Roblox — a popular children’s game — has found itself at the center of the limelight for all the wrong reasons.
Late Tuesday night, Sky News released a scathing report exposing the malpractices of three illegal offshore Roblox casinos — BloxFlip, Bloxmoon and RBLXWild. As a result, the trio have been indefinitely suspended and the UK Gambling Commission (UKGC) has launched its own investigation into the matter.
Many are familiar with Roblox, which allows users to both create their own games and play games made by others. While Roblox is free to play, it’s also very much "freemium," meaning there are in-game items and other perks that can be bought with the game’s virtual currency — Robux.
Still, Robux must be purchased using real money, so it’s a currency that holds monetary value. Roblox’s popularity peaked at 164 million active users in August 2020, with nearly three-in-four users being children between the ages of nine and 12. To this day, the game still averages around 80 million monthly users.
Roblox Casino Scams and the Reality of Offshore Casinos
In early 2022, many young children became the target of Roblox casinos and the scams associated with them. In the time since, betting activity has escalated quickly, with Sky News reporting that users bet $22.3 million Robux on just Bloxmoon from April to October 2024.
What’s worse, Bloxmoon only paid out $20.1 million in winnings, meaning nearly $2.2 million was kept as revenue. The cherry on top? Roblox Corp. has been aware of illegal offshore Roblox casinos since at least April 2022. Evidence of this can be found in court filings, detailing that Roblox asked BloxFlip and RBLXWild to shut down at that time.
Furthermore, there’s an ongoing class action lawsuit against Roblox, which was filed by the parents of five different children last August. In September 2024, a judge ruled in the plaintiff’s favor, meaning Roblox is compelled to answer the parents’ claims of negligence.
Understanding the Risks of Offshore Casinos
While technically illegal in the eyes of the UKGC, these Roblox casinos were able to operate as offshore casinos. Simply put, an offshore casino is one that has received an international license from a recognized gaming authority outside of the country.
There are a few different reasons offshore online casinos exist and some are safe. However, using operators that aren’t locally regulated comes with inherent risks. Some will be licensed abroad by reputable gaming commissions, such as the Gibraltar Gambling Commission (GGC), but others aren’t legitimate at all.
As such, sticking to online casino sites recommended by the Action Network is a good way to stay safe. Signing up for any online casino will require the divulgence of personal information, banking details and a piece of government-issued identification (for account verification purposes). Playing responsibly is non-negotiable, and children should never be allowed to use online casinos.