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Inside Brazil’s race to the finish line

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The buzz around a fully-regulated Brazilian sports betting market has been amplified since the passing of legislation in late December 2023. As operators await the publication of a regulatory framework later this year, many industry stakeholders are trying to prepare themselves for meeting licensing requirements.

Marc Crean, OpenBet’s VP for Latin America and Canada, shares predictions for the months ahead.

After a two-decade wait for a legalised gambling market, Brazil’s president, Luiz Inacio da Silva, has now sanctioned law 14790 to approve gambling regulation in the booming LatAm market. The government has been engaging key stakeholders and giving regular and transparent updates over recent months and the path to regulation looks optimistic with a thriving market is in sight.

There are strong opinions from all sides about Brazilian regulation and how it should look, yet there is great potential to create new revenue streams and jobs for the country, which is generally viewed as the jewel in the crown of LatAm’s sports betting market. However, before the market can operate smoothly, sustainably, and safely, the serious issues of match-fixing, money laundering and responsible gaming must be ironed out. A highly publicised investigation concerning allegations of widespread match-fixing is still ongoing, with seven professional football players charged for alleged crimes in the scandal.

The government wants to establish a market that provides sports betting entertainment to Brazilians, generates revenue for the country and protects local players and institutions as quickly as possible, but the specifics of the regulations will change over time as technology develops. The framework must be flexible enough to cope with changing demands and stay one step ahead of illegal operations when it is finalised.

One introduction is a 12% GGR tax on operators, which is a sustainable rate and in line with other successful regions, as well as a 15% tax on bettors’ net gains. This is expected to generate R$3 billion in revenue for the Brazilian government each year. However, while the government will struggle to satisfy all stakeholders, taxes are not unique to Brazil nor to sports betting. Most market estimates have Brazil as third or fourth in the world in terms of size, and the proposed cost of a license is in line with UK and US costs.

What is clear is that Brazilian regulators must exercise caution on a proposed tax on player winnings. There is room to do this successfully based on how the tax imposition is implemented. It is in the law, so it is going to be in place, but the devil is in the details. It has been seen again and again how this type of tax, whilst well-intentioned, can reduce channelisation and end up pushing people to black market sites.

 

Shaping the industry of the future

Brazil has its own unique cultural, social and economic dynamics that will have a major influence on product, operations and marketing activities. Regulation will create a massive amount of local opportunity both on the supply and the operator side of our industry. However, people tend to overestimate the need for local product and underestimate the need for local marketing and operations. This invariably creates opportunities for local companies and I think this is healthy for our industry.

Early-adoption, innovation and an unparalleled consumption of social media are three local dynamics that will have a massive impact on the shape of the industry. As always, companies with boots on the ground will be better placed to understand and tap into these areas.

When you add in the size of the market and the passion for sports, we can expect to see a lot of new ideas and innovations coming out of Brazil once the market fully opens up and starts to flourish.

Brazil

Brazilian Institute for Responsible Gaming Appoints Carlos Lima as its New Executive President

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The Brazilian Institute for Responsible Gaming (IBJR) has appointed Carlos Lima as its new Executive President. With extensive experience in Government Relations, Advocacy, and public policy development, the executive takes the helm of the organization at a pivotal moment for the consolidation of Brazil’s regulated fixed-odds betting and online gaming market.

As head of the Institute, Carlos Lima will be responsible for strengthening technical and institutional dialogue with the Federal Government, the National Congress, regulatory authorities, and civil society. His work will focus on improving the regulated environment and promoting the value of authorized operators that conduct their activities in compliance with Brazilian law.

“The maturation of Brazil’s betting market requires an approach grounded in data, transparency, governance, and legal certainty. The regulated environment is the most effective tool for ensuring consumer protection, preserving the integrity of the sector, and fostering its sustainable development,” said Carlos Lima.

According to the new Executive President, regulation represents a fundamental milestone in distinguishing authorized and supervised operators from illegal platforms that operate outside the law.

“Regulation serves as a seal of security for consumers and a benefit to society as a whole. By establishing clear rules, user protection mechanisms, and responsible gaming policies, it reduces the social and economic costs associated with the illegal market. Strengthening the regulated market means protecting citizens, creating jobs, attracting investment, and increasing public revenues,” he added.

