The Senate recently approved the regulation of sports betting in Brazil, but online casino games were removed from the project. Now, the proposal returns for analysis by deputies. Carla Dualib, Regional Business Development Manager at SOFTSWISS, evaluated the process and shared her insights about the Brazilian market.
Carla hopes that online games will return to the bill in a vote in the Chamber, scheduled to take place this week.
Furthermore, the SOFTSWISS board listed some positive aspects that regulation can bring to the national sector.
Analysis by Carla Dualib, SOFTSWISS, on betting regulation:
What do you think of the recent vote in the Senate?
Carla Dualib: The current version of the Bill is not definitive and changes are expected when it is processed in the Chamber of Deputies. My initial expectations were different, as there was an expectation of approval from the casinos as well. It is possible that changes will be introduced in the Chamber to incorporate these aspects.
How will the announced paragraphs of the law affect companies operating in Brazil?
Carla Dualib: As for the impact on companies operating in Brazil, at this moment everything remains the same, as the approval process has not yet been finalized. Companies will need to adapt to regulations by purchasing a R$30 million license, covering three brands.
Approved taxes include a 12% income tax for companies and a 15% tax for bettors, applicable only to prizes won above R$2,112.
Other key points of the proposal include government authorization for sports betting companies, requirement for a Brazilian partner with a minimum share capital of 20%, licensing fee of up to R$30 million for five years, restrictions on involvement with football societies or professional organizations sports, the prohibition of minors and those who may influence the results of betting, and the adoption of facial recognition technology to verify the identity of players.
What challenges and benefits will the market face when the laws are signed?
Carla Dualib: As far as challenges go, adapting to regulation will be a constant challenge, but it is crucial and will likely occur gradually.
As for the benefits, the regulation will bring numerous advantages, guaranteeing responsible gaming, restricting access to children under 18 and creating a conducive environment for serious companies to contribute significantly to the country’s economy through billions in revenue, job creation direct and indirect and positive economic impact.
About SOFTSWISS
SOFTSWISS is an international iGaming company that provides certified software solutions for managing online gaming operations. The team of experts, which has 1,700 employees, is based in Malta, Poland, Georgia and Belarus.
Currently, SOFTSWISS holds several gaming licenses and offers complete iGaming software solutions.
Furthermore, the company has a wide range of products, including the Online Casino Platform, the Game Aggregator with thousands of casino games, the Affilka affiliate platform, the sports betting platform and the Jackpot Aggregator.
