The gaming and lottery sectors in Latin America are undergoing a structural transformation marked by new regulations, disputes over state and federal authority, and profound changes in corporate responsibility models.

In Brazil, the federally regulated betting market continues to expand rapidly.

Tax revenues generated during the first quarter of 2026 reached record levels and fueled legislative debates over the redistribution of resources toward defense, education, and sports initiatives.

At the same time, the federal government strengthened social protection mechanisms through the Prize and Betting Management System (SIGAP), which now allows the automatic blocking of citizens enrolled in official debt renegotiation programs.

Meanwhile, state lotteries are facing stricter oversight from Caixa Econômica Federal, while the broader Ibero-American lottery and marketing ecosystem prepares for one of the most important industry events of the year: the II Ibero-American Lottery Marketing Seminar, scheduled to take place in Buenos Aires.

Record revenues drive new tax legislation

Brazil’s federal regulation of the online betting market has exceeded initial expectations and positioned the country among the world’s most profitable and heavily taxed gaming jurisdictions.

According to recent data from Receita Federal, the government collected R$ 3.4 billion in taxes directly linked to the sector during the first three months of 2026.

The figure represents growth of 123.7% compared to the same period in 2025 and confirms the rapid migration of consumers from unregulated operators to licensed platforms.

To put the growth into perspective, total tax revenue generated throughout 2025,  the first full calendar year under federal regulation, reached R$ 9.95 billion.

The most significant increase occurred in December 2025, when monthly revenue surpassed R$ 1.1 billion, more than 3,000% higher than in December 2024.

The tax burden framework

The primary source of revenue comes from the federal tax of 12% imposed on Gross Gaming Revenue (GGR). In addition, licensed operators must also pay corporate taxes such as PIS and Cofins.

A study commissioned by the Brazilian Institute of Responsible Gaming (IBJR) and prepared by LCA Consultoria concluded that the sector’s effective tax burden reached approximately 32% in 2025.

The report also projected that the figure could rise to 42% by 2033 once the national Tax Reform is fully implemented.

Representatives of the National Association of Gaming and Lotteries (ANJL) argue that the industry already ranks among the country’s most heavily taxed economic sectors.

A significant portion of those resources is directed toward public services such as healthcare, education, culture, and sports.

Funds redirected to defense and education

The rapid increase in tax revenue has triggered new political disputes over how betting proceeds should be allocated.

One of the main proposals under discussion is Senate Bill PL 6.124/2025, recently approved by the Senate Sports Committee.

The bill modifies the distribution model established under Law 13.756/2018 and redirects part of the funds previously allocated exclusively to the Ministry of Sports toward the Military Sports Commission, which operates under the Ministry of Defense.

The goal is to finance high-performance sports programs administered by the armed forces. After advancing through the Sports Committee, the proposal moved to the Economic Affairs Committee for final review.

At the same time, Brazil’s Chamber of Deputies approved Bill PL 6133/2025, which proposes the creation of the Federal University of Sports in Brasília.

The institution would serve as a national center for scientific research, sports medicine, and professional athletic training.

The proposal establishes that part of its funding will come directly from revenues generated by online betting and lotteries.

Industry companies and technology providers view the initiative as an example of how regulation can be transformed into long-term social investment and structural development.

New betting restrictions affect debt relief participants

As the market expands, the federal government has intensified policies focused on social protection and financial harm prevention.

On May 15, 2026, a new federal measure officially came into force requiring the suspension of betting access for citizens enrolled in the “Novo Desenrola Brasil” debt renegotiation program.

The rule was implemented through a provisional presidential decree signed by President Luiz Inácio Lula da Silva and imposes a mandatory one-year betting ban on individuals seeking state-supported debt renegotiation.

The government argues that the measure is intended to prevent financially vulnerable citizens from risking money on betting activities while undergoing financial recovery.

Technical controls via SIGAP

The practical implementation of the policy relies heavily on the technological infrastructure of the federal Prize and Betting Management System (SIGAP).

The Secretariat of Prizes and Betting (SPA-MF) updated the system by introducing a new compliance code.

Once a citizen enrolls in the “Novo Desenrola Brasil” program, their information is centralized by Banco do Brasil and integrated into the federal database managed by the SPA.

From that point onward, whenever a licensed operator performs an account validation or login verification, the system automatically returns the following status: “Blocked – Novo Desenrola Brasil Program.”

Operators are therefore required to immediately restrict access once the status is identified.

