Melbourne-based Eightcap will change to its offerings to prop trading firms by ceasing brokerage services, effective February 29th. This move by the provider of grey label MetaTrader licenses to
proprietary firms today (Thursday) followed similar moves between several proprietary
trading firms and their brokerage providers.
Matt L. from Lark Funding mentioned on X: “ThinkMarkets has reassured us several times over the last few
weeks that operations on their end and their relationship with MetaQuotes is
solid. But, of course, we’re not going to rely on just
one broker. We’re already in discussions with other brokers to see who we can
work with and provide additional options to traders.”
Source: X
According to another account identified as Blake on X:
“As of this morning, Eightcap has notified all of their prop trading
partners that they will be shutting down their prop firm relationships in 2
weeks. The companies I am personally involved with
are ahead of the pack and already implementing new and more beneficial
alternatives for all traders across the entire industry. More news to
come!”
Finance Magnates reached out to Eightcap and will update this article once we receive feedback from the firm.
Source: X
Similarly, another proprietary trading platform, Funded Trading Plus, has been affected by Eightcap’s decision. According to a post by an account identified as The Prop Journalist on Twitter, the platform has integrated ThinkMarkets to resolve this issue.
Source: X
In a post on LinkedIn on Friday morning, the CEO of Eightcap noted: “The termination of commercial arrangements is not uncommon to us or anyone else in the industry. We have terminated relationships in the past as part of ordinary commercial activities, in similar ways, and to less fanfare.”
A post by Eightcap’s CEO
MetaQuotes Is Making the Move
MetaQuotes, the platform behind MetaTrader 4 and 5, is
tightening its grip on proprietary trading firms, precipitating the termination of
services for US clients. The recent fallout involves Funding Pips and
brokerages Blackbull Markets and Purple Trading, Finance Magnates reported.
MetaQuotes’ actions underscore the challenges
of navigating US regulatory restrictions within the MetaTrader ecosystem. The
termination of services for US clients by Blackbull Markets and Purple Trading
highlights MetaQuotes’ stringent stance regarding prop trading firms
operating in the United States.
The decision to terminate services to prop trading
companies stems from MetaQuotes’ concerns over active US accounts. Proprietary trading
firms, although operating beyond the traditional regulatory scope, are
increasingly targeted due to their technical exemption from US regulations.
Elsewhere, the proprietary trading firm Funded
Engineer recently postponed plans to relaunch its services. This decision comes
after FPFX Technologies terminated its software licenses. Later, Purple Trading also pulled out its brokerage services, prompting Funded
Engineer to switch its brokerage to Blueberry Markets for all client trades.
Funded Engineer has announced refunds for eligible
clients, requiring accounts to have no drawdown greater than 4%. Those with drawdowns
under 4% can request refunds but will lose access to their accounts.
Additionally, the company is addressing a backlog of pending payouts.
Update: This article has been updated with the post of Eightcap.
Melbourne-based Eightcap will change to its offerings to prop trading firms by ceasing brokerage services, effective February 29th. This move by the provider of grey label MetaTrader licenses to
proprietary firms today (Thursday) followed similar moves between several proprietary
trading firms and their brokerage providers.
Matt L. from Lark Funding mentioned on X: “ThinkMarkets has reassured us several times over the last few
weeks that operations on their end and their relationship with MetaQuotes is
solid. But, of course, we’re not going to rely on just
one broker. We’re already in discussions with other brokers to see who we can
work with and provide additional options to traders.”
Source: X
According to another account identified as Blake on X:
“As of this morning, Eightcap has notified all of their prop trading
partners that they will be shutting down their prop firm relationships in 2
weeks. The companies I am personally involved with
are ahead of the pack and already implementing new and more beneficial
alternatives for all traders across the entire industry. More news to
come!”
Finance Magnates reached out to Eightcap and will update this article once we receive feedback from the firm.
Source: X
Similarly, another proprietary trading platform, Funded Trading Plus, has been affected by Eightcap’s decision. According to a post by an account identified as The Prop Journalist on Twitter, the platform has integrated ThinkMarkets to resolve this issue.
Source: X
In a post on LinkedIn on Friday morning, the CEO of Eightcap noted: “The termination of commercial arrangements is not uncommon to us or anyone else in the industry. We have terminated relationships in the past as part of ordinary commercial activities, in similar ways, and to less fanfare.”
A post by Eightcap’s CEO
MetaQuotes Is Making the Move
MetaQuotes, the platform behind MetaTrader 4 and 5, is
tightening its grip on proprietary trading firms, precipitating the termination of
services for US clients. The recent fallout involves Funding Pips and
brokerages Blackbull Markets and Purple Trading, Finance Magnates reported.
MetaQuotes’ actions underscore the challenges
of navigating US regulatory restrictions within the MetaTrader ecosystem. The
termination of services for US clients by Blackbull Markets and Purple Trading
highlights MetaQuotes’ stringent stance regarding prop trading firms
operating in the United States.
The decision to terminate services to prop trading
companies stems from MetaQuotes’ concerns over active US accounts. Proprietary trading
firms, although operating beyond the traditional regulatory scope, are
increasingly targeted due to their technical exemption from US regulations.
Elsewhere, the proprietary trading firm Funded
Engineer recently postponed plans to relaunch its services. This decision comes
after FPFX Technologies terminated its software licenses. Later, Purple Trading also pulled out its brokerage services, prompting Funded
Engineer to switch its brokerage to Blueberry Markets for all client trades.
Funded Engineer has announced refunds for eligible
clients, requiring accounts to have no drawdown greater than 4%. Those with drawdowns
under 4% can request refunds but will lose access to their accounts.
Additionally, the company is addressing a backlog of pending payouts.
Update: This article has been updated with the post of Eightcap.