Week in Review: Sway Funded Acquisition, Prop Firm Closes, Kamala Harris, and More

Sway Funded Acquires Another Struggling Prop Firm Within a Month

At the start of our news round-up, according to details provided by moderators on Sway Funded's Discord server, the company decided to acquire its struggling competitor, Karma Prop Traders, taking over its clients and their active challenges. For Sway Funded, this marked another acquisition of a prop firm that had been facing liquidity issues within the past few weeks.

Sway Funded clients reportedly received emails yesterday evening (Wednesday) informing them that the prop firm they use has purchased its competitor Karma Prop Traders, which announced solvency and liquidity problems earlier this month. Although Karma operated in the prop trading market for only a brief moment, it quickly gained investors' sympathy, introducing Match-Trader integrated with TradingView to its offering just a few months after launch.

“We are ready to acquire any prop firm that shuts down,” States Astra Capital Group

In the face of numerous recent retail prop firm failures or suspensions of their operations due to licensing issues with trading platforms, one entity offered to take over all troubled entities this week. However, Astra Capital Group sets one condition. The potential migration would take a maximum of two days, allowing clients to continue trading and struggling business owners to generate some revenue.

Last weekend, Astra Capital announced that it is “ready to acquire any prop firm that shuts down or pauses operations, taking on all their traders” and onboarding them to its platform. Astra Capital has only been in the market since early 2024, but it has since introduced its own technology, which allowed it to launch its proprietary trading platform, Astra X, which is currently available for desktop computers and mobile devices.

Prop Trading Firm Indigo Trader Funding Confirms Shutdown

Indigo Trader Funding, a prop trading firm that had earlier gone silent on its social media channels, confirmed the closure of its operations as it “failed in this business endeavor.” Finance Magnates earlier reported that the company had even applied for its name to be struck off the UK's official register.

“Indigo Trader Funding ceased trading and, as of today, has ended any agreements/partnerships attributed to the operation of the evaluation model prop firm,” noted the announcement released today by the prop trading firm. The official announcement came only a day after the company’s name was officially removed from the company registry. It applied for the strike-off on August 12.

Announcement

Official Statement pic.twitter.com/G166F7IRVy

— Indigo Trader Funding (@IndigoFundingUK) August 20, 2024

Devexperts Onboarded over 40 Prop Firms to DXtrade in a Year, Now Focuses on Futures

Financial software developer Devexperts expanded its DXtrade XT white-label trading platform to include futures trading functionality, targeting prop firms. According to the company’s exec, this move responds to growing demand for futures trading technology in the proprietary trading sector.

DXtrade XT now enables firms to offer US futures trading to global clients, complementing its existing support for forex and CFD trading. According to Jon Light, Head of OTC Platform at Devexperts, the company made this move in response to “significant interest” from prop trading firms.

Plus500 Extends Share Buyback with Another $110 Million

Plus500, the Israeli retail broker listed in London, announced the extension of its ongoing share buyback program with the allocation of an additional $110 million, which comprises an interim buyback program of $35.4 million and a special buyback program of $74.6 million. The latest buyback program follows the broker’s initiation of a $100 million program last February. The company began repurchasing its shares in 2017.

Further, the broker decided to distribute another $75.5 million among its shareholders as dividends. The company highlighted its “robust financial position and cash-generative business model” as the reason behind the decision for shareholder returns. Its cash balance also surpassed $1 billion, compared to $906.7 million at the end of 2023.

MultiBank Group's 2023 Profit Rises 26%, Revenue Hits over $300 Million

MultiBank Group released its financial results for 2023, highlighting revenue of $306.6 million, a 10% year-over-year increase from the previous year. The group's net income surged by a substantial 26%, rising from $180 million in 2022 to $226.8 million in 2023. According to the company, this profit increase underscores the group's operational efficiency and its ability to navigate the complex financial sector.

MultiBank Group reportedly manages a daily trading volume of over $12.1 billion and serves more than 1 million traders across 90 countries. The company has licenses from 15 financial regulators globally. The Group's platforms offer up to 500:1 leverage on a wide range of products, including forex, metals, shares, commodities, indices, and digital assets, catering to a diverse and growing customer base.

