Between February 2024 and the end of 2025, an estimated 80 to 100 proprietary trading firms shut down — the largest industry collapse in prop trading history. Some closures were sudden. Some were drawn-out cash-flow failures. A handful followed regulatory action. Most simply ran out of road when the platforms they depended on cut them off.
This is the definitive reference list, verified against court filings, regulatory actions, official company statements, and primary news coverage from Finance Magnates, Brokeree Solutions, FPFX Tech, and the CFTC. Every firm listed here has a documented closure or pause event. Where data is uncertain, we say so explicitly.
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The 2024 Collapse: The Big Picture
For most of 2015 to 2023, the retail prop firm industry was a high-growth phenomenon. Search interest grew 1,264% between December 2015 and April 2024 (per FinTechStatistic / Google Trends data). The market size reached an estimated $20 billion globally. Anyone with a website and a payment processor could launch a "prop firm," collect challenge fees, and serve traders on a borrowed MetaTrader 4 or 5 server.
Then, in February 2024, everything changed. MetaQuotes — the company behind MT4/MT5 — began revoking trading platform licenses from prop firms serving US clients or operating without proper broker relationships. Within weeks, household names collapsed. By the end of 2024, between 80 and 100 firms were gone, according to Finance Magnates Intelligence. Brokeree Solutions, in a verified Q1-to-Q4 2024 study of 82 firms, found only 71 remained operational — an 86.6% survival rate.
What looks like a sudden collapse was actually structural. The industry had built itself on infrastructure it didn't control (MetaQuotes platforms, third-party brokers like Eightcap and Match-Trader, lightly-regulated payment processors). When that infrastructure stopped serving prop firms, firms with no backup plans and minimal reserves simply ran out of time.
The reality for affected traders: When a prop firm shuts down, your funded account balance, pending payouts, and challenge fees often go with it. There is rarely meaningful recourse. Multi-firm diversification is the single most reliable protection — but only if you diversify into firms with the operational stability to survive industry shocks. See our analysis of whether prop trading is a scam for the full context.
The Complete Shutdown List (Verified)
The table below covers every documented prop firm closure with verifiable primary-source reporting. We've prioritized firms with at least 1,000+ paying customers or significant industry footprint. Smaller closures are listed under their parent category where information is available. Sortable by year — most recent first.
| Firm | Closed | Country | Primary Cause | Status |
|---|---|---|---|---|
| FundingTicks | Jan 2026 | — | Strategic wind-down following December 2025 rule-change backlash (one-minute scalping limit, higher targets, lower splits) | Winding down with refunds |
| My Forex Funds (MFF) | Aug 2023 | Canada | CFTC complaint alleging $310M fraud across 135,000+ customers; case dismissed May 2025 on procedural CFTC misconduct (not merits) | Permanently closed |
| The Funded Trader (TFT) | Mar 28, 2024 | USA / Cayman | Mass payout denials, MetaTrader migration backlog, Eightcap broker withdrawal; over $2M in denied payouts (Jan-Feb 2024 alone) | Paused; partial recovery, not fully operational |
| Skilled Funded Trader (SFT) | Mar 2024 | USA | Easton Consulting Technologies subsidiary; ceased operations alongside TFT | Closed |
| True Forex Funds (TFF) | May 13, 2024 | Hungary | MetaQuotes license revocation Feb 2024; CFTC RED List Jun 2023; financial insolvency | Permanently closed; ~300 traders, ~$1.2M unpaid |
| SurgeTrader | May 24, 2024 | USA | Licensing disputes with MetaQuotes and Match-Trader left firm without functional trading platform | Permanently closed; payouts owed |
| Funded Engineer | Mid-2024 | — | Bankruptcy filed after fraud allegations by tech provider | Permanently closed |
| Funds For Traders | 2024 | — | Eightcap broker withdrawal of MT4/MT5 services | Closed; payouts owed |
| Glow Node | 2024 | — | Eightcap service withdrawal; couldn't migrate to alternative broker | Closed |
| Funded Friends | Sep 2024 | — | Acquired by TradingFunds during shutdown | Closed; assets transferred |
| Karma Prop Traders | 2024 | — | Liquidity issues; closed after two months of operation | Closed |
| Ascetic Capital | 2024 | — | Closed after just one week due to low sales | Closed |
| Smart Prop Trader | Nov 2024 | — | Eightcap withdrawal; founder Blake Olson cited "responsible exit" | Orderly closure; honored existing payouts through Dec 29, 2024 |
| Indigo Trader Funding | 2024 | — | Payout disputes and oversaturation | Closed; complaints unresolved |
| MyFundedFX | 2024 (rebrand) | USA | Rebranded to Seacrest Funded amid platform pressures (not technically a shutdown) | Continues under new name |
| Plus an additional ~65-85 firms documented by Finance Magnates Intelligence, Brokeree Solutions, and FPFX Tech but without publicly-named primary sources. Total industry-wide: 80–100 closures in 2024. | ||||
📊 Methodology note: We only list firms in the verified rows above where we have a clear primary source (court filing, official company statement, or named coverage from Finance Magnates / FXNewsGroup / Brokeree). The 80-100 total includes smaller firms whose closures are aggregated in industry research but not individually named in public reporting. We update this list as new closures are documented.
