FaZe Clan Removes And Suspends Team Members Due To Alleged Crypto Pump And Dump

One of the most valuable esports teams in the world has cut ties with one member and suspended two over possible cryptocurrency pump and dumps.

What Happened: FaZe Clan announced the decision to remove Kay from the team and suspend Jarvis, Nikan and Teeqo until further notice.

“FaZe Clan had absolutely no involvement with our members’ activity in the cryptocurrency space and we strongly condemn their recent behavior,” the team said.

FaZe Kay issued a statement on Twitter apologizing for the promotion.

“I didn’t vet any of this with my team at FaZe and I know I should have,” Kay said.

The move comes after several members of FaZe Clan promoted an alt coin called Save the Kids coin. Members of the team promoted the coin and then are believed to have sold it before it fell in value.

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

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Why it’s Important: FaZe Clan is one of the most well-known teams in esports, ranking fourth with a valuation of $305 million. The team saw its value rise 27% in 2020 by Sports Pro Media rankings, while the top three teams saw a gain of 3%, a loss of 13%, and a decline of 3%.

FaZe Clan also made history as the first gaming organization to appear on the cover of Sports Illustrated earlier this year.

In the apology, Kay acknowledges the risks with crypto.

“It’s extremely complicated & I still have a lot to learn & I caution everyone to look closely before investing,” Kay said.

A post on Mashable has pointed to influencers, including FaZe Banks, promoting altcoins before. FaZe Banks promoted Bank Social coin last month before seeing the coin fall 90% and Banks later deleting the tweet.

FaZe Kay replied to the post saying he was “2x already” with a rocket and fire emoji.