Source: The Verge
Roblox is caught in a classic platform trap: the safety measures required to attract older users and advertisers (age checks, content moderation) actively repel the younger audiences who built the ecosystem in the first place. The company's DAU decline shows that compliance isn't costless—platforms can't simply bolt on gatekeeping without friction bleeding into retention. Roblox faces a choice between regulatory legitimacy and the network effects that drive valuations. Metaverse platforms will confront the same tension as they navigate COPPA enforcement and advertiser demands simultaneously.