Key Insights
- MyFlashFunding, facing platform issues since February, has been acquired by competitor Sway Funded, with all clients to be transferred.
- CEO Blake Carter defends the sale as the best way to ensure traders receive overdue payouts, which have been pending since April-May.
- The acquisition follows industry-wide challenges stemming from MetaQuotes’ suspension of licenses for U.S. prop trading services in February 2024.
NEW YORK (MarketsXplora) – MyFlashFunding, a retail proprietary trading firm grappling with platform issues since February, has been acquired by competitor Sway Funded, marking another consolidation in the trader-funded firms (TFFs) market.
The acquisition, announced last week, will see all MyFlashFunding clients transferred to Sway Funded’s platform. The new owner has committed to the “immediate” payout of funds that have been pending for weeks, addressing a key concern among traders.
WE HAVE SOME EXCITING NEWS TO SHARE ⚡
Sway Funded is expanding, and we're thrilled to announce that MyFlashFunding has been acquired by Sway Funded.
Migration of Existing Accounts:
All clients will be migrated and taken care of by Sway Funded, and all pending payouts will… pic.twitter.com/UQgK4z1Kvf— MyFlashFunding (@myflashfunding) July 22, 2024
MyFlashFunding instructed its clients to close all positions by July 24. While the firm’s brand will persist, it will pivot from a trading service provider to an “educational hub.”
📢 ANNOUNCEMENT TIME – rain met lightning!
Sway Funded has acquired MyFlashFunding.
Welcome to the Sway family MyFF – let the storm begin! 🌩️⚡@myflashfunding pic.twitter.com/6SiNLbxxBY— Sway Funded (@SwayFunded) July 22, 2024
MyFlashFunding CEO Defends Acquisition
Blake Carter, Founder and CEO of MyFlashFunding, defended the decision, stating, “I could’ve ran, I could’ve went ghost, I could’ve filed bankruptcy.” Instead, Carter chose a path he believes will ensure traders receive their due funds, which had become impossible to pay out due to the platform issues.
I could've ran, I could've went ghost, I could've filed bankruptcy.
Whatever you want to say about the acquisition or how you feel does not concern me.
My only goal here was to ensure traders were taken care of after we had our platform issues, and we were able to accomplish…
— Blake Carter (@blakemyff) July 24, 2024
The troubles began in February 2024 when MetaQuotes, creator of the popular MetaTrader platforms, suspended licenses for firms associated with prop trading services in the United States. MyFlashFunding’s subsequent migration to the Match-Trader platform and partnership with FinesseFX, an ASIC-licensed broker, failed to resolve the issues.
Clients complained of wider spreads and alleged blocking or delaying of fund withdrawals. Carter initially suggested these were isolated cases affecting a small group of clients due to technical problems. However, the issues proved more widespread, ultimately forcing the sale.
The acquisition has sparked controversy, with some social media commentators accusing Carter of evading responsibility. Carter responded, “Whatever you want to say about the acquisition or how you feel does not concern me.”
If Sway Funded successfully pays out the overdue funds, suspended since April-May, it could vindicate Carter’s decision. The prop firm industry has seen several closures in recent months, making this acquisition a notable development in the sector’s ongoing consolidation.
Meet Samson Ononeme, a dynamic writer, editor, and CEO of marketsxplora.com. With a passion for words and a sharp business acumen, he captivates readers with captivating storytelling and delivers insightful market analysis.