The 25-year-old was suspended from the show last week after the video came to light and he met programme bosses today to discuss his actions.
ITV said tonight that his contract has now been terminated due to his “unacceptable comments”.
Fountain, who played Tommy Duckworth, apologised last week and said he was “deeply ashamed” of the lyrics.
His videos, posted on YouTube as his rap persona The Phantom, featured the star discussing violent themes. The clips have been removed from the website but featured Fountain wearing a Halloween mask and delivering lines such as “rape a bitch on her birthday”.
An ITV spokesman said: “Chris Fountain’s contract with ITV has been terminated as a result of the unacceptable comments he made in a number of online clips.”
Fountain’s actions were condemned by charities, women’s groups and MPs.
Fay Maxted, chief executive of the Survivors Trust - an umbrella agency for more than 135 specialist rape, sexual violence and childhood sexual abuse support organisations - said last week: “He is a role model for young people. It almost seems like he’s making a joke of something that really isn’t funny.”
Tory MP Priti Patel said his raps showed “a lack of respect, regard and understanding of the crime of rape”. She added: “This guy is trying to trivialise it. He should know much better.”
Fountain - who has also starred in Hollyoaks and has been a contestant on Dancing On Ice - spoke of his regret last week after the video emerged.
He said in a statement: “I would like to sincerely apologise for any offence I have caused. I am deeply ashamed by the lyrics and very much regret my behaviour.
“The videos were made over a year ago when I was experimenting with music and I’ve not done anything like it since and nor will I.”