The U.S. Securities and Exchange Commission (SEC) is currently investigating Roblox, a popular online game platform, according to a recent Bloomberg report. While the SEC confirmed the existence of an "active and ongoing investigation" involving Roblox via a Freedom of Information Act request, the specifics remain undisclosed. The commission cited potential harm to the ongoing proceedings as the reason for withholding further details. Roblox itself has not yet commented on the matter.
This investigation follows previous scrutiny of Roblox. Last October, a report alleged the company 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. The company acknowledged potential inaccuracies in DAU figures due to undetected fraud and unauthorized access, and announced significant upgrades to its safety features and parental controls in 2024.
Prior to this, Roblox faced lawsuits in 2023 from families alleging misleading claims about the platform's safety for children. A 2021 report also examined concerns about the exploitation of creators through user-generated content on the platform.
Recently, Roblox shares experienced an 11% drop after the company reported 85.3 million daily active users, falling short of analyst expectations of 88.2 million. CEO David Baszucki stated the company's continued focus on its virtual economy, app performance, and AI-driven safety and discovery features.
