Roblox settlement yields tighter restrictions, over $8 million for South Dakota
SDPB |
By
Jackson Dircks
Published July 13, 2026 at 2:05 PM CDT
Jackson Dircks
/
SDPB
South Dakota is set to receive millions of dollars and further restrictions to protect minors after settling with the popular online video game Roblox
South Dakota and Roblox have reached a multi-million-dollar settlement. As part of the settlement, the gaming platform is requiring all users to undergo age verification, including using facial age estimation technology and government-issued ID for age confirmation. That’s to ensure children only have access to age-appropriate content. Parents will also have expanded control over their child’s use of the platform as part of the agreement. That includes features like allowing parents to block children from accessing specific experiences and view chats.
The settlement also tightens restrictions on chatbots, which have been at the center of controversy. Parents have alleged that predators have used Roblox chat features to communicate with and groom minors
Jackson Dircks
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SDPB
In addition to those restrictions, Attorney General Marty Jackley said a feature of the settlement he hopes becomes “a national model.”
“Working with law enforcement on how we can partner with online companies to better protect our kids,” Jackley said
While other states are bringing charges against Roblox around individual child exploitation cases, that’s not been the case in South Dakota. That’s
“We’ve not had a specific ICAC sexual exploitation case that’s been brought,” Jackley said, referring to the SD Internet Crimes Against Children Task Force, or ICAC. “Concerns have been raised. I’ve talked directly with several attorneys general; I’m chairman of the AGs. It’s been happening in other states, but we’ve not brought that type of a prosecution. And I hope with this settlement we never have to.”
The state is expected to bring in a guaranteed $8.6 million. Those funds will be used to fund the SD ICAC Task Force, as well as be disbursed to the Attorney General’s Consumer Protection Fund and Department of Education
The full amount is spread out and to be fully paid by July 2030 as follows: The first $2.6 million must be paid to ICAC within a year, $2.5 million to the DOE within two years, another $2.5 million to DOE within three years and $1 million for the Consumer Protection Fund within four years
Jackson Dircks
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SDPB
Of $5 million given to the DOE, at least $1 million of the funds must be used to fund governmental and nonprofit after-school programs. Secretary of Education Joseph Graves said that after-school programs is “exactly where this [money] needs to go.”
“That’s the time of the day when kids who are without frequent parental supervision, are going home, and then they have kind of free reign. After-school programs are really what kind of address that,” Graves said. “We have currently a number of after-school programs throughout the state that are federally funded, but what we have is a lot of schools and a lot of other organizations that want to provide those programs to kids who can’t because the funding simply isn’t available.”
Lt. Gov. Tony Venhuizen also spoke at Monday’s press conference, thanking Jackley for protecting children and holding Roblox accountable. He said the governor’s office is working on how to best manage the settlement dollars, calling it a “good day for South Dakota.”
“We learned a few days ago about the terms of the settlement and its uses, so we will be working with Secretary Graves and with our administration and with the attorney general to plan for the best ways to use this money effectively to improve the lives of young people in our state through the programs that he discussed and through enhanced law enforcement,” Venhuizen said
Jackson Dircks
/
SDPB
Roblox will also underwrite a two-year-long, million-dollar awareness campaign focused on “online child safety,” specifically in relation to Roblox. The campaign must be “designated to reach a South Dakota audience,” and South Dakota may provide local organizations to be considered as partners and can recommend participants and on-camera talent “to be considered for the campaign assets.”
Should Roblox fail to comply with the settlement, the state could pull in additional funds. If an initial material breach occurs within a year, the state can bring in an additional $5.4 million. The amount the state can receive as a result of a breach of settlement decreases every year thereafter
The state also has a “Most Favored Nation” clause. That means if other states receive what South Dakota and Roblox agree is “superior monetary relief,” the state can receive additional payments on top of the already agreed upon settlement. The state will also see further protections for minors if other states have additional protections in their respective settlements
Roblox will issue a yearly report proving the funding is disbursed
