Roblox Accused of Concocting Illegal Gambling Ring for Minors
news.bloomberglaw.com
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Popular online gaming platform Roblox acts as an illegal gambling ring that preys on children, according to a purported class action brought by parents.

The complaint outlined the process by which minors can use the Roblox platform to gamble. After purchasing Robux through the platform, they can navigate to one of the gaming website defendants’ “virtual casinos” outside the Roblox ecosystem and link their Robux wallet to the gambling website, meaning Roblox can still keep track of electronic transfers, the lawsuit said.

While Roblox could halt this “illegal gambling ring,” Colvin and Sass argued that it’s “significantly enriched” by the scheme. They allege that Roblox charges a 30% fee on the websites’ conversion of Robux back into dollars, raking in “millions in annual cash fees.”

I think a more important difference is that Apple isn’t involved in the transfer of the card from one person to another.

It sounds like Roblox is involved in each transfer and could cut off access to the third party site once they find out it is actually a gambling site.

The combination is definitely worse, but if Apple allowed one person to charge a card, and a different person to get the cash out, they’d still be involved in the transfer of the cash, so they’d still fall under all the banking regulations.

Roblox in this case got the worst combination possible: cash transfer, full control, gambling, minors. Like, what were they thinking about (…unless, they got so much profit that they don’t fear any fine).

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