Roblox Referenced in Active SEC Investigation, Report Confirms
The widely acclaimed live-service game Roblox is currently under an active investigation by the U.S. Securities and Exchange Commission (SEC), as revealed by a recent report. While the full scope remains undisclosed, Bloomberg obtained a statement from the SEC confirming that Roblox was mentioned in an "ongoing investigation."
According to the SEC, there are emails within the Division of Enforcement's staff discussions referencing Roblox. However, the agency refrained from providing further details due to potential harm to the enforcement process. Bloomberg was unable to determine the nature of the investigation, and Roblox has not yet commented publicly.
Roblox has faced scrutiny from multiple fronts. Last October, a report alleged that Roblox Corporation inflated its daily active user (DAU) numbers and created a harmful environment for children. Roblox vehemently denied these claims, emphasizing its commitment to safety and civility. Additionally, the company acknowledged the possibility of undetected fraud affecting its DAU metrics. In 2024, Roblox implemented significant upgrades to its safety systems and parental controls.
Previously, families filed lawsuits against Roblox in 2023, accusing the company of misleading users regarding child safety measures. A 2021 report from People Makes Games explored user-generated content on Roblox and questioned whether the platform exploited creators.
Last week, Roblox shares dropped by 11% following the announcement of 85.3 million daily active users, falling short of the projected 88.2 million. CEO David Baszucki stated that the company will continue investing in its virtual economy, app performance, AI-driven discovery and safety features, creator empowerment, and overall user experience.
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