Major Closures: Detailed Case Studies
Six closures defined the 2023–2026 industry collapse. Each is detailed below with what happened, what we know about trader losses, and what the case taught the industry.
Case Study 1 — My Forex Funds (MFF)
What happened: On August 29, 2023, the US Commodity Futures Trading Commission (CFTC), in coordination with the Ontario Securities Commission, filed a complaint against Traders Global Group (operating as My Forex Funds), alleging fraudulent solicitation of more than $310 million from over 135,000 retail customers across the US and Canada. Operations were frozen. MFF was, at the time, the largest retail prop firm globally.
The allegations: The CFTC alleged MFF acted as the counterparty to substantially all customer trades rather than routing to real markets, misled customers into believing they were trading in live conditions when transactions occurred in demo environments, applied drawdown limits in bad faith to eliminate profitable traders, and assessed hidden commissions and artificial slippage to reduce profitability.
The plot twist: On May 13, 2025, US Federal Judge Edward S. Kiel dismissed the CFTC's complaint with prejudice. Critically, the dismissal was based on procedural misconduct by the CFTC, not on the merits of the fraud allegations. Special Master Jose L. Linares found that the CFTC had acted "willfully and in bad faith," misrepresented facts to the court, and breached its duty of candor. The CFTC was ordered to pay MFF's legal fees, and four CFTC attorneys plus one investigator were placed on administrative leave.
What this means: MFF was never legally proven to have committed fraud, but it was also never legally cleared on the merits. The firm remains effectively closed. Customers who paid challenge fees prior to August 2023 never received resolution. The MFF case became the catalyst for the broader regulatory scrutiny that contributed to the 2024 industry collapse.
Case Study 2 — The Funded Trader (TFT)
What happened: The Funded Trader, founded in 2021 by Blake Olson, Angelo Ciaramello, and Nick D'Arcangelo, was one of the most prominent forex prop firms globally with over 80,000 accounts. In early 2024, complaints about denied payouts began appearing en masse on Trustpilot and X. On March 28, 2024, CEO Angelo Ciaramello announced TFT was "temporarily pausing all operations."
The numbers: During a live-streamed Q&A in mid-March 2024, Ciaramello himself revealed that TFT had paid out $17M to clients in January–February 2024 while denying $2M+ in withdrawals — roughly a 10% denial rate. The denials were attributed to "KYC, fraud, credit card fraud, and prohibited trading strategies." Many traders disputed this characterization.
Why it failed: Multiple compounding factors: (1) Eightcap, TFT's primary broker, withdrew prop firm services at the end of February 2024 under MetaQuotes pressure. (2) The forced migration to alternative platforms created a massive payout backlog. (3) Easton Consulting Technologies, TFT's parent company, conducted mass layoffs. (4) Comparison platform PropFirmMatch suspended TFT in mid-March citing "significant complaints."
The aftermath: In May 2024, TFT announced relocation to the Cayman Islands and "new partnerships" to unlock funds. By August 2024, the firm claimed to have processed 30% of owed payouts and 70% of owed accounts. As of 2026, TFT has not fully returned to its prior operational scale. Traders with denied payouts from early 2024 largely remain unresolved.
Case Study 3 — True Forex Funds (TFF)
The timeline: True Forex Funds, a Hungary-based prop firm, was added to the CFTC's RED List in June 2023 — the first prop firm specifically designated as Registration Deficient for foreign entities operating in US markets without proper registration.
The MetaQuotes hit: On February 2, 2024, MetaQuotes terminated TFF's MT4/MT5 license without warning. TFF's operations were frozen for months while client funds sat idle. The firm attempted migration to cTrader and Match-Trader, but the damage to trust was severe.
