Is MT4 about to become obsolete? Earlier this month, MetaQuotes announced that they will no longer be selling MetaTrader 4 platform licenses to new customers.
This is a pretty huge deal for market players as the platform has been a staple for traders and brokers for more than a decade. That’s more vintage than the very first version of the iPhone!
As things are evolving really quickly in the forex industry, some old technologies wind up being outdated and challenging to develop further. As MetaQuotes noted in its official statement:
“The architecture was designed under the limitations of a different time, due to which it is no longer possible to implement new features that should meet nowadays increased requirements of the industry or the brokers and traders demands.”
In fact, MetaQuotes has gradually been phasing MT4 out for quite some time. Heck, it’s last update on its terminal was in May last year!
I’m still on MT4. Should I be worried?
Nope! At least not yet. MetaQuotes clarified that they will simply stop issuing new MT4 licenses to prospective brokers but will continue to provide technical support for platform as it is being used by existing customers.
However, the company also went on to suggest that brokers who stick to this platform alone might not be able to expand their operations as no new servers will be allotted for increased capacity.
What’s with MT5 anyway?
Glad you asked! This version of the trading platform has actually been around for quite a few years but has been gaining a lot of traction fairly recently.
Apart from the neat features that are ideal for expert advisors, what’s making MT5 the apple of everyone’s eye these days is its wider market offering. While the types of asset classes can vary per broker, MT5 offers CFD trading for equity indices, certain stocks, commodities and yep, you guessed it, cryptocurrencies.
Unless you’ve been living under a rock, I’m sure you’ve seen how bitcoin drove market watchers into a frenzy lately. Most brokers have been reporting strong volumes in the crypto trades over the past couple of months, leading others to join the bandwagon or risk getting burned by competition.
Besides, with forex volatility as exciting as watching water boil over the past year, wouldn’t you be itching to find more exciting price action in other markets instead? You can even create synthetic instruments on MT5!
MT5 has also improved its availability on iPhones and Android phones as the shift to mobile trading has also been one of the industry trends last year.
Furthermore, any new trading functions and improvements will be rolled out on MT5, leaving its predecessor behind. Third-party market solutions and tools have also adapted their infrastructure to MT5 to usher in a smoother transition.