On a recent Friday, the Consumer Financial Protection Bureau (CFPB), a U.S. government agency tasked with shielding consumers from deceptive and unfair banking practices, introduced a new proposal aimed at safeguarding Roblox players from scams and hacks. They’re also reaching out to gamers who spend virtual currencies, seeking insights into any difficulties they’ve encountered, particularly how companies responded when scams were reported.
This proposed measure isn’t an entirely new law; rather, it’s a reinterpretation of an existing regulation known as the Electronic Fund Transfer Act (EFTA). Originally enacted in 1978 during President Jimmy Carter’s tenure, the EFTA was designed to protect consumers from unwanted debit transactions, especially with the growing use of ATMs during that period. The CFPB is looking to broaden the application of this act so it covers specific gaming platforms, like Roblox.
A CFPB blog post highlighted the quick evolution of gaming currencies and accounts, revealing how they’re increasingly resembling banking and payment systems. They’ve noted that as these changes have taken place, gamers—or sometimes their parents or guardians—have faced issues like difficulties converting dollars into in-game currency, unauthorized transactions, account breaches, scams, and lost assets. Many have experienced minimal support from game companies, banks, or digital wallets. Refunds are frequently denied, players sometimes find their accounts suspended after seeking refunds from financial institutions, and many end up trapped in endless loops with AI-powered customer service while trying to get clear answers.
This regulation wouldn’t apply to all games with in-game currencies and transactions; it centers on games with a monetized virtual marketplace, such as Roblox. The proposed law outlines three criteria: the ability for users to pay for goods or services across multiple merchants, withdraw funds or access cash, or perform person-to-person transfers.
In Roblox, its users use a currency known as Robux to purchase various in-game enhancements and cosmetics from each other. Roblox developers then receive a cut of the Robux spent within their games, which they can convert into U.S. dollars through the Developer Exchange Program. This rule might not affect games like Fortnite, where users can’t resell cosmetic items or trade V-bucks amongst themselves, nor is there a direct exchange service.
