Everything You Need to Know About Brazil's New Gambling Regulations in 2025

And How Operators Can Excel in the Market

As 2024 draws to a close and the fresh, new dawn of 2025 glimpses over the horizon, the iGaming world's attention is centred on Brazil. On January 1st, 2025, Brazil's long-awaited regulated gambling market will launch following the passage of Law No. 14,790/2023 and a series of ordinances issued by the Secretariat of Prizes and Betting (SPA). 

This historic moment marks the beginning of a new era. It will introduce a comprehensive framework for regulating fixed-odds betting, promising growth opportunities for operators while addressing key areas such as compliance, consumer protection, and taxation. 

Join us as we contemplate the developments for the country and its people and examine the finer details of the new gambling regulations, licensing requirements, compliance standards, operational rules, industry impacts, and the best way for operators to triumph in Brazil.

Key Features of Brazil’s New Gambling Regulations

Who Can Operate in Brazil?

Only those headquartered or incorporated in Brazil are eligible for a licence. At least 20% of share capital must be Brazilian-owned. Foreign companies can participate by establishing subsidiaries that meet these requirements. The aim is to develop local involvement and benefit Brazil and its people.

Licensing Requirements

Operators must submit licence applications through the Secretariat of Prizes and Bets (SPA) platform, SIGAP, and follow strict guidelines including: 

• Financial Reserves: Companies must prove they have a reserve of R$5 million and paid-in capital of at least R$30 million.
• Financial Statements: Statements covering the previous two years or the last fiscal year if less than two years old.
• Technical Standards: Systems must have certification from recognised labs for systems (e.g., ISO 27001 certified) and host data in Brazil unless a legal cooperation agreement exists with the operator's home country.
• Policies: Anti-money laundering (AML), customer service (ombudsman), Responsible Gaming, betting integrity, IT continuity, and corporate governance policies are being established and enforced.

Final decisions for applications are delivered within 150 days.

Operational & Compliance Rules

To remain compliant and prevent money laundering and other crimes, licensed operators must:

• Use the ‘.bet.br’ domain for websites.  
• Provide free 24/7 customer service based in Brazil via electronic and telephone channels in Portuguese.
• Demonstrate stringent anti-money laundering (AML) and responsible gambling measures, supported by continuous employee training.
• Operators must implement Know Your Customer (KYC) protocols, including CPF (Brazilian Taxpayer ID) and biometric verification for all bettors.
• Implement consumer protection measures, including tools for self-exclusion and spending limits.
• Ensure transparent and secure financial operations, exclusively using Pix, TED, and debit/prepaid cards for transactions.
• Enact ongoing monitoring of transactions and report suspicious activity to the Financial Activities Control Council (COAF).
• Betting systems and associated data must reside within Brazil unless the operator has an international agreement permitting external data storage.
• All systems must synchronise with local databases for regulatory oversight.
• Proof of experience of at least three years in games and lotteries, betting, or lottery by at least one group member.
• Membership or association with responsible advertising and sports integrity professional body.

Unlicensed operators will face site blockages, financial penalties, or operational suspension. The SPA and the National Telecommunications Agency (Anatel) will collaborate to improve enforcement and compliance.

Taxation & Fees

Tax will balance market sustainability with government revenue. 

• Operators are subject to a 12% gross gaming revenue (GGR) tax alongside standard corporate taxes.
• Player winnings exceeding R$2,824 are taxed at 15%.
• The licence fee of R$30 million is valid for five years, covering up to three commercial brands. 
• An additional licence is required for every three brands. 