The closure: On May 13, 2024, TFF announced permanent closure citing financial insolvency. According to industry reporting, approximately 300 traders were left with an estimated $1.2 million in unpaid payouts. Original reporting on the unpaid total came from competing firm OFP Funding; treat the dollar figure as an estimate rather than an audited number.
Significance: TFF was the first major casualty of the MetaQuotes crackdown. Its closure on the same day Judge Kiel would dismiss the MFF case exactly one year later created a notable "May 13" date in prop firm industry history — though the two events were unrelated.
Case Study 4 — SurgeTrader
What happened: SurgeTrader, a US-based prop firm, ceased operations on May 24, 2024 — just 11 days after True Forex Funds — citing simultaneous licensing disputes with both MetaQuotes and Match-Trader. The firm was effectively left without a functional trading platform.
What made it different: Unlike TFT, which gave traders weeks of partial communication before pausing, SurgeTrader's closure was relatively abrupt. Numerous traders reported being left without payouts as the firm ceased operations rapidly.
The pattern: SurgeTrader's failure illustrated a key industry vulnerability: firms that relied on multiple third-party platforms had no protection when those platforms simultaneously cut services. Diversification of platform dependencies didn't help when MetaQuotes pressure cascaded into Match-Trader pressure.
Case Study 5 — Smart Prop Trader (The Orderly Shutdown)
What happened: Smart Prop Trader, led by CEO Blake Olson, announced its wind-down in November 2024. Critically, the firm structured its closure to honor existing trader obligations: continuing payout schedules through December 29, 2024 and offering refunds to qualifying November account holders.
Why it matters: Smart Prop Trader's closure became the industry's reference example for how to shut down responsibly. The contrast with TFT (which left $2M+ in disputed payouts) and TFF (which closed citing insolvency) was stark. It demonstrated that closure was not inherently catastrophic for traders — operational practices and reserves determined the outcome.
The lesson for traders: Firms that build reserves and treat closure as a managed event protect their customers. Firms that depend on continuous fee revenue to fund withdrawals cannot. When evaluating any prop firm, the question isn't "will this firm grow?" — it's "what happens if this firm has to wind down?"
Case Study 6 — FundingTicks (The Most Recent Closure)
What happened: In December 2025, FundingTicks introduced controversial new rules: a one-minute minimum trade hold for scalpers, higher daily profit requirements, and reduced profit splits. Traders reported that previously valid trades and profits were retroactively reduced or invalidated.
The reversal: In January 2026, FundingTicks announced it would wind down operations, framing the move as a "strategic decision to focus on other opportunities." All active evaluations and Master accounts were refunded in full regardless of profit or drawdown status.
Why this matters: FundingTicks is the most recent named closure as of May 2026 and represents a new kind of closure — not platform-driven or regulator-driven, but customer-trust-driven. When the firm's December 2025 rule changes produced overwhelming backlash, continuing operations under those terms became untenable. The closure shows that even firms surviving the 2024 collapse can fail to ongoing operational issues.
What Actually Killed These Firms
The shutdowns weren't random. Five specific causes drove the vast majority of 2023–2026 closures:
1. MetaQuotes Platform Crackdown (Feb 2024–)
The single biggest factor. MetaQuotes — the developer of MT4 and MT5 — began revoking trading platform licenses from prop firms in February 2024, especially those serving US clients or operating without proper broker relationships. Within nine months, MetaTrader's market share among prop firms dropped from 48% to 24% (per FPFX Tech data of 300,000 accounts). Match-Trader saw a 290% increase in server clients as a result, but for firms without time or capital to migrate, the platform loss was fatal. TFF, SurgeTrader, Funds For Traders, Glow Node, Smart Prop Trader, and Blue Guardian were all directly hit by either MetaQuotes or the cascading Eightcap broker withdrawal.
2. CFTC Regulatory Action (Aug 2023–)
The MFF complaint in August 2023 marked the first major regulatory action against a retail prop firm. The CFTC added True Forex Funds to its RED List in June 2023 — the first prop firm specifically designated. By December 2025, the RED List contained over 240 entities. The regulatory environment shifted from permissive to scrutinized, eliminating firms that had operated in compliance gray areas.
3. Broker Withdrawal (Eightcap, Feb 2024)
Brokers including Eightcap, which had previously provided liquidity and platform access to dozens of prop firms, withdrew prop firm services at the end of February 2024 — under MetaQuotes pressure. Firms whose entire business model depended on borrowed broker infrastructure (with no alternative provider lined up) had no path forward. The Funded Trader, Glow Node, Funds For Traders, and Smart Prop Trader were all Eightcap-dependent.