Smart Trade Technologies UK Reports 100% Operating Profit Growth in FY24

The UK branch of foreign exchange (FX) and fixed-income software developer Smart Trade Technologies released its fiscal year 2024 results, showing growth in turnover, revenue, and profits. Operating profits reached £2.2 million, doubling from the previous year's reported levels.

Trade Nation UK Struggles with Profitability as Staff Costs Rise 26%

Trade Nation, a spread betting and contracts for difference (CFD) provider experienced lower turnover in its UK operations, resulting in a financial loss of £2.2 million. Trade Nation is a retail trading brand that offers services to clients worldwide, with registered and licensed entities in the UK, Australia, Bahamas, Seychelles, and South Africa.

However, the company's main headquarters is in London, where it operates under Trade Nation Financial UK Limited, licensed by the FCA. This entity recently published its 2023 results, which were worse than those of 2022. They showed a 5% decrease in turnover and an over 300% drop in operating profit.

'Largest Traders' in Singapore Save IG in FY24

IG Group’s recognition that it needs to do more to get closer to its customers is reflected in a set of financial results for 2024. Those were massively boosted by interest income, which rose by more than three quarters from the previous year and without which the nearly 4% fall in overall revenue would have more than doubled.

Across the UK, APAC, and emerging markets, the only jurisdiction to record higher revenue last year was Singapore - where increased trading activity by larger clients produced a 6% increase in income. US revenue was also up from £140.9 million to £143.2 million.IG delivers online trading platforms for retail and institutional clients. Headquartered in London, it provides clients with access to approximately 19,000 financial markets

Swiss Banks Dive Into Instant Payments, Capturing 95% of Retail Transactions

Switzerland took a substantial step toward becoming a cashless society with the launch of its instant payment scheme. This new system allows funds to be transferred within seconds rather than waiting days for transactions to clear. The central bank expects more banks to adopt similar services in the coming months.

Instant payments work as credit transfers, with funds available in the recipient’s account within 10 seconds of the payment order being made. According to the SNB, around 60 financial institutions can now process and receive instant payments. This development covers over 95% of Swiss retail payment transactions. The scheme was launched on Tuesday.

Instant payments were launched in the Swiss market on 20 August 2024. Instant payments allow private individuals and companies to perform account-to-account transactions with immediate execution and final settlement in seconds.https://t.co/RdiupYG3Sm pic.twitter.com/UZkMUvr3o3

— Swiss National Bank (@SNB_BNS) August 21, 2024

PayPal and Adyen Double Down on US Expansion with Fastlane Checkout

PayPal announced an expanded global strategic partnership with Adyen, a financial technology platform. Under this new agreement, Adyen will integrate Fastlane by PayPal into its services for enterprise and marketplace customers in the US. Plans are also in place to extend this offering to other regions.

According to PayPal, Fastlane helps shoppers convert more than 80% of the time and cuts checkout time by 32% compared to traditional guest checkouts. The service allows users to save payment and shipping information during their first purchase, which can then be automatically filled in on subsequent transactions at any participating merchant.

Manchester City Strikes Deal with Corpay for FX Solutions and Payment Handling

Corpay announced a new partnership with Manchester City, the current Premier League title holder. Under this agreement, Corpay’s Cross-Border business will become Manchester City’s official foreign exchange (FX) Partner. Meanwhile, as reported by Finance Magnates, Corpay is set to acquire GPS Capital Markets, a US-based provider of cross-border and treasury management solutions.

This move is intended to enhance Corpay’s offerings in business-to-business cross-border and treasury management, with a focus on upper-middle market companies in the US. The agreement will allow Manchester City to use Corpay Cross-Border’s solutions to manage foreign exchange risks related to their daily business operations.

New Seychelles Rule Puts the Brakes on VASPs without Local Presence

The Seychelles National Assembly approved a draft bill aimed at regulating virtual asset service providers. Finance Minister Naadir Hassan presented the bill, which is part of Seychelles' broader strategy to address risks associated with virtual assets and VASPs. Once enacted, the law will require VASPs seeking a license to establish a substantial presence in Seychelles.

