Prop firms that shut down.

Rule-change backlash

In December 2025 FundingTicks introduced sharply stricter rules — a one-minute holding limit aimed at scalpers, higher profit targets and a lower profit split — and applied them retroactively, invalidating profits and evaluation progress traders had already earned. After heavy community backlash and a fast-falling Trustpilot score, the firm announced in mid-January 2026 that it would cease operations.

Wind-down plan: full refunds for active evaluation and master accounts; qualifying master accounts received 80% of profits, others 20%.

Strategic wind-down

Announced an orderly shutdown rather than an overnight disappearance: the firm stopped selling evaluations, kept systems running for existing traders and honored payouts through late December 2024. One of the few closures in this list handled cleanly.

Acquisition

Shut down as an independent brand during 2024's consolidation wave and was absorbed by TradingFunds.

Insolvency & disputes

Collapsed mid-2024 amid bankruptcy proceedings and public disputes involving its technology provider, leaving traders with unresolved balances.

Payout disputes

Shut down during 2024 amid unresolved payout complaints, one of dozens of smaller brands that disappeared in the industry's consolidation year.

Under-capitalized

Closed after roughly one week of operation — insufficient sales and no reserves. The fastest collapse on this list.

Liquidity crisis

Closed roughly two months after launch when it couldn't cover its obligations — a textbook example of an under-capitalized firm selling challenges before it could afford the payouts.

Broker withdrawal

Another casualty of Eightcap's withdrawal from prop-firm services — the platform migration failed and the firm closed.

Broker withdrawal

Unable to migrate platforms after Eightcap pulled its prop-firm services, the firm shut down with payouts still owed.

Platform loss & insolvency

One of the better-known CFD firms of its generation, True Forex Funds lost its MetaQuotes licensing in the February 2024 crackdown and never recovered, ceasing operations on May 13, 2024. It had appeared on the CFTC's RED list in June 2023.

Roughly 300 traders were left with about $1.2M in unpaid balances.

Platform licensing

Closed abruptly in late May 2024 after losing access to its trading platforms amid the MetaQuotes crackdown and a licensing dispute, with payouts still owed to traders.

Payout crisis

One of the biggest names in the industry paused all operations on March 28, 2024 after weeks of mass payout denials. The trigger: broker Eightcap withdrew prop-firm services and the MetaTrader migration created a payout backlog the firm couldn't clear. It later relaunched from the Cayman Islands, but never returned to its former scale and many earlier payout claims remained unresolved.

Over $2M in payouts denied in January–February 2024 alone.

Parent company shutdown

Went down in the same March 2024 storm as The Funded Trader when parent company Easton Consulting ceased operations.

CFTC action

The event that shook the industry: the CFTC filed a fraud complaint against My Forex Funds in August 2023, alleging around $310M taken from 135,000+ customers, and the firm's operations were frozen overnight. Notably, the case was dismissed in May 2025 after the court found procedural misconduct by the CFTC itself — but by then the firm was long gone and customer funds had been locked up for years. It never resumed retail operations.

135,000+ customers affected; funds frozen from 2023 into the dismissal in 2025.