HotForex Latest Broker to Drop ZuluTrade

HotForex, a broker regulated by the Financial Services Commission of Mauritius under the name HF Markets Ltd., has now become the latest FX broker to stop supporting the ZuluTrade platform.

In an announcement to its clients posted on HotForex's website, the company said that starting January 4th, 2014, it will no longer be offering the ZuluTrade Platform as a product, as a result of "recent events surrounding the ZuluTrade Platform and MetaQuotes."

The announcement is presumably referring to the publication by MetaQuotes urging brokers to terminate their relationships with third party developers who they claim ‘hacked’ their MT4 platform, in order to nudge them into offering MetaQuotes' competing signal trading service. Last Month, Alpari RU terminated its operation with ZuluTrade, and substituted it with MetaTrader Signals, a sign that this strategy is working.

ZuluTrade's CEO, Leon Yohai has denied the hacking allegations by the Russia-based MetaQuotes company, speaking with Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term Magnates in June. But, the MT4 platform's remaining dominance in the market seems to allow its developer MetaQuotes to effectively pressure brokers into Compliance Compliance In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a Read this Term.

HotForex traders using ZuluTrade must now close all their positions prior to January 4th or they will be closed at market prices on that date. The company apologized for the inconvenience to clients and promised it will be launching new social trading services in the near future. No word has been given yet as to what social trading service the broker is looking to offer.

Mr. Yohai goes into further detail on this matter on the Forex Magnates Meet The Experts forum.