Throughout his professional career, Carlos Lima has led strategic initiatives related to institutional relations, corporate governance, regulatory compliance, and sector-specific regulation in industries of significant economic and social relevance. His experience includes fostering collaboration between the public and private sectors on complex issues, always with a focus on building regulatory environments that are more transparent, predictable, and sustainable.

André Gelfi, co-founder of IBJR and one of the leading figures behind the regulatory process for the sector in Brazil, will continue to support the organization as a Board Member and Director. In this role, he will contribute to the continuity of the Institute’s institutional agenda and to the strengthening of the regulated market alongside the other members of the board.

Founded to promote a safe, responsible betting market aligned with international best practices, IBJR brings together some of the leading companies authorized to operate in Brazil. The Institute remains committed to safeguarding industry integrity, protecting consumers, and supporting the sustainable development of the sector across the country.

The post Brazilian Institute for Responsible Gaming Appoints Carlos Lima as its New Executive President appeared first on Americas iGaming & Sports Betting News.

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Grupo LBBR names Paulo Gasparotto as compliance director for Luck.bet, Start Bet and 1PRA1

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Grupo LBBR, operator of the betting brands Luck.bet, Start Bet and 1PRA1, has appointed Paulo Gasparotto as its new director of Compliance, the company said in a statement.

The group said the hire is part of a governance push aimed at meeting the requirements of Brazil’s regulated betting environment. Alongside the appointment, Grupo LBBR said it has established a dedicated structure focused on Compliance, anti-money laundering and counter-terrorist financing (PLD/FTP), and regulatory matters.

According to the company, measures implemented include strengthened internal controls, a review of policies and procedures, and upgrades to monitoring processes designed to prevent financial crimes. The operator also said it has increased integration across operational, legal, technology and regulatory teams.

“Estamos elevando o nível das nossas empresas com o fortalecimento de controles internos, revisão de políticas e aprimoramento contínuo dos mecanismos de monitoramento e prevenção a ilícitos financeiros. A proposta é atuar de forma proativa diante das exigências regulatórias, com uma estrutura sólida e integrada que assegure eficiência operacional, gestão de riscos e confiança para todo o ecossistema do negócio”, afirma Paulo Gasparotto.

Looking ahead, Grupo LBBR said it plans to continue developing its compliance and PLD/FTP program, strengthen its internal integrity culture, enhance risk management mechanisms, and consolidate regulatory processes to support sustainable growth.

The post Grupo LBBR names Paulo Gasparotto as compliance director for Luck.bet, Start Bet and 1PRA1 appeared first on Americas iGaming & Sports Betting News.

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MediaTroopers Commits to Serving Brazilian Regulated Market with Development of New Local Entity

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MediaTroopers, the leading digital marketing and customer acquisition firm, has doubled down on its commitment to serving Brazil’s regulated gaming market with the announcement of a new local entity, including a registered company, a front office, and local banking infrastructure.

The newly established entity will serve as a strategic bridge for MediaTroopers’ global partners, including operators, vendors, and financial institutions, seeking to enter the newly regulated Brazilian market. The local entity will also serve as a point of contact for active operators in the market, offering its tools as a local service hub to help operators enhance their business outreach in the region.

As Brazil’s regulated market continues to position itself as one of the most important regulatory opportunities for operators across the globe, MediaTroopers continues to cement itself as the go-to acquisition firm to help clients make the most of this growth by providing localized market access, operational support, relevant acquisition strategies, and targeted solutions designed to enhance performance in the region.

Through its local entity, MediaTroopers can continue providing services, such as localized player acquisition, media buying, affiliate strategy, and more, at a more regional level. For MediaTroopers, Brazil aligns with its broader strategy of delivering sustainable, compliant operations in high-growth markets.

 

“Brazil represents one of the most exciting growth opportunities in regulated iGaming, and MediaTroopers is fully committed to supporting operators in this market,” said Shmulik Segal, CEO of MediaTroopers.

“By establishing a local company, front office, and banking infrastructure, we are creating a stronger operational foundation for our clients. This presence allows us to act both as a bridge for international brands entering Brazil and as a service hub for active operators looking to scale responsibly and efficiently.”

The post MediaTroopers Commits to Serving Brazilian Regulated Market with Development of New Local Entity appeared first on Americas iGaming & Sports Betting News.

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