Brazilians did not save when it came to online betting in 2023.
According to data from the Central Bank, between January and November, around US$11.1 billion (R$54 billion) were invested in this modality, surpassing even the country’s beef exports.
Online betting allowed in Brazil since 2018
The financial movement reveals an impressive reality. Of the total invested in betting sites abroad, approximately US$8.9 billion (R$43.3 billion) went to the winners.
Service fees retained by websites represent US$2.2 billion (R$10.7 billion). Thus, the release of online betting in Brazil in 2018 generated an explosion in the sector.
Who hasn’t seen at least one ad on open TV and social media? Furthermore, famous influencers ended up embracing the trend, making the betting fever viral.
Central Bank figures show that, of the total invested, US$7.1 billion (R$34.5 billion) returned to Brazil as prizes for local bettors.
Thus, the change in external statistics, implemented in 2023, brought more clarity to the values involved in betting on international sites.
Another survey, this time from Datafolha, reveals that 15% of Brazilians bet online, with an average monthly expenditure of R$263. In other words, this is equivalent to 20% of the 2023 minimum wage.
The phenomenon affects all social classes, including Bolsa Família beneficiaries, particularly among young people and men.
Regulation of the betting market in Brazil
Thus, the government, faced with this scenario, began efforts to regulate the market. In 2023, the Ministry of Finance received 134 statements from interested companies, anticipating the regulatory process that should be completed in the first half of 2024.
Therefore, the new legislation proposes a tax rate of 12% on bookmakers’ revenue, in addition to 15% on bettors’ winnings.
According to the government, revenue could reach around R$3 billion with authorizations alone.
The initiative to regulate online betting became part of the Ministry of Finance’s plan to increase revenues in 2024 and reduce the deficit in public accounts.
Therefore, the law was sanctioned by President Luiz Inácio Lula da Silva on December 30, 2023.
