Are Mobile Games Targeting Your Kids?: Lawsuit Alleges Company 'Preys on Children' with 'Illegal Gambling'
An online game platform was accused of illegally engaging in child gambling, per a new lawsuit.
Rachelle Colvin and Danielle Sass, the parents of two minors, alleged in the class-action lawsuit that Roblox “is preying on children nationwide” via third-party gambling websites, according to the court documents.
The formal complaint was filed in a San Francisco federal court on Aug. 15.
“Roblox allows third-party gambling websites, including the highly popular online casinos operated by defendants Satozuki, Studs, and RBLXWild … to use the Roblox website to accept online bets using Robux, to be placed on games at [their] virtual casinos.”
The story was first reported by Bloomberg Law.
The plaintiffs accused Roblox of the gambling operation after their children lost money in the form of Robux on the aforementioned websites.
They claimed Roblox violated its own terms of service, which state that “experiences that include simulated gambling, including playing with virtual chips, simulated betting, or exchanging real money, Robux, or in-experience items of value are not allowed,” the New York Post reported.
Though illegal, the process for registering on these online casinos is straightforward.
Roblox users, who are mostly minors, “first purchase Robux through the Roblox website, using either their own money, a parent’s credit card or gift cards they possess,” the lawsuit detailed.
Then, users navigate to one of the three gambling websites, link their Robux wallet to the site and start placing bets once the Roblox currency is converted.
“[U]sers ‘buy in’ using their Robux, obtain chips, gamble until they lose their money or wish to cash out, and, if they increase their credits, they cash those credits out in exchange for Robux,” the lawsuit alleged.
The Roblox “metaverse” space, which markets itself to minors, brings in over 60 million daily active users to its platform, according to the lawsuit. At least 70 percent of those users are under the age of 18, and more than 50 percent of all users are under 13.
Responding to the allegations, a Roblox representative said, “We can’t address the specific allegations of the lawsuit, given the pending litigation,” the Post reported.
However, the representative condemned the illegal practice, noting Roblox cooperates “with law enforcement.”
“Bad actors make illegal use of Roblox’s intellectual property and branding to operate such sites in violation of our standards,” the representative told the New York Post.
“Roblox has teams and processes in place to investigate these types of websites to protect our brand and platform, including, where possible, having the websites removed.”
“Ensuring a safe and compliant online experience for users of Roblox is a core tenant of the company,” the company representative added. “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.”
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