🌴 Seychelles takes a progressive step with the approval of the Virtual Asset Regulation Bill! 🚀 This move will foster a secure environment for virtual assets in the country. #Seychelles #VirtualAssetRegulation #Blockchain #Crypto #DigitalAssets #Fintec… https://t.co/3TfqOe1dsa

— Daily Dose Media (@_DailyDoseMedia) August 20, 2024

This includes appointing a resident director and setting up an office staffed with competent personnel. The law is designed to ensure that VASPs operate responsibly and to prevent the misuse of virtual assets for illicit activities. Hassan noted that entities applying for a license must incorporate under either the Companies Act or the International Business Companies Act.

Nigeria Prepares to Regulate Crypto in New Licensing Plan

Nigeria's financial regulator is preparing to license cryptocurrency exchanges. The country's Securities and Exchange Commission (SEC), headquartered in Abuja, plans to unveil its inaugural licenses for digital and tokenized assets this month. According to the regulator, this move reflects a broader global trend of regulators increasingly seeking to bring crypto markets under formal oversight.

Emomotimi Agama, the SEC's Director-General, highlighted the urgency and potential of this regulatory change. Nigeria's decision aligns with regulatory actions in other regions. The European Union, South Africa, and Botswana have implemented frameworks to manage digital assets, aiming to stabilize markets and protect investors.

Nigeria’s top finance regulator plans to license crypto exchanges as adoption surges https://t.co/0OulDkPNZx

— Bloomberg Crypto (@crypto) August 20, 2024

Kraken Violated Australian Law by Offering Margin Products: Court Rules

An Australian federal court ruled that Bit Trade Pty Ltd, which operates the Kraken crypto exchange in the country, violated the design and distribution obligations while offering margin trading products to local customers. The ruling came after the Australian Securities and Investment Commission sued the company last September for offering credit facilities with its margin products.

However, the court found violations in only one of the two allegations the regulator brought against the company. According to the regulator, the margin products can be classified as deferred debt, and thus, the products were credit facilities. It alleged that the company violated the local laws each time it made the product available to a customer.

From Bitcoin to Bibles—Donald Trump and His Surprising Portfolio

Of interest this week, Donald Trump is no stranger to wealth—his name has been synonymous with garish skyscrapers, sprawling golf courses, and luxury resorts for decades. But recently, his financial portfolio has expanded in unexpected directions, embracing everything from cryptocurrency to Bible sales.

Yes, you read that right: Donald Trump, once a staunch critic of digital currencies, now holds millions in crypto assets, along with some other oddities. How did we get here? And what else is the former president dabbling in to maintain his empire? Let’s dive in. This pivot to crypto is interesting, especially given Trump’s history of outspoken skepticism. Once a vocal opponent, Trump is now clearly within the crypto sphere.

I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air. Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity....

— Donald J. Trump (@realDonaldTrump) July 12, 2019

Kamala Harris Tries to Woo Crypto, But Is It All Just Political FOMO?

As Kamala Harris courts the crypto community, skeptics wonder if her efforts are genuine or just a bid for political relevance in a changing economic landscape. Harris is making a play for the crypto community, but many are left wondering if this is genuine interest or just another case of political bandwagoning.

As cryptocurrencies gain momentum, Harris's recent overtures to the industry might seem like a smart move. But scratch the surface, and you might find a lot more political strategy than sincere support. In a bid to solidify her standing as a forward-thinking leader, Harris has been making headlines with her attempts to engage with the crypto world.

Kamala Harris has been mum on crypto; her campaign team's histories may speak volumes https://t.co/TYltlXprku

— Axios (@axios) August 20, 2024

Gold Rush 2.0: Gold Storage Booms as Ultra-Rich Hoard Bars

Finally, global gold bar storage is surging, with the ultra-rich safeguarding their wealth from Idaho to Dubai. Here's why the world is diving headfirst into gold hoarding. In a world suffering from more than a touch of economic uncertainty, the ultra-rich are seeking a safe haven for their wealth, and gold bars have become their go-to choice.

From the glittering markets of Dubai to the pristine landscapes of New Zealand, people are buying and storing gold at an incredible rate. But this isn’t your great-grandfather’s gold rush. Today’s affluent are stashing their bullion in high-tech, ultra-secure vaults across the globe, with some even considering remote locations like Idaho.