The net revenue from the game will be considered after deducting the payment of prizes and income tax on the prize. Of the net revenue from the game, 88% (eighty-eight percent) will be allocated to cover the operating and maintenance expenses of the fixed-odds lottery operator and other online betting games, and 12% (twelve percent) will be shared among various social beneficiaries, such as health, education, sports clubs, tourism, and other public services. The funds will be allocated as follows:

• 36% – Sports:some text
  • 22.2% – Ministry of Sports
  • 7.3% – National sports system and Brazilian athletes
  • 2.2% – Brazilian Olympic Committee (COB)
  • 1.3% – Brazilian Paralympic Committee (CPB)
  • 0.7% – Brazilian Club Confederation (CBC)
  • 0.7% – State and Federal District sports departments or equivalent bodies
  • 0.5% – Brazilian School Sports Confederation (CBDE)
  • 0.5% – Brazilian University Sports Confederation (CBDU)
  • 0.3% – Brazilian Confederation of Professional Clubs (CBCP)
  • 0.3% – Brazilian Master Sports Committee (CBEM)
• 28% – Tourism:some text
  • 22.4% – Ministry of Tourism
  • 5.6% – Brazilian Tourism Promotion Agency (Embratur)
• 13.6% – Public Security:some text
  • 12.6% – National Public Security Fund (FNSP)
  • 1% – Integrated Border Monitoring System (Sisfron)
• 10% – Education:some text
  • 6.5% – Public basic education schools
  • 3.5% – Public technical high schools
• 10% – Social Security
• 1% – Ministry of Health for Preventative Measures from Problem Gambling
• 0.5% – Civil Society Entities:some text
  • 0.2% – National Federation of APAEs (Fenapaes)
  • 0.2% – National Federation of Pestalozzi Institutions (Fenapestalozzi)
  • 0.1% – Brazilian Red Cross
• 0.5% – Fund for Equipping and Operating the Federal Police Activities (Funapol)
• 0.4% – Brazilian Agency for Industrial Development (ABDI)

Marketing & Advertising Restrictions

Alongside operating regulations, there are strict advertising and marketing restrictions:

• All marketing must only target adults and not appeal to minors. Disclaimers, such as ‘18+,’ must be prominently displayed.
• Celebrity and influencer endorsements are prohibited.
• Promotional offers and bonuses are prohibited in advertisements for new bettors but are permitted for bettor retention.

Marketing violations can result in hefty penalties, including daily fines of R$50,000.

Protection Measures

Social responsibility is paramount. Operators must also take active steps to prevent fraud, bonus abuse, and problem gambling:

• KYC Verification: CPF checks, biometric data, identity and age document validation, and multi-factor authentication.
• Exclusion Lists: Operators must maintain exclusion lists, such as those with gambling addictions.
• Player Protection: Companies must offer Responsible Gaming tools, including self-exclusion, spending limits, and access to support for compulsive gambling behaviours.
• AML Guidelines: must be followed to screen for Politically Exposed Persons (PEPs), sanctioned people, and those on the player exclusion list, including those with sporting influence (referees, coaches, athletes, etc.).

Challenges & Opportunities

Brazil's regulated market presents both challenges and opportunities. The extended, continually developing regulatory outlook indicates the government’s commitment to creating a respectable, safe, and secure market. 

A recent press release from the National Association of Games and Lotteries (ANJL) shared a series of benefits and potential issues anticipated to arise from regulation:

Opportunities

• Market Growth: Over 210 million residents and widespread internet access, offering massive potential for iGaming providers and operators.
• Job Creation: The sector is expected to generate over 60,000 jobs in areas such as IT, compliance, legal, and marketing.
• Increased Revenue and Financial Benefit: The regulated market is projected to generate over R$20 billion in taxes and fees annually. Reducing illegal activities and gaining widespread financial gain will benefit public services.
• Market Transparency: Integrity of the industry from the outset thanks to the requirement of a ‘.bet.br’ domain.
• Protection of Minors and Vulnerable People: Regulation will establish stringent measures to reduce scams, fraud, and gambling harm. 

Challenges

• Illegal Operators and Corruption: Unregulated brands still threaten market integrity. To combat unlawful actions, a regulatory task force is underway, using actions such as website blocking and financial monitoring. Match-fixing, an issue in the past, is addressed via strict AML practices.
• Compliance Complexity: The strict licensing, data, and AML requirements are complex and costly, particularly for smaller operators. Ideally, operators should work closely with respected teams of experienced Brazilian solutions experts who can guide them through the potential minefield. 
• Public Perception: Social impact remains a key focus for regulators and operators who must address concerns about gambling addiction from the wider community. The industry must ensure all measures to combat gambling harms are in place and stringently adhered to.
• Marketing Restrictions: Responsible advertising restrictions may put off some operators. However, in the long term, operators who abide by advertising guidance increase their respectability and brand trustworthiness, raising their esteem in the eyes of bettors and fellow professionals.
• Increased Tax: Evidence from other markets suggests that initially, there may be some resistance to regulation due to tax costs. This should dissipate as the benefits become more evident.

