The regulation of the sports betting and online gaming market was approved by Congress in December 2023. Since then, the Ministry of Treasury has issued ordinances to adapt players interested in operating in Brazil, with the aim of launching the fully regulated sector on the 1st January 2025.
However, some taboos still need to be overcome so that the activity can be established as a form of entertainment, restricted to adults. Recently, entities also came together and launched an open letter to the nation.
Therefore, André Gelfi, director-president of the Brazilian Institute of Responsible Gaming (IBJR), wrote an article on the topic, with the aim of demystifying the market and its participants. Check out the full text below:
What you don’t know yet – but need to know – about betting
“The federal decision to create clear and transparent rules for an industry that is already a reality was responsible and correct. Not regulating the gaming and betting market would mean opening the doors to illicit activities by irresponsible operators, which would only aim to harm Brazilian consumers.
Since the sanction of Law 14,790/2023, known as the ‘Sports Betting Law’, as would be expected, society and large sectors that drive the country’s economy show concern about the practical effects of this sanction.
There are those who are afraid that the growth in people’s betting habit, even though it generates jobs in Brazil and revenue, will have an impact on other sectors of the economy. In another field, there is concern about family debt, gambling addiction, excessive and malicious advertising, in addition to mental health problems.
In all these situations, there is something fundamental and priority: differentiating companies that are serious and committed to addressing solutions to these issues and contributing to the country’s economy from those that, from the beginning, have only demonstrated an interest in irresponsible profit and are uncommitted to Brazilian society.
The date for the unrestricted implementation of the law is January 1, 2025. With the new year, we will have a selection of serious companies operating legally in Brazil, with licenses granted by the government, dedicated to following the new rules and committed to entertainment safe, wide dissemination of important information and the well-being of players.
Gaming, whether online or physical, is already part of Brazilians’ routine. However, it is necessary to understand that the problems faced so far with uncertified games, excessive and inappropriate advertising, in addition to relevant mental health problems, are a consequence of a market that has spent the last six years without any type of regulation. The industry is already established in Brazil and would not cease to exist if it were not regulated.
The latest ordinances published by the Ministry of Finance determined the protection of groups vulnerable to abusive advertising, and defined a series of devices to make debt and fraud difficult – such as CPF verification, having a “clean name”, and making payments only via debit or PIX .
The rules follow international parameters of good practice applied in the betting market, such as the United Kingdom, the best reference we have to date. Measures that were defended from the beginning by serious companies that brought new investments to clubs and Brazilian sport in general.
I emphasize, as president of IBJR, that gambling is a source of entertainment and should never be seen or used as an investment or a way to make quick and easy money. This model explored in the country by other companies until now is not responsible, legal gaming with a focus on fun. It is extortion of family income, health and a breach of trust in a sector that is investing in jobs, tax payments and creating a structure to defend players.
IBJR is committed to working to ensure a safe environment for players, sustainable for companies, based on ethics, fairplay and responsible entertainment. For this reason, we are in favor of efforts to regulate the betting sector, aiming to protect these players and insert this industry into the formal economy, contributing to Brazil.”
About the Brazilian Institute of Responsible Gaming
The Brazilian Institute of Responsible Gaming (IBJR) was born from the union of the Bet365 Groups, Flutter, Entain, Betsson Group, Betway Group, Yolo Group, Netbet Group, KTO Group, Rei do Pitaco, Novibet, LeoVegas, Kaizen Gaming and SkillOnNet with the objective to encourage the debate on the regulation of this segment in Brazil, contributing information to defend the creation of clear rules and guidelines so that sports betting companies can operate legally, protecting the interests of players and civil society.
Currently, in addition to igaming and sports betting companies, IBJR has among its members payment companies such as OKTO Group, Pay4Fun and OneKey Payments, media groups such as Better Collective, the Clever Advertising agency, the sports marketing company Volta Pra Marcar and the anti-fraud solutions company, GeoComply.
