The FaZe clan suspended three members and banned one altogether for their involvement in a shady "pump and dump" cryptocurrency scheme.

In June, FaZe members Kay, Jarvis, Nikan, and Teeqo were involved in the launch of an altcoin (an alternative to Bitcoin, Ethereum, etc.) called Save The Kids. The big selling point of this particular token was the promise that a portion of the proceeds would be donated to charity, and Kotaku reported that the coin attracted many influencers.

Naturally, fans of the esports personality signed up and paid to get the coin. But a day or two later, crypto did what crypto does best. The value of the coins plummeted, and those still holding the coins suffered heavy losses.

This week, FaZe's leader announced in a statement that he had no involvement in the scheme and condemned the actions of the four members; Jarvis, Nikan, and Teeqo were suspended indefinitely, and Kay was fired entirely.

Following several investigative videos from YouTubers like Coffeeezilla and SomeOrdinaryGamers regarding the promotion, Kay wrote that there was "no malicious intent" in the promotion and that he simply failed to do enough research before promoting the tokens He claimed.

"I honestly and naively thought everyone had a chance to win, but they did not," Kay tweeted. 'I didn't vet anything with the FaZe team.'

However, it has been suggested that the release had many of the characteristics of a "pump and dump" scheme.

Banks, the founder of FaZe, who has previously been accused of involvement in shady crypto schemes, distanced himself from the accusations this time, tweeting: "I have never been part of a pump and dump. Never have been, check it out. My wallet is public. I have never been complicit in any of this."

.

None of the accused FaZe members have spoken publicly since their suspension/dismissal.