Hindenburg Research on Saturday accused online gaming platform Roblox of allowing users to request child sexual exploitation content or seek sexual favors with children on group chat walls.

Sharing the claims in a post on social media platform, X , formerly known as Twitter, the US-based short seller said: “We found over 50 Roblox group chat walls that are active right now with no age restrictions , where users request child sexual exploitation content or child sexual favors (many using thinly coded language). The list is not exhaustive. It only took us an hour and a half to find them and there are many more.”

Roblox CEO David Baszucki was on CNBC today, calling the platform “a beacon for safety and civility.”

We found over 50 Roblox group chat walls that are active right now, with no age restrictions, where users are requesting child sexual exploitation content or sexual favors… pic.twitter.com/8dOFu1q1jA

— Hindenburg Research (@HindenburgRes) November 1, 2024

The missing seller claimed that the gaming company was informed about these issues a long time ago, however, they did not take any action to fix the issue. “Roblox was made aware of these issues years ago and has done nothing substantial to address them,” the post read.

Notably, last month Hindenburg revealed a short position on the gaming company, claiming it had inflated metrics like user count and engagement. Roblox engages in user-generated content to increase engagement and earn from in-game spending with virtual currency.

Hindenburg previously targeted Indian billionaire Gautam Adani and the conglomerate for being involved in money laundering, among other charges. These were vehemently denied by the industrialist.

In September, the short seller leveled fresh allegations against Securities and Exchange Board of India chairman Madhabi Puri Buch and her husband Dhaval Buch that they have a stake in the Adani group’s money-laundering scandal. The report raised conflict of interest claims against Buch and alleged that she failed to disclose her true income. These claims have been vehemently denied by the couple.

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