The highly popular live service game Roblox is currently under investigation by the U.S. Securities and Exchange Commission (SEC), as reported by Bloomberg. The investigation's scope and details remain ambiguous, but the SEC has confirmed the existence of emails referencing Roblox as part of an "active and ongoing investigation." When asked for more information, the SEC stated that releasing staff correspondence would "harm the ongoing enforcement proceedings." Bloomberg was unable to ascertain the specific focus of the investigation, and Roblox did not respond to their requests for comment. The SEC also declined to provide additional details.

Roblox has faced scrutiny from various quarters recently. In October of last year, a report accused Roblox Corporation of inflating its daily active user (DAU) statistics and creating a "hellscape" for children. Roblox issued a detailed rebuttal on its website, vehemently denying these claims and emphasizing that "safety and civility" are central to its platform. They also admitted that undetected fraud and unauthorized access could lead to an overstatement of DAUs. In 2024, Roblox announced significant enhancements to its safety systems and parental controls.

In 2023, families filed lawsuits against Roblox, alleging the company misrepresented its ability to ensure the platform's safety and appropriateness for children. Additionally, a 2021 report from People Make Games examined Roblox's user-generated content and questioned whether the platform was exploiting its creators.

Last week, Roblox's stock experienced an 11% drop after the company reported 85.3 million daily active users, falling short of the StreetAccount estimate of 88.2 million. In response, Roblox CEO David Baszucki announced continued investment in the platform's virtual economy, app performance, and advancements in "AI-powered discovery and safety," with the aim of empowering creators and enhancing user experience.