The $25,000 PDT Rule is GONE in June 2026!
The PDT rule will be eliminated on June 4, 2026, and Cobra Trading intends to be ready on day one.
FINRA has approved the removal of the longstanding $25,000 minimum equity requirement for pattern day trading. With the SEC’s final approval, this restrictive 2001 rule will be permanently eliminated on June 4, 2026. Cobra Trading stands fully prepared to implement the updated regulation, enabling our clients to day trade without the legacy capital threshold.
Frequently Asked Questions
When will the new rules go into effect?
The PDT rule will be eliminated on June 4, 2026, and Cobra Trading intends to be ready on day one.
What will the new account minimum be at Cobra Trading?
Under FINRA’s new intraday margin rule, the $25,000 Pattern Day Trader minimum equity requirement has been eliminated. The base minimum equity requirement for a margin account remains $2,000 under Rule 4210. Cobra Trading may set higher minimums, but we also intend to offer a product designed for customers trading with the updated $2,000 minimum framework.
Will the “4-day trades in 5 days = PDT flag” still exist?
No. Under FINRA’s rule change, the Pattern Day Trader definition has been removed, including the “4 day trades in 5 business days” standard. The old day trading margin framework has been replaced by new intraday margin standards under Rule 4210.
Will I get more leverage?
Qualified daytrading accounts will have 4:1 Reg-T intraday (2:1 overnight) on liquid stocks, exactly what Cobra already offers clients above $25k today. The primary change with removal of PDT will allow unlimited margin trades instead of the current 3 round-trip trades in a 5 day period.
Is there still risk of margin calls or liquidations?
Yes.
Who can I contact for more information?
You can hop in our Live Chat or email us at info@cobratrading.com