Prop trading firm The Funded Trader today said it is still working to get its business back on track and has made some headway with payouts.
After taking a pause on March 28, the prop trading firm updated its community on August 21, 2024, about the progress they’ve made.
“Over the past five months, we have been working diligently to stabilize our operations, relaunch our products, and fulfill our commitment to all traders who have continued to support us by purchasing new challenges and redeeming coupons from our relaunch,” the statement reads.
The Funded Trader claims it managed to process 30% of the payouts owed to traders and 55% of affiliate payouts. Plus, 70% of accounts that were owed to traders have been restored. The firm is also addressing issues related to accounts breached due to inactivity in 2024 and is currently reviewing 2023 activities to identify more traders eligible for account restoration.
That said, there are still some big problems that need fixing. These include accounts breached on March 28 without receiving compensation, wrongful account breaches on the DXtrade platform due to server errors, and the reassessment of affiliate payouts and those denied due to risk reviews.
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“Please be aware that while we are currently operating without live chat, our ticketing system is fully functional, and our dedicated team is working around the clock to address your concerns. We appreciate your patience and confidence as we work to resolve these issues and improve our product offerings,” the company explains.
The latest update follows earlier announcements where The Funded Trader detailed measures it has taken to get things up and running again. The company mentioned that pending withdrawals would go through Rise Works, with payments sent to crypto addresses submitted before March 28. The platform also added new cryptocurrency options like TRC20, ERC20, and Polygon to their dashboard.
Even with the progress, the firm admits that it’s taking longer than expected, and there’s still a lot to do. To improve customer support, The Funded Trader launched a new ticketing system to better handle user inquiries.
The company also shared that they’re transitioning to new ownership in the Cayman Islands, with future profits aimed at supporting operations or charitable causes.
In the lead-up to today’s update, The Funded Trader faced a lot of criticism from users who reported account closures and breaches, especially after the firm paused payouts for an ‘internal audit.’ The prop firm blamed some of their issues on a move away from MetaTrader platforms, following MetaQuotes’ crackdown on unlicensed services for U.S. retail clients.
Because of these challenges, PropFirmMatch, a site that rates proprietary trading firms, suspended The Funded Trader from its recommendations due to reports of account access issues, unwarranted drawdown violations, and long delays in trade executions.
The Funded Trader has promised extra compensation to affected traders and is working on resolving the issues while trying to rebuild trust with its community.
The Funded Trader, known for providing capital to traders willing to navigate “volatile markets” under its “stringent guidelines”, has been a key player in the prop trading industry. However, early signs of trouble began to surface in January when customers reported experiencing slippage in their trades, followed by a slew of complaints regarding payout denials and other operational issues on platforms such as Trustpilot. These incidents have raised alarms and questioned the firm’s reliability and transparency.