4. Fee-Revenue Cash Flow Models
Most retail prop firms structurally depended on continuous evaluation fee revenue to fund withdrawals to successful traders. When growth slowed in 2024 — driven by saturation, regulatory news scaring off new buyers, and competitive pressure — firms with thin reserves couldn't honor existing payouts. Indigo Trader Funding and Karma Prop Traders both fit this pattern. Ascetic Capital, which closed after just one week due to "low sales," is the most extreme example of a firm with no operational reserves.
5. Trust Collapse
Once payout denials reached forum visibility, the resulting reputational damage often accelerated closure. TFT's mass payout denial complaints on Trustpilot and X — followed by PropFirmMatch's suspension of the firm in March 2024 — created a death spiral. New evaluation purchases dropped, denying the firm the fee revenue it needed to clear the existing backlog. FundingTicks' December 2025 rule-change backlash followed the same pattern in a much smaller form.
Year-by-Year Timeline (2020–2026)
The major prop firm industry events from before, during, and after the collapse:
The Growth Era
Prop trading industry grows 1,264% in search interest between Dec 2015 and Apr 2024. FTMO founded 2015. The Funded Trader founded 2021. Apex Trader Funding founded 2018, Tradeify 2022. Industry expands to estimated $20B globally with 2,000+ firms.
First CFTC Designation
True Forex Funds added to CFTC's RED List — the first prop firm specifically designated for foreign entities operating in US markets without proper registration. Signal of regulatory attention.
MFF Complaint Filed
CFTC files complaint against Traders Global Group / My Forex Funds alleging $310M fraud across 135,000+ customers. Operations frozen. The largest retail prop firm globally is effectively shut down. Industry braces.
MetaQuotes Strikes
MetaQuotes terminates True Forex Funds' MT4/MT5 license without warning. Beginning of the platform-driven collapse. Within weeks, similar terminations hit dozens of firms.
Eightcap Withdraws
Broker Eightcap stops providing services to prop firms. This cascades to TFT, Glow Node, Funds For Traders, Smart Prop Trader, and others who lacked alternative liquidity providers.
The Funded Trader Pauses
TFT announces "temporary pause" of all operations. CEO Angelo Ciaramello promises relaunch. The pause is effectively permanent. 80,000+ accounts affected. Industry recognizes this is no longer a regulatory issue — it's structural.
True Forex Funds Closes
TFF announces permanent closure citing financial insolvency. ~300 traders left with ~$1.2M unpaid. The first major firm to formally close (vs. pause). Belgium's FSMA had already warned about prop trading firms two months earlier.
SurgeTrader Closes
SurgeTrader ceases operations citing simultaneous MetaQuotes and Match-Trader licensing disputes. The cascading platform problem becomes obvious to the industry.
Italy's Consob Warns
Italy's securities regulator calls prop trading "finance video games aimed at passing skill tests." European regulatory pressure intensifies.
Smart Prop Trader's Orderly Exit
Smart Prop Trader announces orderly wind-down, honoring all payouts through Dec 29, 2024. Sets the standard for how closure should be handled.
The Tally
Finance Magnates Intelligence estimates 80-100 prop firms shut down in 2024 total. Brokeree Solutions' Q4 2024 study confirms 1-in-7 firm closure rate in an 82-firm sample.
The Prop Association (TPA) Forms
Surviving firms launch industry self-regulatory body. Signal that the survivors want standards established before regulators impose them externally.
MFF Case Dismissed
US Federal Judge Edward S. Kiel dismisses CFTC's MFF case with prejudice — but on procedural grounds (CFTC misconduct), not on the merits. Four CFTC attorneys + one investigator placed on administrative leave. MFF remains effectively closed.
FTMO's 10-Year Anniversary
FTMO announces $450M+ in cumulative trader payouts since 2015. Firm posts $329M revenue for 2024 (+53% YoY) and $62.5M net profit. Surviving firms emerge dominant.
FTMO Acquires OANDA
FTMO completes acquisition of regulated forex broker OANDA — backed by $250M credit line from UniCredit-led Czech bank syndicate. Industry consolidation by acquisition begins.
FundingTicks Winds Down
FundingTicks announces strategic wind-down following December 2025 rule-change backlash. All evaluations and Master accounts refunded in full. Most recent named closure as of writing.
