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More Problems at Roblox (RBLX)

thebearcave.substack.com

More Problems at Roblox (RBLX)

More Problems at Roblox (RBLX)

Edwin Dorsey
Feb 17, 2022
5
Share this post

More Problems at Roblox (RBLX)

thebearcave.substack.com

Two weeks ago, The Bear Cave published on widespread pedophilia, child abuse, and illegal gambling connected to Roblox (NYSE: RBLX — $31.2 billion). Since then, Roblox has updated its website safety disclosures and faced further media scrutiny for inappropriate content. The Bear Cave has also uncovered numerous other issues around safety, spending, and governance. Investors may be underestimating Roblox’s problems.

In response to The Bear Cave’s first article, Roblox called The Bear Cave “wholly misleading, false, and irresponsible.” Following The Bear Cave’s article, Roblox also deleted its retweet of a self-described pedophile and added a “safety and civility” section to its corporate website highlighting its “world-class safety system.”

In addition, Ross Gerber, a Roblox investor and advisor at Gerber Kawasaki, tweeted that “Roblox is the safest platform I let my kids play on.”

Twitter avatar for @GerberKawasaki
Ross Gerber @GerberKawasaki
Roblox is the safest platform I let my kids on. This pre earnings news is BS. They do a great job keeping gaming safe and fun. $rblx
4:44 PM ∙ Feb 15, 2022
422Likes28Retweets

Ho Nam, a venture capitalist at Roblox backer Altos Ventures, tweeted that Roblox is potentially “1,000x safer than any real-world playground.”

Twitter avatar for @honam
Ho Nam @honam
@StockJabber @BahamaBen9 These reports are not new. Reason for many arrests is that they work closely with law enforcement around the world as well as parents and community orgs. Roblox can he 1,000x safer than any real world playground but the large numbers makes it sure thing bad things happen.
4:47 PM ∙ Feb 3, 2022
17Likes2Retweets

That may be an overstatement.

Two days ago, the BBC published an investigation into Roblox’s safety issues that began:

“A naked man, wearing just a dog collar and a lead, is led across the floor by a woman in a bondage outfit. Two strippers dance next to a bar. One man is wearing a Nazi uniform. This isn't happening in the real world, it's taking place on children's gaming platform Roblox.”

Roblox tells parents that it “conducts a safety review of every uploaded image, audio, and video file” and “prohibits content that seeks or portrays romantic relationships including hand holding or other romantic gestures.”

A BBC investigation summary on YouTube has received over 60,000 views in less than 48 hours and has been distributed by other news outlets as well.

The problem with inappropriate content is not just on the fringes. Yesterday afternoon Roblox suspended its third most popular game “MeepCity.” The game was recently added back with the “party rooms” removed. Those rooms were popular as a way for players to socialize but were also a hotbed of inappropriate content.

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