An investigation alleges a "network of illegal casinos" allows children to gamble using their Roblox account information
Original report, December 17, 2024: A purported "network of illegal casinos" is said to be enabling minors to engage in gambling using virtual currency from Roblox.
An inquiry conducted by Sky News suggests that individuals as young as twelve years old are participating in gambling activities through their Roblox accounts on external websites and unauthorized casinos not affiliated with Roblox.
While these platforms are not directly available on Roblox, the company has been attempting to impede these illegal operations. Nevertheless, children can reportedly log in using their Roblox credentials and use Robux, the platform’s currency, to gamble on sites like BloxFlip, RBLXWild, and Bloxmoon. Notably, Bloxmoon, which acquired RBLXWild earlier this year, has reportedly amassed a total of $11.4 million (£8.9 million) since its inception in late 2022.
Some of these sites ask users to confirm their age by providing a birth date or checking a box to verify they are over 18, yet no real age verification is attempted.
A young individual revealed to Sky News that he started wagering at 14 years old, losing approximately 15 million Robux, equivalent to around $190,700 (£150,000). Despite his mother's efforts to intervene, he was drawn to the thrill of making increasingly larger bets.
He remarked, "I just thought it was something you could do to make extra money. I didn't even know what gambling was."
Another child reportedly faced a severe emotional response, even threatening self-harm after losing 20,000 Robux, roughly $250 (£200), on a single roulette spin. His peers were hesitant to involve adults due to concerns about exposing their gambling activities.
"We just tried to calm him down ourselves," the respondent noted.
In reaction to these findings, Andrew Rhodes, head of the Gambling Commission, emphasized, "Illegal casino operators are criminals, supported by criminal organizations. It's crucial for everyone to play a role in combating them."
Rhodes also advised vigilance among all stakeholders, including parents, noting that "criminals are always seeking to exploit children and others."
Shortly after Sky News reached out with their findings, BloxFlip went offline. Subsequently, Bloxmoon and RBLXWild also ceased operations, with statements on their websites confirming the closure.
Nonetheless, moderators on these sites have been found advising users on how to bypass geographical restrictions using VPN technology, with both Bloxmoon and RBLXWild previously shifting to slightly altered URLs.
Roblox is reportedly taking legal action against some of these casinos for copyright infringement and violating its service terms.
A Roblox representative shared with Sky News, "We have a team tasked with identifying potential fraudulent activities on Roblox, and we cooperate with law enforcement when possible to pursue those responsible for such sites."
"Our initiatives have seen some success, but we urge further law enforcement measures and vigilance from web hosting providers to eliminate sites like these."
GamesIndustry.biz has approached Roblox for additional comments.
Recently, Roblox announced major enhancements to its safety protocols and parental controls aimed at safeguarding users under 13.
Update, December 18, 2024: In a statement to GamesIndustry.biz, Roblox affirmed its disassociation from these websites, asserting: "The sites in question are neither endorsed nor authorized by Roblox. We have implemented several measures to disrupt their operations, which contravene our Terms of Use."
Roblox reiterated, "We actively work with law enforcement to identify fraudulent activities and pursue the parties responsible. Our efforts have achieved some results, and we continue to seek further law enforcement collaboration and web host vigilance to shut down these sites."
