The prop trading industry has been in a state of chaos for most of the year due to the platform issues, My Forex Funds lawsuit and the US regulators cracking down on online prop trading.
It’s now more important than ever to do your due diligence when it comes to partnering with an online prop firm. There are many factors to now consider which I will go over in this article and also provide a solution, FunderPro.
I’m going to break the article down into three sections and explain how FunderPro have solved these issues.
- The issues of US Traders
- The trading platform problems
- The ethical and legal standpoint of “Virtual Trading”
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- Part 1 – Does FunderPro Accept US Traders and Which Countries Are Banned?
- Part 2 – Does FunderPro Rely on MetaTrader or Other Third-Party Trading Platforms?
- Part 3 – Does FunderPro Give Their Traders Live Funds?
- The Conclusion – Why Choose FunderPro
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Part 1 – Does FunderPro Accept US Traders and Which Countries Are Banned?
Short answer: Yes, FunderPro is still accepting US traders.
One major issue in the industry at the moment is for US-based traders. A large portion of prop firms have completely restricted US traders – but why?
There are multiple factors affecting this situation, most of which originated from the closure and following lawsuit brought against My Forex Funds in late 2023. This started a chain reaction of cautionary actions, the most damaging of which was by MetaTrader who once provided trading tech for 95%+ of online prop firms.
There has been little in the way of explanation from MetaTrader regarding their concerns, but it seems to be a reaction response to the US regulator’s lawsuit against MFF.
Ultimately the industry needs to find new alternatives. The exception to the rule appears to be firms who had already invested in their own brokerage licences, but even this may soon change.
The other, more permanent solution is for firms to build their own platforms and other backend tech, which we will discuss next.
What are the restricted countries?
Unfortunately, we are unable to offer our services to the following countries:
Afghanistan, Botswana, Burma (Myanmar), Democratic Republic of Congo, Crimea, Cuba, Ethiopia, Iran, Iraq, Lebanon, Libya, Kenya, North Korea, Pakistan, Republic of the Congo, Somalia, Sudan, Syria, Trinidad and Tobago, Tunisia, Vietnam, Yemen, or Zimbabwe.
Funded Trader Program. Real Funds, No Time Limit | FunderPro
Short answer: No FunderPro does not rely on third-party platforms. FunderPro is part of the RedAcre group and has access to custom-built tech.
As mentioned, a lot of the issues facing the industry at the moment revolve around trading platforms. MetaTrader is no longer an option for many firms, most of which were forced to stop using MT4 and MT5 with immediate effect. This left many firms in a difficult spot.
Most firms switched over to DXTrade and CTrader. This hasn’t been without issue though, with the scale of migrating traders creating a multitude of issues for these platforms, ultimately bringing bad trading conditions to these traders.
So what’s the solution? TradeLocker.
TradeLocker, this platform was developed before the MFF case and MetaTrader issues. It was created by RedAcre who is the company behind FunderPro. This puts FunderPro in an incredibly strong position to offer prop traders a reliable solution and much better trading conditions.
TradeLocker also benefits from having a TradingView integration as well as a smooth, easy-to-use user interface.
You can read more about TradingView here.
Part 3 – Does FunderPro Give Their Traders Live Funds?
Short Answer: Yes – funded traders at FunderPro are provided access to real capital which is trading on live markets.
This has been another point raised by many. Most traders don’t consider the underlying business model of the firm they join – this is a mistake.
The My Forex Funds case has uncovered the shady tactics used by some (even most) of online prop firms. Traders were told that MFF would only profit when they do – this was a lie.
It turns out that the majority of the company’s profit was generated from the evaluation fees. Only a very small minority of traders were being copied and used to generate revenue for the business. This creates an unhealthy scenario where as the traders’ profit, the business loses.
This caused many issues for the prop traders such as:
- Profitable traders being banned or refused payouts.
- Trading conditions made worse intentionally such as increased slippage (“Slip them to hell” for those who know)
- Accounts being manually breached with little explanation
- Countries with low profitability for the business being banned
Generally, when partnering with someone who is offering you trading capital, it’s ideal for the interests of both parties to be aligned. When you make money, so should the company. This encourages the prop firm to provide you with the best possible conditions and support.
In comes FunderPro. This firm provides all its funded traders with live capital; every time.
By providing live capital, FunderPro makes money when you do and loses money when you do. This eliminates all the issues that 100% demo/virtual prop trading firms have. It also provides peace of mind that you do not have to fight against the markets and artificially hampered trading conditions.
The Conclusion – Why Choose FunderPro
Whilst we have been working with FunderPro for quite some time, we strongly feel they are now best placed to serve online prop traders globally. Their heavy investment in their tech and brokerage solutions has built a robust and solid solution for the online prop trading industry.
Furthermore, their business model is transparent and aligns with that of their traders. The importance of this is becoming clearer each day as more firms make headlines by cheating their traders.
In 3-6 months we reckon many prop firms will disappear from the industry but one thing is for sure, FunderPro won’t be one of them.
Discount Code Available – 20% Off All Challenges
Looking for start a challenge with FunderPro? Use code “clubfunded2024” at checkout to claim 20% off, limited time only. Alternatively, code “PTC10” will provide a 10% discount.
