Club Penguin, the Disney‑owned, Flash‑based massively multiplayer online game that entertained children from 2005 until its shutdown in 2017, was a defining part of many youngsters' digital childhoods. According to Stephen MacDonald—who served as a senior manager at Disney between 2012 and 2015—the platform once boasted more than 300 million registered accounts at its height.
The demise of Adobe Flash effectively ended the original penguin world, and the mobile‑only follow‑up, Club Penguin Island, never gained traction; it closed its doors in December 2018, just eighteen months after launch. In the meantime, Roblox has emerged as a de‑facto entry point for many kids into the broader online gaming ecosystem.
Yet MacDonald argues that Roblox does not replicate the safety‑first philosophy that Club Penguin championed. "A typical progression used to be a preschool‑level title like Peppa Pig, then a child would graduate to Club Penguin to learn basic online safety skills and tools, and later move on to more competitive experiences such as Fortnite," he explains. "Now kids jump straight from Peppa Pig to Roblox, and that leap skips a crucial safety education stage.
Young players aren’t prepared for the social dynamics and adult interactions that a platform like Roblox presents. In many competitive games they become easy prey for older users, and the environment can be socially unsafe." Motivated by this gap, MacDonald founded Magic Potion Games with the explicit goal of delivering a spiritual successor to Club Penguin. Backed by investors such as Square Enix, 1AM Gaming, 1Up Ventures, and Konvoy Ventures, and advised by industry veterans including Bungie co‑founder Alex Seropian and Club Penguin co‑founder Lane Merrifield, the studio is developing Imagine Island.
The new title places live moderation, age‑appropriate safeguards, and a child‑centric design at its core, targeting players aged 6–13. "Our mission was to return to that niche: a safe, fun space for kids transitioning from preschool‑type content," says MacDonald. "After they’ve learned the basics here, they can move on to broader platforms like Roblox with a stronger foundation." MacDonald lives in Kelowna, British Columbia—the same region where New Horizon Interactive originally created Club Penguin before Disney acquired it in 2007.
He oversaw game design and production for several years and recalls the extensive measures Disney employed to protect its young audience. "Few people realized the scale of effort involved," he notes. "We employed hundreds of live moderators whose sole job was to guard children’s interactions, collaborate with law‑enforcement to quickly remove predators, and ensure that no harmful content slipped through. We even built the technology that became Community Sift—a sophisticated chat filter and moderation system pioneered by Chris Priebe and later purchased by Microsoft in 2021.
At the time it was cutting‑edge." Beyond technology, Club Penguin used subtle behavioural nudges. MacDonald cites an example where a player typed a borderline phrase; the system silently blocked it while showing the player that the message never reached others, creating a social cue that discouraged inappropriate language. "It was like telling a joke that no one laughs at—you feel the discomfort and adjust," he says. "We could engineer the community’s tone by deciding which content was allowed to surface." The original platform’s demise was largely tied to Flash’s obsolescence.
While MacDonald was not involved with the mobile‑only Club Penguin Island, he believes the shift to mobile alone was a misstep. "There was pressure to chase the mobile market, assuming every child was on a phone.
In reality, a huge portion of our audience still played on PCs because the game ran everywhere—even on a toaster. That universal accessibility was part of the magic," he reflects. Since Club Penguin’s closure, Roblox’s user base has exploded, rising from 13.7 million daily active users in Q4 2018 to 144 million in Q4 2025 (Statista).
MacDonald has tracked Roblox from its inception, noting that it began as a toolbox platform rather than a children‑first product. "Club Penguin was built with kids in mind from day one; Roblox was designed for creators of all ages.
The DNA is fundamentally different." He does concede that Roblox has excelled at engagement. "I remember gathering our designers to play Work at a Pizza Place when it first launched on Roblox and thinking, ‘We’re in trouble.’ The technology was beyond what we could achieve then, and the industry was shifting toward sandbox experiences like Minecraft and Roblox.
It was a clear change of guard." MacDonald also points out that platforms hosting children bear a heightened responsibility. Recent U.S. Senate scrutiny of Roblox highlights concerns that the service may prioritize revenue and engagement over child safety. Roblox has responded with age verification for chat, a “sensitive issues” content label in 2025, and a 2024 restriction that blocks direct messaging for users under 13.
Imagine Island originated from a simple question: "What core elements of Club Penguin should survive, and how can we adapt them for a new generation that plays differently?" After leaving Electronic Arts in 2023—following the shutdown of his studio—MacDonald re‑connected with former Club Penguin colleagues Sascha Williams and Karin Johnson. Together they secured venture capital, raised several million dollars, and began prototyping the new world with safety as the foundational pillar. The gameplay loop mirrors the original: players craft a custom avatar, explore a vibrant island, tackle mini‑games, complete quests, and join community challenges.
Within months of its beta release in August, Imagine Island surpassed one million users without any major marketing spend. The title is accessible via web browsers thanks to a partnership with CrazyGames, echoing Club Penguin’s cross‑platform reach. Safety remains the non‑negotiable priority.
The studio employs the GGWP moderation suite alongside human moderators, and is actively exploring AI tools that can flag risky conversational patterns. "My number‑one rule is: are the kids safe? Everything else comes after that," MacDonald asserts.
He likens the environment to an elementary school playground supervised by adults, where children can roam in groups but remain protected from harmful actors. While AI moderation is promising, MacDonald believes human intuition is still superior.
"AI isn’t yet at the level of a seasoned moderator who can read subtle cues. As we scale, we’ll integrate more AI, but human oversight will stay essential." User‑generated content is allowed, but the platform restricts asset uploads, giving the team control over visual elements. Nevertheless, players can rearrange existing assets in ways that might be problematic, so the moderation team also reviews in‑game spaces.
When asked about a cryptic phrase that surfaced during development, MacDonald humorously confirmed it referred to a playful internal term, emphasizing that the team constantly evaluates whether any content could be misinterpreted or inappropriate for children. He stresses that parental perception is a key test.
"If a parent walked by and asked what their child was playing, would Imagine Island pass the sniff test? That’s the lens we use for every feature." The pandemic amplified the importance of virtual social spaces for children, making safe online worlds even more critical.
MacDonald notes that Roblox has become a digital mall for a generation, yet many of its social mechanics echo Club Penguin’s legacy—such as Roblox’s Adopt Me mirroring the original Puffle system. He is surprised by the scarcity of games that have attempted to fill Club Penguin’s niche. "It’s a massive opportunity that’s largely untapped." For MacDonald, the responsibility of shaping a child‑focused game feels like a moral duty. He wants the project to be a positive contribution—a “deposit in the world bank” rather than a withdrawal.
He recalls a poignant moment when the Make‑A‑Wish Foundation brought a terminally ill child to see the Club Penguin studio; drawing the child as a penguin left a lasting emotional impact, reinforcing his belief in the profound influence games can have. In summary, Imagine Island seeks to revive the safe, community‑driven spirit of Club Penguin while leveraging modern technology and a firm commitment to child protection. By doing so, it aims to give the next generation a secure stepping stone before they venture into broader, less‑regulated platforms like Roblox.