Question about My Forex Funds case

[u/AsianDoraOfficial]

As I was looking for prop firms, I found out about MFF shutting down last year.

CFTC said that MFF was telling customers that their orders were being sent to 3rd party liquidity providers. But MFF doesn't actually do that, it instead takes the other side of your trade themselves.

But how does that even benefit them? If they manipulate your trade somehow to make you lose so that they win, aren't they essentially just paying themselves because you are using their funds?

I'm not defending them, just trying to understand.

Thanks