True Forex Prop Firm Shut Down - Scam?

 Source:  https://www.financemagnates.com/forex/prop-trading-true-forex-funds-shuts-down/

Prop Trading: True Forex Funds Shuts Down

Tuesday, 14/05/2024 | 03:04 GMT+8 by Jared Kirui

• The company has stopped all its operations and plans to permanently close down.
• True Forex Funds mentioned that it was unable to stabilize its financial position.

True Forex Funds has ended its operations and announced plans to permanently close due to financial insolvency. According to a statement on the proprietary trading platform’s official website, the firm was unable to improve its financial situation, leading to the discontinuation of its services.

In February, True Forex Funds announced plans to relaunch its services after ceasing operations due to the alleged termination of its MT4 and MT5 licenses by MetaQuotes.The firm's CEO, Richard Nagy, expressed frustration over the lack of warning and the subsequent challenges faced by traders in the proprietary trading industry. Despite this, the company said it was determined to resume its services, with plans to relaunch in the "week of February 19th."

Reacting to the abrupt closure, one user identified as Banjara on X mentioned: "True Forex Funds has shut down their shop and gone forever. They made millions and paid millions but at the end still it's traders who suffered. Funding gone and payouts blocked. It should be a lesson for other firms to manage risk well."

Another user identified on X as PropFirmDrama said: "True Forex Funds has officially closed down. We sincerely hope the prop firm community helps the traders who suffered from these devastating updates."

Setback from Industry Challenges

Earlier, True Forex Funds mentioned that it was actively seeking the reinstatement of its licenses by MetaQuotes, although Nagy acknowledged the possibility of migrating trading accounts to a different broker if negotiations fail. The company advised users to prepare for any outcome as the firm navigates uncertainties.

In anticipation of the relaunch, True Forex Funds promised users a seamless and superior trading experience. Last month, the firm introduced Match-Trader as a secondary trading platform available in select countries, including Germany, Austria, Sweden, and Hungary. This rollout was reportedly in response to the high demand, with approximately 10,000 accounts waiting for migration to the platform.

The company's representative earlier mentioned: "Our team is working tirelessly to improve our services, ensuring a seamless and excellent experience. While we look forward to launching our cTrader platform, we are committed to synchronizing all accounts, including MetaTrader, to ensure flawless processes and trading conditions."