Several major illegal Robux gambling sites shut down following a Sky News investigation that exposed children as young as 12 betting on casino games using Roblox's in-game currency.

BloxFlip, Bloxmoon, and RBLXWild, which collectively attracted 2.8 million monthly visitors, allowed underage users to gamble Robux on games like slots and blackjack without proper age verification. While betting was done in Robux, winnings could be withdrawn as cryptocurrency and converted to real money.

The shutdown came shortly after Sky News published their findings. BloxFlip announced it would begin refunding users, claiming they had "operated in strict compliance with legal guidelines" but were facing pressure from Roblox's legal team.

This issue is particularly concerning given Roblox's young user base - over 60% of its 164 million active users are under 16, with 22% being nine or younger, according to SEC filings.

Roblox Corporation has stated they don't endorse these third-party gambling sites and welcome law enforcement action against them. However, the company faces a class-action lawsuit in Northern California from parents whose children lost money. The lawsuit alleges Roblox incentivized these gambling sites and profited from related transactions while failing to protect young users.

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