Source: Yogonet.

Brazil’s Bright Future

The full impact of regulation in Brazil remains to be seen. Still, the outlook is promising, despite the Brazilian Senate recently postponing the vote on Bill 2,234/2022 to legalise jogo do bicho, land-based casinos, bingo halls, and horse racing until 2025. 

January 1st, the turning point of regulatory change, will welcome a new era. Brazil’s government has set the bar high—but with good reason. Their commitment to society’s benefit and the protection of its people demonstrates the long-term goal of a flourishing industry that prioritises consumer protection over economic growth. 

The future is bright indeed for operators willing to learn along the way and work with respected teams of people with established records of market implementation, like WA.Technology, the award-winning iGaming provider with its full spectrum of intelligent solutions, products, and services backed up by highly respected industry market experts.

As 2025 unfolds, the success of Brazil's gambling sector will depend on the collaboration of officials, regulators, operators, service providers, and others who will unite their efforts to create a thriving market that benefits Brazil and its people.

How WA.Technology Supports Brazilian Operators

WA.Technology is a leading, award-winning iGaming solutions provider uniquely positioned to support operators entering the Brazilian market. WA.Technology’s Latam success is built on bespoke localisation, expert-led teams, and an extensive portfolio of creatively tailored products, solutions, and services.

Local Expertise & On-the-Ground Presence

WA.Technology’s unmatched expertise in Brazil's gaming landscape is partly due to its established team of 50+ dedicated professionals based in Recife. But WA.Technology’s Latam knowledge doesn’t stop there. From the beginning, the company prioritised hiring experts from Brazil and the wider Latam region to lead in its Latam-centric endeavours. 

WA.Technology’s expert team exemplifies the value of local knowledge and established experience. The many notable names of professionals include:

• Waldir Marques – Director of Regulatory Affairs and former CEO of CAIXA Loterias S.A., former Undersecretary of Regulation of Lottery, Prizes and Draws of the Ministry of Finance, and current President of Aigaming.
• Axel Antillon – Regional Director Latam and President of the Commission on New Technologies by AIEJA, the Gambling Industry Association of Mexico.
• Phyllyp Azevedo Sedicias – Country Director for Brazil, entrepreneur, and co-founder of multiple initiatives in Brazil, including NPS – Nordeste Poker Series, one of the most significant poker events in the country, Arena Fantasy – an innovative fantasy game popular in Brazil, Netec – a technology and consulting company specialised in the iGaming sector, and Unidabet – an educational project focused on the iGaming market.
• Wilder Brito – Director of Operations, Brazil, is a recognisable name in Brazilian gaming. Wilder is also a founder of Arena Fantasy, a regular speaker at industry events such as SiGMA, and a champion poker player, among many other talents!
• Dr Renzo Escalante – Regional Marketing Manager for Latam, presenter of the Gambling Master podcast, and Professor of International Diploma in Marketing Gambling & iGaming diploma at Play Classes. 
• Patricio Molloy – Development Manager Latam, Co-Founder of Latam Entertainment, and a professional with over fifteen years working in the business development industry for Latam.

The broad coverage of local expertise and vast presence in Brazil and the rest of Latam keeps WA.Technology ahead of market trends, regulatory updates, and player preferences offers operators an unrivalled level of end-to-end support throughout the entire process, from brand conception to market success.

Cutting-Edge Solutions

WA.Technology’s industry-leading tools and solutions provide full compliance with Brazilian regulations while providing operators with a competitive edge:

• Customisable Platforms: Designed to align with the unique needs of each operator, brand, and demographic, offering bespoke personalisation and flexibility in integrating additional features or expanding into new verticals.
• Advanced BI and Analytics: Enable operators to analyse market trends and player behaviours to make better decisions and increase acquisition, engagement, and retention.
• Seamless Integration: Fast, efficient onboarding of third-party solutions that enhance operational efficiency, increase productivity, and drive ROI.

