A coalition of child safety organizations has formally requested the U.S. Federal Trade Commission investigate the $4.9 billion gaming platform Roblox, alleging its business model endangers millions of young users.
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Child safety groups ask FTC to probe Roblox and its 150 million users
Two children's advocacy groups have asked the U.S. Federal Trade Commission to investigate the popular gaming platform Roblox, alleging its design features and marketing techniques are “unfair and deceptive” to its nearly 150 million daily users. The request, filed May 20, claims the company is violating Section 5 of the FTC Act, which prohibits unfair trade practices, by putting young users at risk while misrepresenting the platform's safety.
"The FTC has the authority to stop Roblox from raking in billions of dollars in profit every year at the expense of our children’s safety and healthy development," Haley Hinkle, policy counsel at the nonprofit Fairplay, said in a statement. "We call on the commission to investigate Roblox’s unfair trade practices and acts, and to scrutinize the platform’s compliance with children’s online privacy law."
The complaint specifically targets Roblox's virtual currency, Robux, its chat and communication tools, and its use of "engagement-maximizing design features" as unfair conduct. The filing also asks the FTC to review Roblox's compliance with the Children's Online Privacy Protection Act (COPPA). Roblox reported that in the first quarter of 2026, only 1.4% of its daily active users were payers on the platform.
A formal investigation by the FTC could result in significant financial penalties and force substantive changes to Roblox's business model, which generated $4.9 billion in revenue last year. The request adds to a mountain of legal pressure on the company, which is already facing more than 140 lawsuits in U.S. federal court accusing it of failing to protect minors from predators and sexual exploitation.
A Pattern of Scrutiny
The FTC filing is the latest in a series of legal and regulatory challenges facing the California-based company. In 2023, a class-action lawsuit filed by a group of families accused Roblox of "negligent misrepresentation and false advertising," alleging their children were exposed to inappropriate content and predators.
This was followed by multiple lawsuits in 2025. A filing in Louisiana claimed the company intentionally failed to implement safety measures to prevent the spread of child sex abuse materials. In November of that year, Texas Attorney General Ken Paxton sued Roblox, claiming it deceived parents and ignored online safety laws. The groups behind the new FTC request include Fairplay, the National Center on Sexual Exploitation (NCOSE), and Jonathan Haidt’s The Anxious Generation Movement.
Roblox on the Defensive
Roblox has consistently disputed the claims and maintains it is committed to user safety. "While no system can be perfect, we have a set of safeguards designed to support a safe and civil environment, and clear policies for game creators that require fair treatment of players," a company spokesperson said in a statement. The company said it "strongly disputes" the claims in the letter.
In response to the growing criticism, Roblox has rolled out several new safety features in recent years. These include global age verification, age-gated accounts for users under 16, and expanded parental supervision tools. The company has also invested in AI-powered chat moderation to detect and block harmful communication in real-time. Direct chat is off by default for players under nine, and voice chat is restricted to users 13 and older who have completed an age check.
This article is for informational purposes only and does not constitute investment advice.