The Industry Impact
The 2024–2026 shutdowns didn't just affect the closed firms. They reshaped the entire industry:
Trader Losses
Estimating exact total trader losses is impossible — many smaller closures left no public records. But documented losses include $1.2M from True Forex Funds (~300 traders), $2M+ in denied payouts from The Funded Trader (Jan–Feb 2024 only), and unknown but significant amounts from SurgeTrader, Skilled Funded Trader, and dozens of others. Industry estimates converge around $50M+ in blocked or unrecovered trader funds.
Geographic Shift
Per Brokeree Solutions' 2024 research, the UAE emerged as a prop firm haven, increasing market share from 8% to 15% by end of 2024. The US and UK retained leadership but with fewer registered firms. Czech Republic (FTMO's home) became increasingly important as the regulatory environment stabilized.
Platform Reshuffle
MetaTrader market share among prop firms dropped from 48% to 24% within nine months of the February 2024 license terminations. Match-Trader saw 290% growth. cTrader, DXtrade, and TradeLocker all gained share. The platform monoculture that built the prop firm industry was over.
Trader Behavior Changes
FPFX Tech's analysis of 300,000 accounts found that average trader investment dropped by approximately 50% post-collapse. Pass rates declined further. Traders became more selective about firm choice, with on-chain payout verification (via tools like ThePropFirmGuide's live payout tracker) emerging as the new standard for due diligence.
Why Some Firms Survived
The firms that came through the 2024 collapse with their reputations and operations intact shared specific structural characteristics:
Platform Independence
Futures prop firms like Apex Trader Funding, Tradeify, and Bulenox were largely immune to the MetaQuotes crisis because they relied on Rithmic, Tradovate, and proprietary platforms — not MT4/MT5. The single point of failure that killed forex firms didn't exist on the futures side.
Proper Regulatory Standing
FTMO, operating from Czech Republic with appropriate corporate structures, retained MetaTrader access throughout the crisis. The firm's Czech regulation and transparent operations meant MetaQuotes had no reason to terminate its licenses. By the end of 2024, FTMO had emerged as the unambiguous industry leader.
Financial Reserves
Firms with cash to weather platform migration costs, temporary revenue loss, and legal scrutiny survived. Firms running on month-to-month challenge fee revenue did not. FTMO's $211M cash on hand at end of 2024 is the extreme example of survival capital.
Diversified Customer Base
Firms with global customer bases weren't crippled by the US-focused MetaQuotes crackdown. Firms that relied heavily on US clients without proper licensing structure were disproportionately affected.
Transparent Operations
Firms with public payout data, clear corporate identity, and consistent rule enforcement built trust reserves that survived stress events. Firms that operated opaquely lost customers as soon as their first crisis hit.
How to Protect Yourself From the Next Wave
Closures will continue. Per FPFX CEO Justin Hertzberg's January 2025 prediction: "I expect many more prop firms to close, cease or halt operations and/or find themselves on the wrong end of lawsuits and social media attacks." The questions for traders aren't whether more closures will happen, but which firms will be affected and how to minimize exposure.
1. Verify Real Payout History (On-Chain When Possible)
Marketing claims are not evidence. Real evidence is verified on-chain payout data showing the firm is actively processing withdrawals. Our live payout tracker shows verified blockchain withdrawals for 43+ firms — a firm with consistent weekly payout volume is operationally alive.
2. Diversify Across Multiple Firms
Don't concentrate $50K in funded capital at one firm. Spread across 3–5 established operators. If one shuts down, your other accounts continue paying out. See our guide on how many prop firm accounts you can have for the firm-by-firm scaling math.
3. Withdraw Profits Regularly
Money in your bank is the only money that's truly yours. Money sitting in a funded account balance is at firm risk. Withdraw every payout cycle.
4. Avoid New Firms Without Track Record
Firms less than 18–24 months old were disproportionately hit by the 2024 collapse. Stick to firms with multi-year operating history (Apex from 2018, Tradeify from 2022, FTMO from 2015, FundingPips with multi-year history) until newer firms prove their durability.
5. Check Platform Dependency
Forex prop firms that rely entirely on MT4/MT5 + a single broker have the same single-point-of-failure that killed most 2024 victims. Firms with multi-platform support (cTrader, MatchTrader, TradeLocker, proprietary platforms) are more resilient.
6. Read Recent Reviews — Last 60 Days Only
A firm that was great in 2023 but has 50+ recent 1-star reviews about withdrawal delays is a firm in distress. Sort Trustpilot by most recent. Search Reddit's r/PropFirm, r/Daytrading for current sentiment. Payout problems show up there before they show up in mainstream coverage.
