Following quite recent the crypto exchange’s Cryptopia bankruptcy due to massive hack, and UK-based brokerage Stater Global Markets shut down due to a lack of capital, another firm, Mobile Forex trading app Pipster, announced ceasing its service.
August 02, 2019, | AtoZ Markets - As the media reports, just one year later after its launch, the UK FCA regulated currency trading platform Pipster app has announced about its closure.
Pipster shuts down just a one year after its launch
Mobile Forex trading app Pipster was launched in May 2018 by the Japanese Retail FX giant GMO Internet Group in collaboration with its UK FCA-regulated subsidiary, Z.com Trade. Such a strategic move of GMO Internet Group was meant to help the firm to expand its presence in the UK and other regions.
Mobile Forex trading app Pipster was developed by GMO in a partnership with Finatext UK, a branch of Finatext Ltd., a Tokyo based Fintech firm specializing in financial education apps. The main concept of the app was to provide a simplified, smarter trading platform to a new generation of traders, focusing on FX and cryptocurrencies. The trading name of “Pipster” is an appointed representative of GMO-Z.com Trade UK Limited.
Furthermore, back in January 2019, Finatext Group, invested £2 million into the development of the UK-based trading platform, demonstrating confidence in a post-Brexit Britain.
Mobile Forex trading app Pipster justifies its decision to cease the business
After the announcement that FCA regulated currency trading platform Pipster closes down, Pipster users have started to receive emails from the company regarding their decision.
The letter states, that the company has decided to close the service due to “external challenges.” As per the company’s announcement, the closure will come into effect on 30th August 2019.
“Additionally, from the 15th August 2019, Pipster will be limited to “Close Only” mode, which means you can only close existing positions, but not able to open a new one.” the official note details.
The Pipster officials assured, that they are “working hard to make the process as easy as possible.” Furthermore, the company requested its clients to close all open positions in Pipster, withdraw the full amount of funds from their accounts prior to 30th August 2019, and check the Customer Agreement (Section: Your Account 11.2).
As per the announcement, accounts that remain active following the aforementioned date will be forced closed and there will be an automatic refund credited to the users' accounts.
The official announcement from Mobile Forex trading app Pipster concludes:
You can find all of the policy documents attached. We’d like to thank you for using our product, please feel free to get in touch at firstname.lastname@example.org if you have any queries.”
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