The Trader Forge has announced a temporary pause in all operations due to unforeseen circumstances. This decision affects all aspects of the business and comes as a disappointment to clients and stakeholders.

In a message from the CEO, the firm acknowledged the frustration this may cause. The CEO expressed regret for any disruptions experienced by clients and offered an apology for the situation.

Compliance Challenges

According to the message, 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 and regulatory issues are significant factors contributing to these delays. The CEO requested understanding as the firm worked to address these matters. The timing of the launch coincided with these unexpected obstacles, which has complicated the situation further.

Despite these challenges, The Trader Forge aims to resume operations smoothly on August 1. All accounts and account types will be included in this restart, regardless of the clients' geographical locations. This includes clients in Europe, Africa, Asia, and Italy.

Additionally, the company announced a new partnership with Horizon Capital. This collaboration will introduce the “Kronos and Kratos” challenge, set to begin in the first week of August. The CEO acknowledged that launching new technology in this industry has proven more difficult than expected. Past mistakes have affected the firm’s reputation, and the CEO accepted responsibility for these errors.

.@TheTraderForge temporarily pauses its operations.

Your thoughts!? 👇 pic.twitter.com/q8VVWRRADv

— TheTrustedProp (@TheTrustedProp) July 17, 2024

Future Regulations for Prop Firms

Dr. George Theocharides, Chairman of the Cyprus Securities and Exchange Commission, stated while talking to Finance Magnates at iFX EXPO 2024 that prop trading firms will face increased scrutiny in the coming years.

He indicated that these firms may eventually fall under a strong regulatory framework. Recently, the European Securities and Markets Authority began examining prop trading firms and considering potential regulations.

The Czech regulator also noted that these firms might be subject to MiFID. However, Dr. Theocharides emphasized that discussions among regulators are still in the early stages, and it’s premature to predict the specific regulatory framework for prop trading.