If you trade 0. 1 lot, it's 50 dollars.
0. 1 hand means that your amount will fluctuate by $50 for every point.
The system decides that if your capital is less than 25%, it will explode.
In other words, 25% of 500, if your account is less than 125, will explode, which means a loss of 375$, or 7.5 points.
You can't afford to play with the money in your account. If we use 1: 500, there is still hope.