roblox under investigation

Roblox Corporation is currently under active investigation by the U.S. Securities and Exchange Commission (SEC). The SEC has confirmed this ongoing investigation but has not disclosed specific details to avoid compromising the enforcement proceedings.

finance.yahoo.com

This development follows a report by Hindenburg Research, which accused Roblox of inflating user metrics and highlighted significant child safety concerns, referring to the platform as a "pedophile hellscape." The report alleges the existence of chat rooms within Roblox used for trading illegal images of children and engaging in child abuse content exchanges for in-game currency.

In response, Roblox has denied these allegations, emphasizing its commitment to user safety and detailing extensive moderation efforts to protect its community. The company asserts that the platform is generally safe and continues to implement measures to combat inappropriate content.

Additionally, Roblox is striving to differentiate itself from traditional social media platforms amid legislative discussions aimed at protecting children online. The Kids Online Safety Act (KOSA) seeks to ban children under 13 from creating social media accounts and limit algorithm recommendations for those under 17. Roblox, with a significant portion of its user base under 13, is engaging with policymakers to showcase its unique platform and proactive safety measures.

As the SEC's investigation continues, Roblox remains under scrutiny regarding its user metrics and child safety protocols.