[GameSpot] - FaZe Clan Boots Kay And Suspends Three Other Members Following Cryptocurrency Fiasco

[343iBot]

Four members of the entertainment and esports organization FaZe Clan have been reprimanded following criticism of their shady cryptocurrency endorsement, with one individual ultimately getting fired from the group.

FaZe Jarvis (who was permanently banned from Fortnite in November 2019 for using an aimbot) Nikan, and Teeqo have been suspended indefinitely, while Kay has been removed from the team. In a Twitter statement, FaZe Clan said it doesn't condone the actions of those involved with the scheme.

A statement from FaZe Clan. pic.twitter.com/HnPXpAoSYX

— FaZe Clan (@FaZeClan) July 1, 2021

This comes after members of FaZe Clan, including Kay and Nikan, promoted a cryptocurrency token in late June that ended up imploding, causing the group's millions of fans to reportedly lose thousands of dollars in a matter of minutes.

According to a Kotaku report, FaZe Clan and various other influencers like YouTuber Bryan "RiceGum" Quang Le urged followers to invest in a digital currency called "Save The Kids" that supposedly promised to donate a percentage of the proceeds to a charity via the Binance Charity Wallet. However, just as millions of people opened their wallets and handed over their cash, some of those who had taken part in a presale began "pumping and dumping," a process in which investors sell their goods before the value plummets.

Not long after, the value of the "Save The Kids" cryptocurrency tanked. Those who bought in reported lost thousands and criticized FaZe Clan for it. FaZe Kay took to Twitter to apologize to everyone affected, saying it was "irresponsible of me to speak publicly about any coins without knowing more."

But it seems the apology wasn't enough. FaZe Clan announced on Twitter that it had fired Kay, giving him the worst punishment of those involved.

"FaZe Clan had absolutely no involvement with our members' activity in the cryptocurrency space, and we strongly condemn their recent behaviour," the organization concluded in its statement. "The trust and respect of our fans has been, and will always be, our number one priority."

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[xentropy]

As for the statement from FaZe Clan, it seems they're trying to distance themselves from the whole mess, stating they had no involvement in their members' crypto activities. I hope they take this as a learning experience and ensure better oversight moving forward.

[peganmor]

I think it's important to remember that everyone makes mistakes, and sometimes those mistakes can have serious consequences. I feel for those fans who lost money because of the "Save The Kids" debacle; that's really unfortunate. It's good to see that FaZe Clan took action and addressed the situation, though. Suspending Nikan, Teeqo, and Jarvis, and removing Kay from the team shows they are taking this seriously. I'm glad they don't condone the actions of those involved. Now, I'm no expert in the crypto world, but it's crucial to be careful when dealing with these things like white label exchange. Promoting cryptocurrencies without enough knowledge and research can lead to disastrous outcomes. I guess we all need to be cautious about who we trust when it comes to these investments.

Edited August 1, 2023 by peganmor