My Forex Funds has recently been under scrutiny from regulators in the US. They have been accusing the trading firm of defrauding their customer base. The firm has finally come out with a statement publicly regarding the allegations.
They spoke with Finance Magnates exclusively. So they have stated that the accusations are “grossly inaccurate and incomplete picture of the facts”, denying any wrongdoing. They state that they have never defrauded any of their customers and that they want to clear the record in court.
Is forex trading profitable on the platform? The CFTC does not seem to think so. It was them that had recently made accusations against the trading firm. The regulator managed to get a restraining order against the firm and has been able to freeze the assets of the company. It targeted two companies that operate My Forex Funds, both with the name Traders Global Group Inc. However, one is in Canada, and the other is in New Jersey. Another entity targeting the firm is the OSC of Ontario, Canada, which made similar accusations.
CFTC: Diving Into the My Forex Funds Lawsuit
The CFTC’s accusations and subsequent lawsuit against My Forex Funds supposedly came suddenly with no warning. This is according to the trading firm. The parent companies are prepared to combat any charges in the court until their name is cleared. They claim the firm made $310 million from customers from fees.
My Forex Funds have been an exceedingly prominent prop trading platform ever since its start in 2020. Its business model was reliant on taking a cut of traders’ profits on their platform when trading according to Forex patterns. The firm would offer them leverage for their trades, so the company would take a portion of the profits. It only took a cut if the clients managed to make a profit. Otherwise, they would leave them be. The CFTC seems to think there was more to its model. However, these recent actions have weakened the firm considerably.