As the market continues to mature and evolve, the latest steps mark the country’s most stringent step in terms of regulatory enforcement.
The landmark steps come as a result of the compliance shortcomings of the seven firms, after they failed to follow Article 8 of Ordinance SPA/MF No. 722/2024, which required the submission of “cybersecurity evaluation reports” within a specific timeframe.
Whilst the suspension of the licenses is temporary, reverberations of the action will be felt across Brazil as the country’s market develops and evolves.
The operators facing a compliance review and who have had their licenses suspended are listed below:
1. Bell Ventures Digital Ltda – brand: BandBet
2. Bet.Bet Soluções Tecnológicas S.A. – brands: Bet.Bet, DonaldBet
3. Betesporte Apostas On Line Ltda – brands: BETesporte, Lance de Sorte
4. EA Entretenimento e Esportes Ltda – brands: Bateu Bet, HanzBet, Esportiva Bet
5. Logame do Brasil Ltda – brands: LíderBet, GeralBet, B2xBet
6. PixBet Soluções Tecnológicas Ltda – brands: PixBet, FlaBet, Bet da Sorte
7. SorteNaBet Gaming Brasil S.A. – brands: SorteNaBet, Betou, BetFusion
The news will also leave sports assessing its relationship with the gambling market, especially as it develops with PixBet being the principal sponsor of Flamengo FC, and BETesporte the sponsor of the state football championships of São Paulo (Paulista) and Rio de Janeiro (Carioca).
In a statement, the Ministry of Finance said the enforcement seeks to “safeguard the integrity of the regulated environment and protect Brazilian consumers by ensuring that all licensed operators can prove the cyber-resilience of their operations”.
SPA confirmed that sanction proceedings have begun. Continued non-compliance could trigger daily fines of R$40,000 and further penalties, including permanent licence revocation.
Furthermore, in comments provided to SBC Noticias Brazil, tax lawyer Kamilla Yazawa stated: “This represents a pivotal moment in Brazil’s regulation of online betting. Operators must recognise that the SPA is enforcing with full legal weight behind its policies.”
It comes amidst shifting stances on the marketing framework around Brazil, with development in the country continuing to take place.
Most recently, Brazil’s Sports Commission issued clearance to Bill 2,985/2023, which ushered in widespread new restrictions on when and how betting operators can promote themselves.
While the initial proposal called for a complete ban, a compromise – spearheaded by Senator Carlos Portinho – has led to a more measured, albeit still highly restrictive, approach to gambling marketing in the country.
Announcing the amendments, Portinho said: “One year after this law was passed, our society is sick, it is completely addicted to betting. Football clubs are addicted to betting. Communication companies are addicted to betting, to advertising, to the money they receive from betting. And with this pandemic, it is up to us to impose discipline.”
