The 'Anyone' hitmaker was believed to have started a relationship with the 29-year-old rapper earlier this week when the pair were spotted leaving Soho House West Hollywood - a members-only club in Los Angeles - at around 2am on Wednesday (05.02.20).
But sources have now told TMZ there's ''nothing romantic'' going on between the duo, and they were simply at the club to ''hang out with a mutual friend''.
The insider also claims that although they left the venue together, they departed in ''separate vehicles'', and are both still ''very much single''.
At the time, it was reported that although they took separate cars, MGK's Aston Martin convertible was spotted following the 'Sorry Not Sorry' hitmaker's SUV towards the 27-year-old pop star's apartment.
This isn't the first time the pair have hung out together as they were photographed at an Emo Nite LA event back in 2017, but nothing romantic came of it at the time.
Meanwhile, MGK was recently linked to Miley Cyrus' 20-year-old sister Noah, after the pair were seen getting up close and personal at a Grammys after party.
And Demi has been single since December, when she split from Austin Wilson following just one month of dating because she wanted to focus on herself and her health.
Despite being single, Demi said she hopes to have settled down and started a family - whether that's with a woman or man - by the time her 20s are over.
She said recently: ''I want to start a family.
''That would be dope. I don't even know if I see it with a man or a woman. I just know that, at some point, I would love to do that this decade.''
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