c00n does not mean sellout. c00n is a stereotype that whites have of black men. Here's a pretty good definition/explanation of what a c00n is. Read it and tell me that Flav hasn't always perpetuated this stereotype.
The c00n stereotype (1600s ) is one of the main ways white Americans have of looking at black men. It sees black men as being not particularly bright or hard-working, as shiftless and good-for-nothing, as someone you cannot count on, who would rather live off of the work of others. Whites saw them that way as slaves and still tend to see them that way even now.
c00ns, in the pure, lived in slow motion: they moved slowly and talked slowly. They could never manage to speak proper English and always messed up long words. They were easy to fool and take advantage of. They loved to eat watermelon and play games of chance. When they had money they dressed to show off. They avoided marriage, creating matriarchs, but when they did marry they were ruled by their Sapphire wives. They have big smiles and wide-open eyes. They were friendly, not violent, but could not be trusted with anything.
http://abagond.wordpress.com/2008/04/26/the-c00n-stereotype/