for companies. Delays usually come from documents that don't match: a different name spelling, an old address, an expired ID, a cropped scan.
Is there a firm without proof of address? The X question has no reliable answer, and it's the wrong goal. Address checks exist to confirm identity and sanctions status; a firm that pays out with no checks may also be weaker on other controls. If you can't get a bill in your name, ask your firm what alternatives it accepts, such as a bank statement or tax letter, before you buy a challenge. See how to spot a prop firm scam.
Banned and duplicate accounts. Identity checks let firms match people across accounts, so a banned trader can be caught at KYC, which at many firms only happens near the payout stage. That is why using someone else's documents, or another person's account, usually ends with a refused payout. Topstep's payment terms, for example, require cards in your own name; firms apply the same logic to identity.
UXS decision diagram
From passing to first payout: the KYC steps
Text version of the diagram
- Have you met the trading objectives (or requested a first Instant reward)? If no: KYC isn't available yet at FTMO; keep trading within the rules
- Do you have a passport or national ID card showing nationality? If no: Get one; driving licences and residence permits aren't accepted
- Is your proof of address under 6 months old and in the same name? If no: Download a recent bank statement or utility bill
- Are you contracting as a company? If yes: Add registration documents under 12 months old and owners above 25%
- Otherwise: Submit; review usually takes under 1 business day for individuals
Diagram drawn by UXS. A simplified decision aid for education, not a recommendation.
Privacy. You are handing over sensitive documents. Use the firm's official portal only, never send ID by chat or email to someone claiming to be support, and check where the firm is registered; see are prop firms regulated. Once KYC is done, payout timing and splits depend on the contract; see do prop firms actually pay out, what a profit split is and whether funded accounts are real money.
Free PDF
Prop firm KYC checklist (PDF)
Prepare these before you pass, so the payout isn't delayed.
Identity
Address
If contracting as a company
Before submitting
- Full-page, uncropped, readable scans
- Same name spelling everywhere
- Upload only through the firm's official portal
- Keep copies of what you sent and when
Fill-in fields in the PDF: ID type (passport or national ID card) and expiry date; Name exactly as on the ID; Proof of address type and date (under 6 months); Name and address match the ID and account; Registration documents date (under 12 months); Owners above 25%.
Download the PDF (44 KB, made by UXS, no sign-up)
Decision helper
| Problem | Fix |
|---|---|
| Only a driving licence | Use a passport or national ID card |
| Bill older than 6 months | Download a recent bank statement |
| Name mismatch | Use documents with identical spelling |
| Company account | Prepare registration and owner details |
Common mistakes
- Waiting until after passing to find documents.
- Sending a driving licence where it isn't accepted.
- Using an old or partial proof of address.
- Sharing ID outside the official portal.
FAQ
What documents do prop firms need for KYC?
Usually a passport or national ID and a recent proof of address; companies need more.
Do prop firms require proof of address?
Large firms such as FTMO do: no older than six months.
Is a driving licence accepted for FTMO KYC?
No; FTMO accepts a passport or national ID card showing nationality.
When do you do KYC at FTMO?
After meeting the objectives on 1-Step/2-Step, or at the first reward request on the Instant Account.
How long does prop firm KYC take?
At FTMO, usually under one business day for individuals and up to three for companies.
Can a trust or nonprofit get an FTMO account?
No; FTMO says it cannot contract with them.
Sources
- FTMO: What is FTMO Identity and when do I complete it?
- FTMO: Legal relationship between an FTMO Trader and FTMO
- FinCEN: Customer due diligence requirements
- FTMO: FAQ
Facts checked November 10, 2026. X posts are cited as evidence of the question, not of the answer.