A couple of FaZe Clan members have found themselves either suspended or removed from the group entirely over a controversy involving cryptocurrencies. FaZe Kay was kicked out of the group while FaZe Nikan, FaZe Teeqo, and Fortnite cheater FaZe Jarvis were all suspended according to an update from the organization itself. FaZe Clan also distanced itself from the situation by saying that it as a whole had "absolutely no involvement" with anything its members did regarding cryptocurrency operations.
If you're behind on the crypto drama and are wondering what the vague statement below from FaZe Clan is referring to, the controversy centers around a newly minted cryptocurrency called "Save The Kids." The intent behind this new digital currency was the same as the intent behind others which was to make people money if they could manage the volatile crypto waters, but a portion of proceeds would go to charity, too. Influencers such as those FaZe Clan took action against backed the initiative to get more involved.
A statement from FaZe Clan. pic.twitter.com/HnPXpAoSYX— FaZe Clan (@FaZeClan) July 1, 2021
While the value of the digital token climbed for a short time, it soon dropped off afterwards. This led many who've seen these same sorts of crypto controversies take place that a scam – or at least something akin to that – was underway. YouTuber SomeOrdinaryGamers (via Kotaku) went into detail about the situation and pieced together some interesting points and coincidences worth taking note of.
Those who invested early in the token were apparently some of the ones who sold first, too, once things started looking good. The assumption people have drawn from that is that the influencer themselves may have been part of what's often called a "pump and dump" scheme.
I want you all to know that I had no ill intent promoting any crypto alt coins. I honestly & naively thought we all had a chance to win which just isn’t the case. I didn't vet any of this with my team at FaZe and I now know I should have.— FaZe Kay (@FaZeKay) June 27, 2021
Nobody's said outright yet if that's the case or not, but whatever happened behind the scenes, it warranted the action taken by FaZe Clan itself and the almost apology above from former FaZe Clan member FaZe Kay.
Investigations whether official or otherwise will likely follow this controversy as will more statements from those involved, so perhaps we'll soon get more context as to what happened behind the scenes involving FaZe Clan and the Save The Kids token.