- Leaked messages reveal Banks blamed Adin Ross for MLG collapse.
- FaZe Clan left without leadership after Banks’ sudden resignation.
- MLG token rebounds 60% despite ongoing crypto controversy and backlash.
Ricky Banks has officially stepped down as CEO of FaZe Clan following the fallout surrounding the MLG meme coin. The token, which saw massive promotion in early 2025 by Banks, Adin Ross, and other FaZe members, quickly crashed after a short-lived surge in value.
MLG coin gained considerable popularity in the early stages as it spread like wildfire among retail investors owing to the influencer hype. Notwithstanding, following a sharp liquidation, the price of the token plunged, with users accusing the marketers of committing acts of a so-called rug pull.
Online messages on group chats that were later revealed revealed that Banks blamed Adin Ross for the failure of the project. In the messages, Banks stated Ross used him as his exit liquidity and criticized him for shifting the blame to others.
In a post on X, Banks defended himself by saying that he never sold any MLG holdings and invested a great deal into the project. He termed the allegations false and said the situation was taking a toll on his mental health and career.
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He also said that he did not manage to scam anyone and that his FaZe had been making him the target of unfair attacks.
Leadership Vacuum and Crypto Fallout Intensify Backlash
Ross, meanwhile, confirmed the group chat messages were real but denied being responsible for the collapse. He expressed regret over the damaged relationship with Banks and promised more clarity in due time.
Banks initially stated that they would perform a live stream with Ross to discuss the controversy. Nevertheless, he canceled it in several hours due to emotional exhaustion and pressure online. Then, he officially left the post of CEO of FaZe Clan and declared a complete withdrawal on social media.
It is a massive shake-up of FaZe, particularly following the 2024 reboot of the team, which replaced most of its founders. Banks is now out of the picture, and the organization is once more missing a clear leader.
Despite the controversy, the MLG coin’s value rose by more than 60 percent within 24 hours of Banks’ resignation. It is now exchanging hands at $0.01382, and it is still 38 percent below its all-time high.
The case highlights the dangers of combining influencer marketing with the unregulated crypto business. The reputations of all the involved persons are under serious questioning as the investors reveal their losses.
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