7. Don't Trust Affiliate-Only Reviews
If every positive review comes from someone using an affiliate code, you're seeing manufactured reputation. Real funded traders post on Reddit, Twitter, and Discord with no commercial incentive. Look for those voices.
Find Verified Prop Firms With Real Payout History
Skip the research — start with firms that have actually paid out, verified via on-chain blockchain data.
View Live Payout Tracker →Frequently Asked Questions
How many prop firms shut down in 2024?
Between 80 and 100 proprietary trading firms shut down in 2024, according to Finance Magnates Intelligence and FunderPro mid-year estimates. Brokeree Solutions' Q1-to-Q4 2024 study tracked 82 firms by similar business model and found only 71 remained operational at year-end — an 86.6% survival rate, or roughly 1-in-7 firms closed.
What caused the 2024 prop firm collapse?
The single biggest factor was MetaQuotes' February 2024 decision to revoke MT4/MT5 platform licenses from prop firms serving US clients or operating without proper broker relationships. This cascaded into broker withdrawal (Eightcap stopped serving prop firms end of February 2024), platform fragmentation, and an industry-wide trust crisis that compounded existing financial fragility at firms with thin reserves.
What happened to My Forex Funds?
In August 2023, the CFTC sued My Forex Funds and its parent Traders Global Group, alleging fraudulent solicitation of $310 million from over 135,000 customers. Operations were frozen. In May 2025, a US federal judge dismissed the case with prejudice — but the dismissal was based on procedural misconduct by the CFTC (not on the merits of the fraud allegations). Four CFTC attorneys and one investigator were placed on administrative leave. MFF was never legally proven guilty or cleared. The firm remains effectively closed.
What happened to The Funded Trader (TFT)?
The Funded Trader paused all operations on March 28, 2024 amid mass payout denial complaints. CEO Angelo Ciaramello cited a payout backlog from MetaTrader migration after broker Eightcap withdrew prop firm services. The firm later announced relocation to the Cayman Islands and partial recovery, but as of 2026 it has not fully returned to prior operational scale. Many traders with denied payouts from early 2024 remain unresolved.
Which prop firms are safest in 2026?
The firms with the strongest verified track records through and beyond the 2024 collapse are FTMO ($329M revenue in 2024, $450M+ cumulative payouts since 2015), Apex Trader Funding ($598M+ cumulative payouts since 2022 on the futures side), FundingPips, and The5ers. Established multi-year operating history, platform diversity, and verifiable on-chain payout activity are the strongest signals of resilience.
How can I tell if a prop firm is going to shut down?
Watch for these warning signs: delayed payouts (the first sign of cash flow problems), retroactive rule changes that void existing payouts, mass complaints on Trustpilot or Reddit, dependence on a single broker or platform without alternatives, lack of verifiable payout history, and operating history under 18 months. Firms with multiple of these characteristics carry significantly elevated closure risk.
Can I get my money back if a prop firm shuts down?
Usually no. Most retail prop firms aren't regulated as financial institutions, so traditional financial recovery mechanisms don't apply. Some firms handle closure responsibly (Smart Prop Trader honored existing payouts through Dec 2024). Most don't. Once a firm is gone, the funded balance, pending payouts, and challenge fees are typically unrecoverable. This is why firm selection and multi-firm diversification matter more than headline profit splits.
Was My Forex Funds actually a scam?
Legally, the question remains open. The CFTC alleged MFF defrauded 135,000+ customers of $310M+ through demo-account misrepresentation and bad-faith rule enforcement. The case was dismissed in May 2025 on procedural CFTC misconduct grounds (not on whether the allegations were true). The firm remains closed. Practically: whether you call MFF a scam or not, the outcome for affected customers (lost challenge fees, denied payouts) is identical. Read our full analysis of whether prop trading is a scam for the complete context.
Is the prop firm industry going to keep shrinking?
Consolidation is continuing but the pace has slowed. Per FPFX CEO Justin Hertzberg's January 2025 forecast, more closures are expected — particularly among newer firms and those still dependent on single platforms. However, surviving firms (FTMO, Apex, FundingPips, Tradeify, etc.) have emerged dominant and well-capitalized. The industry isn't dying — it's consolidating around stronger operators with proper infrastructure, capital reserves, and platform independence.
How is this list maintained?
We update this list as new prop firm closures are documented in primary sources (Finance Magnates, FX News Group, official company announcements, regulatory filings). If you know of a closure not listed here that has primary-source documentation, the page is reviewed monthly. Verified data is the standard — we don't list firms based on rumor or competitor accusations.