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FaZe Clan, RiceGum Called Out For Promoting Cryptocurrency 'Altcoin' Scams To Fans, FaZe Kay Responds

FaZe Clan, RiceGum Called Out For Promoting Cryptocurrency 'Altcoin' Scams To Fans, FaZe Kay Responds

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Published June 28, 2021

Published June 28, 2021

Members of the esports team FaZe Clan, the first esports team to be featured on the cover of Sports Illustrated, are currently under fire from YouTuber SomeOrdinaryGamer after he posted a nearly 40-minute long video exposing members of their team, including former member Ricegum, of promoting altcoin crypto pump-and-dump scams to their fans.


In the video, titled "FaZe Clan and Ricegum Should Be Investigated By The Feds…," SomeOrdinaryGamer, real name Mutahar, shows evidence of a number of FaZe Clan members, including FaZe Kay, FaZe Jarvis and former member RiceGum, promoting a "Save The Kids Coin" in tweets telling their followers the crypto is about to go "to the moon." The coin allegedly donates a portion of the funds to "help with projects that help children with the resources they need live a long and healthy life" according to the website. Each tweet has since been deleted, and they all end by telling the followers the tweet is "not financial advice" in order to avoid certain legal issues.

This is not the first time the FaZe Clan has been accused of promoting crypto scams. In late May, FaZe Banks promoted a cryptocurrency called Bank Social, and allegedly gave away $10,000 worth of the currency. The currency skyrocketed after Banks promoted it then quickly lost 90 percent of its value. These scams are called pump-and-dumps and involve spreading false information about an alternative cryptocurrency (meaning the opposite of a historically trustable currency like Bitcoin and Etherium) then selling your shares to unsuspecting buyers as it peaks, gaining significant profits for a few and losing everyone else their investments.


Yesterday, FaZe Kay apologized to his fans on Twitter, telling them that he is "very passionate about the crypto space" and that he should have vetted the currency with members of FaZe before promoting it to make sure it wasn't an altcoin pump-and-dump scam.


Reactions to the apology were a mixed bag, to say the least. Some seemed willing to forgive Kay, while others commented claiming to have lost significant amounts of money to the scam, although these reports have not been verified and some are clearly jokes. Currently, no other members of FaZe Clan have responded to the accusations.



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