ShareRoblox, a popular online gaming platform, has been hit with a class action lawsuit in the US District Court for the Northern District of California. The suit alleges that the company knowingly facilitates illegal gambling that targets children and profits from it.
“Each of the Illegal Gambling Websites operates on or in concert with Roblox and the Gambling Website Defendants, facilitating an exchange of Robux for gambling credits that occurs on the Roblox platform. Indeed, Robux never leave the Roblox platform until they are exchanged for cash. Once a minor user’s credits are exhausted, the Gambling Website Defendants cash out their newly-acquired Robux and provide Roblox with its 30% transaction fee.”
Allegations of Illegal Gambling Targeting Children
The lawsuit claims that Roblox is involved in facilitating child gambling through third-party gambling sites that invite users to play games of chance using Roblox's in-game currency, Robux.These sites allegedly operate in concert with Roblox, allowing users to exchange Robux for gambling credits.
The lawsuit also accuses Roblox of profiting from child gambling by charging a 30% fee on the conversion of Robux back into dollars, allegedly raking in millions in annual cash fees. This implies that the company is exploiting gambling aimed at minors for personal gain.
Roblox's Response
Roblox has emphasised that the gambling sites are in no way affiliated with the company and that they are violating Roblox's terms of service. The company claims it will continue to be vigilant against such sites.“These are third-party sites and have no legal affiliation to Roblox whatsoever. Bad actors make illegal use of Roblox’s intellectual property and branding to operate such sites in violation of our standards.”
This isn’t new information, too, because four years ago YouTuber KreekCraft tweeted about a website called rblxflip that allowed children to effectively gamble online with Roblox tokens.
“Heard a lot about rblxflip today. For the people unaware it’s a Roblox robux gambling site. 1. It is ILLEGAL for anyone not an adult to gamble. Being this site is marketed towards Roblox, ie KIDS, I wouldn’t be surprised if it got shut down. 2. Don’t use it. You’ll be banned. 3. Anyone accepting money to promote this site is garbage. 4. It undoubtedly stores your personal login info and you’re risking your info getting leaked. Stay safe. Don’t use it.”
If the allegations against Roblox are proven true, the company will face serious legal consequences. This lawsuit may also have an impact on the gaming industry as a whole, highlighting the need for stronger regulations and protections for children in the online gaming space.
