I don't take it personally, but I really do not like it.
I have this one guy who hangs out in my clique at school, and he uses it A LOT! There are three ways in which he uses it. First, to mean lame, second to mean 'imba/imbalanced' which is a gaming term for something too powerful (I suppose this is good, but generally people use it when someone else is too powerful, and kills them or something), and lastly as a stereotypical homosexual.
Whenever he uses it in the first two ways, I pass a sarcastic (but friendly) remark about how he's SOOOOO correct, and then tell him it's wrong, and not to use it that way anymore.
As for the last one, he actually uses it on himself a lot... because he really likes the colour pink... and rainbows...
But no, he isn't gay, and no offence to him, but there is NO WAY I'd ever be interested.