Bespoke Products for Brazilian Players

Truly unique solutions are at the heart of everything WA.Technology does. Backed up by expert leaders and highly skilled technical and industry experts, Brazilian brands flourish. WA.Technology’s full spectrum of iGaming solutions is meticulously designed to cater to the preferences of Brazilian players. 

WA.Technology’s products are tailored to seamlessly integrate with local gaming culture. Whether offering Pix as a primary payment method or incorporating Brazil-centric sports and gaming themes, WA.Technology delivers authentic and engaging experiences.

• WA.Platform: At the heart of WA.Technology is WA.Platform, a fully customisable and scalable iGaming platform solution that streamlines operations by combining business intelligence tools, advanced fraud prevention systems, and an intuitive content management system. AI-driven personalisation offers operators tailored gamification features, bespoke player journeys, and market-specific strategies. WA.Platform seamlessly integrates diverse and essential payment methods, like Pix, for a faultless user experience.
• WA.Sports: This premier sportsbook solution delivers over 500,000 pre-match and 30,000 live events catering to Brazil’s love of football and other global sports. It features real-time match tracking, exclusive local markets like Copa Libertadores, and flexible customisation options for operators to align with local sports preferences. WA.Sports is mobile-first and equipped with advanced security and risk management tools.
• WA.Fantasy: A standout acquisition and retention tool, WA.Fantasy is an advanced engagement booster with hybrid daily fantasy sports offerings, free-to-play games, and creative Pick’Em Player Props. These features let players build teams, predict outcomes, and compete in personalised leagues. Designed with Brazil’s passion for sport in mind, WA.Fantasy provides customisable experiences for local audiences.
• WA.Casino: Equipped with an impressive library of over 8,000 games from 80+ leading providers, WA.Casino promises a captivating casino gaming experience. From crash games to video slots, live dealer games with Brazilian themes, and turbo games, WA.Casino’s game catalogue is curated to appeal to local preferences. Operators benefit from exclusive promotional tools, multilingual support, and an advanced bonus engine that enhances player engagement and satisfaction.
• WA.Affiliates: This cutting-edge affiliate management solution empowers operators to maximise their reach and revenue through streamlined affiliate relationships. WA.Affiliates features intelligent tracking, an integrated wallet system, and advanced analytics to optimise campaign performance. By offering flexible communication tools, customisable campaigns, and real-time reporting, WA.Affiliates provides operators the tools to build successful partnerships in the competitive Brazilian market.

Comprehensive Regulatory & Compliance Support

Navigating Brazil’s regulations can be daunting for operators. WA.Technology chose to address this head-on by building legal and compliance teams of highly skilled people to simplify this process for operators. Services include:

• Licensing Assistance: Expert guidance from start to finish through the licensing process, including preparing and submitting documentation, financial statements, and compliance records.
• Advisory Services: Tailored strategies, advice, and support for adhering to Brazil’s regulations, covering AML/CFT, KYC, responsible gaming, and data privacy.
• Ongoing Compliance Management: Continuous compliance monitoring to comply with changing regulatory standards puts operators’ minds at rest while keeping their brands fully compliant.
• In-Depth Reports: To provide clients entering the market with actionable insights to stay ahead of changes in legislation.

Why WA.Technology Is the Partner of Choice

WA.Technology’s holistic approach to bespoke creations combines local expertise, tailored products, and world-class support to establish success in Brazil. By partnering with WA.Technology, operators gain:

• Cultural Resonance: Solutions designed with Brazil’s gaming culture in mind.
• Strategic Advantage: A trusted partner to help navigate regulatory hurdles and market complexities.
• Long-Term Growth: Scalable, localised solutions that evolve with business needs.

Contact WA.Technology today to collaborate with the most trusted name in Brazilian iGaming today and unlock the full potential of the dynamic Brazilian iGaming market.

WA.Technology is committed to Responsible Gaming practices. Read our Responsible Gaming Statement to learn more.

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