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

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.

While I’m very passionate about the crypto space, it's extremely complicated & I still have a lot to learn & I caution everyone to look closely before investing.

— FaZe Kay (@FaZeKay) June 27, 2021

I'm really struggling with the fact that I let you all down & more importantly anyone whose trust I've lost. My fans mean the world to me and I wouldn’t be where I am today without you.

— FaZe Kay (@FaZeKay) June 27, 2021

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.

yeah you fuck me over with kids badly and not only that i had 20 of my close friends invest in it and they all lost over 50k.

— Kryptonite (@MoeTayeh) June 27, 2021

Bro they paid you a fat bag to promote a shitcoin that you knew had a 99.9% chance would go to zero and leave your naive followers (that trusted you for some reason) holding the bag, cut this “no ill intent” horse shit and just be honest that you value money more than your fans.

— Leon Lush (@LeonLush) June 27, 2021

Down 400k but all good bro it's all love. I lost my house, car, kids, wife but it's all love bro I still got you

— YUNGMARTY (@OfficialMarty_) June 27, 2021