The volatility in proprietary trading has claimed another victim. Funds For Traders has announced to its users that it will be ceasing operations. The company blamed the suspension of services on Eightcap's decision to stop supporting MetaTrader 4 and MetaTrader 5 platforms for prop trading.

Suspension of MT4 and MT5 Platforms

“We regret to inform you that as of today, we will be ceasing all operations at Funds For Traders. This decision was made after receiving news from Eightcap that they would no longer be supporting the MetaTrader 4 and MetaTrader 5 platforms for prop trading. Unfortunately, this means that we can no longer offer these platforms to our users,” the company wrote on X.

The statement further said, “To all our incredible traders, it's been an honor to be part of your journey. Together, we've changed lives globally. Thank you for your trust during your adventure with us. Wishing you continued success in all your future endeavors.”

To all our incredible traders, it's been an honor to be part of your journey. Together, we've changed lives globally. Thank you for your trust during your adventure with us.
Wishing you continued success in all your future endeavors! ❤️ pic.twitter.com/vSkVFiizjZ

— Funds For Traders (@fundsfortraders) August 15, 2024

Despite the abrupt announcement, the company has assured users with active challenges that they will be contacted and supported accordingly. This action came barely a week after another prop trading firm, Karma Capital, unexpectedly closed its operations.

More Prop Firms Fall

According to the company's Founder, reliance on a promised tech solution from an unnamed provider that failed to materialize contributed to the decision to end the business. This delay reportedly drained costs for about four months. Karma also disclosed that their risk checks were not adequately implemented in the company.

Another firm gone, @karmaproptrader...

Website no longer operating, Discord chats are closed.

Drop your thoughts in comments 👇 pic.twitter.com/MS4JViTegP

— TheTrustedProp (@TheTrustedProp) August 11, 2024

Last month, Funded Engineer, another struggling prop trading firm, permanently closed its operations and announced plans to file for bankruptcy Bankruptcy Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Read this Term. In its announcement, the company told users that it had tried every possible option to remain in business, including restructuring, cost-cutting, and raising capital, but failed.

Similarly, True Forex Funds was forced to end its services due to insolvency. The prop trading company also cited efforts to improve its financial health but was unsuccessful. Earlier, the platform announced plans to relaunch operations. In its announcement, it blamed MetaQuotes for allegedly terminating its MT4 and MT5 licenses.