Exclusive: Prop Trading Firm FTMO Halts US Client Acquisition amid MetaQuotes Crackdown (2024)

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Exclusive: Prop Trading Firm FTMO Halts US Client Acquisition amid MetaQuotes Crackdown? ›

Amid a Crackdown on MetaQuotes, Prop Trading Firm FTMO has Stopped Acquiring New US Clients. Clients have been informed by the company of the switch to the new DXtrade platform. When trying to register using a US IP address, new traders discovered that the registration form was incomplete.

The MetaQuotes move indicates that the company is very cautious when it comes to offering services using its platform to US clients. The two MetaTrader apps were banned on Apple's App Store in 2022 for their alleged use by fraudsters targeting the US citizens and residents.

Prop trading firms have been shutting down or suspending their services, particularly to U.S.-based clients, because of a crackdown from MetaQuotes, the company behind the popular MetaTrader trading platforms.

FTMO MetaTrader 4 (MT4) is a widely used electronic trading platform in the realm of online retail foreign exchange trading. Developed by MetaQuotes Software and launched in 2005, MT4 is licensed to foreign exchange brokers who offer it to their clients.

MetaQuotes, the developer of popular trading platforms MetaTrader 4 and MetaTrader 5, is cracking down on several prop trading firms such as Ftmo, the5ers, etc., and forcing many brokers to terminate their services (if these firms do not comply). This decision has had a negative impact on most prop traders in the US.

MetaQuotes, the company behind the popular MetaTrader 4 (MT4) and MetaTrader 5 (MT5) trading platforms, abruptly started cracking down on prop trading companies that were using their platforms without proper licensing. Many of these prop firms were servicing US-based clients without authorization from US regulators.

Over the past few months, MetaQuotes has tightened its grip on licensing policies, particularly impacting those operating with Grey Labels – brokers who share their platforms with other companies. This shift culminated in a major policy change in October 2022, with MetaQuotes discontinuing their White Label offerings.

Having successfully operated since 2015, we provided thousands of clients with their FTMO Accounts, and in total, we have paid out over $160 million. We've also been featured in Forbes and awarded by Deloitte and EY multiple times.

Statistics on Average Trader Payouts

Profit Split: The average prop firm will offer a 80-20 profit split once you become a funded trader. TFT, on the other hand, gives up to a 90% split, — even as high as 95% in some promotions — the highest in the industry.

In my opinion, TopStep is one of the best except FTMO. Traders Union ranks it among the best proprietary trading firms, with a score of 9.65 out of 10.

Does FTMO really pay? ›

Even though FTMO Traders trade with fictitious capital only, they are entitled to obtain a reward in the form of real money if they can generate “profit” on an FTMO Account.

There is estimated to be a 90% fail rate of traders that take the FTMO challenge. The reason behind this is due to traders chasing the profit target with a time restriction in place. A trader doesnt know when a winning streak might occur, or when they may take a string of drawdowns.

FTMO offers its traders the most popular trading platforms, MetaTrader 4 and 5, as well as cTrader.

FTMO is a leading firm in the field of modern prop trading based in the Czech Republic.

Trading. Over the year, we have created more than 960,000 trading accounts through our platform for you. This total includes all FTMO Challenges, Verifications, FTMO Accounts, and Free Trials. More than 90,000,000 trades were executed on all accounts in 2021, indicating a reasonably active approach to trading.

The Risks of Unregulated Brokers

Unregulated brokers, such as Hugo's Way, Hano Trade, and Kot4x, pose significant risks to traders. Operating without regulatory oversight, these platforms can engage in questionable business practices, jeopardizing the safety of traders' investments.

No, the platforms aren't banned. Not sure if it's even possible to ban some specific software in the US. However, it looks like some prop firms stopped working with brokers that provided MT4/MT5 platforms.

In September 2022, a ban on the MT4 and MT5 apps in Apple's App Store, which affected all markets, made headlines. Though the reasons for the decision were unclear, there was speculation that it was related to trading scams published in the iOS app store, impersonating popular trading platforms.

MetaTrader 4 has not been without controversy though. In September 2022, both MT4 and MT5 were removed from Apple's app store, much to the chagrin of global traders. The reason for this was reportedly a non-compliance issue with the App Store review guidelines.