Exclusive FNG… FNG has learned that Hungary-based online trading company True Forex Funds has ceased operations, at least temporarily, after MT4 / MT5 company MetaQuotes terminated its trading platform licenses.
True Forex Funds becomes the second well-known name in the backer fund sector among FX and CFD traders to cease operations in recent months, after US and Canadian regulators shut down Canada’s My Forex Funds last September.
True Forex Funds is located in the USA The CFTC RED List since last June, to solicit and/or accept funds from US customers. The CFTC’s RED (Registration Incomplete) List contains names of foreign (ie non-US) entities that appear to be acting in a capacity that requires registration with the CFTC, but are not registered with the CFTC.
While True Forex Funds claims it was unfairly cut from MetaQuotes (see below), veteran FX industry watcher and analyst Kathy Lien of BKTraders believes MetaQuotes’ move may be linked to the banning of MT4 and MT5 trading applications in September 2022. Apple App Store and subsequent March 2023 reset.
Kathy Lien just posted the video below explaining her views on the three reasons why she believes True Forex Funds closed and what this might mean for the prop trading industry as a whole.
True Forex Funds posted the following note on its website (which is otherwise unavailable), signed by CEO Richard Nagy, regarding its temporary shutdown:
Dear traders
For some absurd reason, MetaQuotes has terminated our licenses, and therefore, we have to temporarily freeze our services. Our team is working hard on a plan to continue providing our services.
The unexplained reason for the termination is the use of a third-party provider for stock synchronization purposes, which allegedly has not connected to the MetaTrader client terminal in a manner fully acceptable to MetaQuotes. True Forex Funds has been using the mentioned third party service since 2021 without any complaint from MetaQuotes.
MetaQuotes did not give any prior warning, nor did it provide any opportunity to replace the unwanted provider, although it is obvious that in no industry is it possible to investigate the source code of the partner, provider or any supplier to prove their legitimacy.
We would like to assure you all that despite all the turmoil, we will never back down and you will be able to continue your journey where it left off. Our team is constantly trying to convince MetaQuotes to keep our licenses. If unsuccessful, we will attempt to transfer your trading accounts to a broker.
We would like to apologize for this disaster, a force majeure event that occurred for reasons beyond our control. Please note that the remaining payments will be settled once the platform is unfrozen.
If the worst case scenario happens and we have to migrate to another broker’s server, we will face a problem with the offered symbols discrepancies, which makes it difficult to migrate open positions. Close your positions before the market closes. Otherwise, they will close automatically.
Once again, please note that once the solution is implemented, you will be able to continue your trading journey with True Forex Funds. Your support means a lot to us.
We’ll keep you posted.
Richard the Great
CEO