Key Insights
- Dubai prop trading firm Funded Engineer delays reopening after platform provider terminates licenses
- Switching to in-house tech and a new broker, Blueberry Markets, amid “slight delays” migrating accounts
- Backlog of unpaid profits withdrawals from Feb 7 & refunds to be processed; service to resume “very soon”
DUBAI (MarketsXplora) – Dubai-based prop trading firm Funded Engineer postponed its service relaunch this week after a technology spat saw its platform provider abruptly cut off licenses.
In an update, Funded Engineer told clients it was migrating trading accounts to a new broker, Australian firm Blueberry Markets, having also been dropped by its previous brokerage partner Purple Trading Seychelles.
The prop trading firm promises traders funding to test strategies risk-free, taking a share of profits in return.
But it halted operations last week when platform provider FPFX Technologies terminated its agreement with immediate effect. FPFX claims Funded Engineer had run an elaborate scheme to defraud it.
Funded Engineer said on Tuesday that Blueberry’s onboarding had caused “slight delays” but service would resume “very soon” as it switches to in-house technology long planned for future rollout.
We wanted to reach out to you with an update on our product launch. First and foremost, we sincerely apologize for the delay. We understand the anticipation and excitement surrounding the launch, and we share your eagerness to get things up and running smoothly.
In the coming… pic.twitter.com/I8zsu4eKax
— Funded Engineer (@fundedengineer) February 13, 2024
The firm said it aimed to catch up on a backlog of unpaid profits withdrawals from Feb. 7 until clients halted trading after its initial announcement of the FPFX license cancellation last week.
Funded Engineer added it would refund subscription fees for clients in loss-making accounts limited to a 4% drawdown and said suspended accounts facing larger losses would reset to their original balance.
The prop trading sector faces increasing regulatory attention worldwide after fueled explosive growth through social media alongside “copy trading” and investment learning apps.
Dubai in particular has seen a surge in retail trading firms basing themselves in its free zones, seeking to tap growing demand in the Middle East and beyond.