Former FaZe Clan star Kay threatens to sue YouTuber over crypto “scam” allegations

Brad Norton
FaZe Kay cease and desist coffeezilla

Days after being kicked out of FaZe Clan due to his reported involvement in various cryptocurrency scandals, Frazier ‘Kay’ Khattri has now issued a cease and desist letter to YouTube investigator Coffeezilla who originally exposed his actions.

Kay was formally removed from FaZe Clan on July 2 after his reported involvement in a number of cryptocurrency ‘pump and dump’ schemes was brought to light. After denying all evidence against him in a July 10 response, Kay has now threatened legal action against Coffeezilla, a YouTuber that helped expose the alleged scams.

A cease and desist letter was recently issued to Coffeezilla. This legal notice demanded he take down all videos mentioning Kay and retract all “defamatory statements” in a public manner. 

Following up with a new video of his own on July 14, the YouTuber revealed the full scope of legal threat and laughed off said Kay’s latest demands.

“Kay sent me a cease and desist letter for my SaveTheKids video,” he addressed on Twitter. “He says I caused him to lose millions in revenue and that if I don’t delete my videos, he’s going to sue me.”

The legal notice, which can be seen in full right here, threatens a new “litigation against [Coffeezilla]” if all demands are not met within 24 hours of receiving the letter. “Unfortunately,” the YouTuber joked, “I’m gonna miss the deadline boys.”

Furthermore, any collaborators involved in the original SaveTheKids video will also be lumped into the litigation from Kay’s lawyers.

Page 1 of cease and desist
The first page in Kay’s cease and desist letter to Coffezilla.

Rather than agreeing to the terms, Coffeezilla doubled down. Refusing to retract his statements or delete his videos, the YouTuber instead went on to reveal yet another crypto scandal Kay was allegedly involved with.

A separate token known as ‘MoonPug’ was also promoted by Kay, among other FaZe Clan members. This cryptocurrency is linked directly with Kay’s public wallet.

“He made about $100,000 [from selling] MoonPug in the first few hours,” Coffezilla revealed. 

“Naive people usually don’t have multiple wallets. Naive people sure as hell don’t know how to make $100,000 from a presale of a s***coin. In my opinion, you’re a self-serving hypocrite.”

The MoonPug example is roughly “10%” of the ‘dirt’ he allegedly has on Kay. As a result, he firmly believes the cease and desist letter is a “tactic to silence new evidence coming out soon.”

“He knows the kind of things that I have on him,” Coffezilla added. “I’ll be presenting you with a new video exposing the truth about SaveTheKids very soon.”

About The Author

Brad Norton is the Australian Managing Editor at Dexerto. He graduated from Swinburne University with a Bachelor’s degree in journalism and has been working full-time in the field for the past six years at the likes of Gamurs Group and now Dexerto. He loves all things single-player gaming (with Uncharted a personal favorite) but has a history on the competitive side having previously run Oceanic esports org Mindfreak. You can contact Brad at brad.norton@dexerto.com