Gaming platform Roblox, popular among teens in India, sued for illegally facilitating child-gambling

San Francisco, August 19

Parents in the US have sued gaming platform Roblox, hugely popular among teens in India, accusing the company of illegally facilitating child-gambling.

In a class-action lawsuit filed in the Northern District of California, two parents claimed that their children, named as minor plaintiffs in the suit, have lost thousands of Roblox’s virtual currency on various third-party websites without their knowledge, reports TechCrunch.

Robux currently sells 800 Robux on its website for $9.99 with deeper discounts for larger amounts of the digital currency.

While gambling is not allowed on Roblox, the lawsuit alleged that it directed children to third-party gambling sites that “invite users to play blackjack, slots, roulette and other games of chance using Roblox’s in-game currency”.

The lawsuit alleged that Roblox maintains control over Robux and, therefore, has “full knowledge of shady, third-party gambling sites that entice kids to play with the in-game currency”.

The suit was filed on behalf of plaintiffs Rachel Colvin and Danielle Sass, two mothers with children who have gambled on third-party websites with Roblox’s virtual currency.

Roblox said in a statement that the gambling sites are in no way affiliated with it.

“Bad actors make illegal use of Roblox’s intellectual property and branding to operate such sites in violation of our standards,” the company said.

“Roblox will continue to be vigilant in combating entities who engage in practices that are in violation of our policies or endanger the safety of our community,” the company added.

Although Roblox has received generally positive reviews from critics, it has faced criticism for its moderation and accusations of exploitative practices directed towards children in the past.