Roblox Faces Scrutiny in Ongoing SEC Investigation
By The SEC may not share further information due to the risk of causing “harm to ongoing enforcement proceedings.”
Reports suggest that Roblox is part of an active inquiry conducted by the US Securities and Exchange Commission.
According to Bloomberg, a response to a Freedom of Information request indicated that the company was involved in an investigation.
However, the SEC cannot disclose additional information as it could potentially create “harm to the ongoing enforcement proceedings.”
No further details about the investigation have been disclosed at this time.
Last October, Roblox denied allegations put forth in a report by Hindenburg Research that it manipulated metrics for investors and failed to ensure the safety of minors.
“The financial assertions made by Hindenburg are deceiving,” the company stated in a statement. “The authors are short sellers with an agenda that disregards the reality of Roblox’s business model and performance.”
In response to concerns regarding minors’ safety, the corporation emphasized: “Roblox takes any content or behavior on the platform that does not comply with its standards very seriously, and has implemented a series of proactive and preventive safety measures designed to detect and deter malicious or harmful conduct on the platform.”
In November 2024, Roblox introduced significant modifications to its safety systems and parental controls to enhance protections.