Strict compliance deadlines for operators

The technical procedures were formalized through SPA/MF Ordinance No. 1,237 and complemented by Normative Instruction No. 3.

The rules establish strict operational obligations for all licensed platforms, including daily user verification, continuous database reviews, and immediate suspension of restricted accounts.

The regulation determines that, once a restriction is identified, the operator has a maximum of three days to finalize the formal account suspension.

Before permanently blocking the account, the operator must inform the user about the legal reason for the restriction and offer the opportunity to voluntarily withdraw remaining funds.

If the user does not withdraw the balance within the established period, the operator must return the funds within two days by transferring the amount to a previously verified bank account linked to the user’s CPF.

In addition, operators are required to maintain complete digital records of communications, transactions, timestamps, and operational receipts for a minimum period of five years in order to facilitate future federal audits.

Caixa revokes state lottery licenses

While online betting operators adapt to new regulatory requirements, the traditional retail lottery sector is also facing stricter enforcement.

In April 2026, Caixa Econômica Federal officially revoked six lottery operating licenses across several Brazilian states.

The decisions were published in the Diário Oficial da União.

For the first time in recent years, two of the revocations occurred due to voluntary withdrawals by the operators themselves rather than direct administrative sanctions.

The affected units were located in Minas Gerais, Pará, Rio de Janeiro, São Paulo, and Paraíba.

Sanctions under Circular 1084

The remaining four closures resulted from mandatory cancellations linked to contractual and operational violations.

The sanctions were applied under Caixa Circular No. 1084/2025, which governs the bank’s Administrative Sanctions System.

Accumulated data indicate an increasingly aggressive enforcement policy. During the first four months of 2026, Caixa canceled 50 lottery licenses nationwide.

January recorded the highest number of sanctions, with 23 revocations, followed by 11 in February, 10 in March, and six in April.

The trend follows the pattern seen in 2025, when Caixa executed 162 mandatory license cancellations, reinforcing the message of zero tolerance toward financial irregularities and compliance failures.

State advertising restrictions face legal challenges

The expansion of the regulated market has also generated legal disputes over the limits between state and federal authority.

The Secretariat of Prizes and Betting (SPA-MF) publicly questioned the constitutionality of a law approved in the state of Rio Grande do Sul that imposes strict restrictions on online betting advertising within the state.

The federal government argues that the Brazilian Constitution grants exclusive authority to the Union to legislate on lotteries, monetary systems, and national commercial activities.

According to the SPA’s interpretation, allowing individual states to establish independent advertising rules could fragment the national regulatory framework and create operational barriers for federally licensed companies.

Furthermore, the regulator argues that excessive regional restrictions could undermine the player channeling process established under Law 14.790/2023.

The dispute is expected to be analyzed by higher courts and may become a landmark case defining the limits of state autonomy within federally regulated industries.

Buenos Aires hosts the Cibelae Seminar

The transformation of the lottery market and communication strategies will be among the main themes of the II Ibero-American Lottery Marketing Seminar, scheduled for May 31 to June 2, 2026, in Buenos Aires.

The event is organized by the Ibero-American Corporation of State Lotteries and Betting (Cibelae) with institutional support from Spain’s ONCE.

Under the theme “Marketing in Times of Change: Change Drives New Opportunities,” the seminar will bring together executives, regulators, and specialists from Latin America and Europe to discuss innovation, consumer behavior, and digital transformation.

The academic program will address changes in consumer behavior, new generational dynamics, and the impact of emerging technologies on traditional lottery models.

Confirmed speakers include:

• Change management: Connie Demuru, CEO of Desti, will analyze business agility models and customer retention strategies.
• Brand transformation: Javier Álvarez Pecol, president of APEIM, will present case studies of traditional companies that successfully adapted to technological modernization.
• Corporate culture: Federico Fros Campelo will discuss how organizational culture influences a company’s ability to innovate.
• Consumer trends: Ximena Alarcón, CEO of Youniversal, and Maria Zavalski will explore macroeconomic consumer trends and their influence on lottery products.
• AI and new media: Mariano Dorfmann will analyze the impact of short-form vertical video content on consumer attention, while Noelia Lara Mansilla will address the use of generative artificial intelligence in marketing.

Regional competitors in the Advertising Awards

In addition to the keynote sessions, the seminar will feature panels bringing together state lottery operators and international technology providers.

Representatives from Loterías de Puerto Rico, CAIXA Loterias, Ecuador’s National Lottery, Uruguay’s La Banca, and the Lottery of the City of Buenos Aires (LOTBA) will participate alongside companies such as Scientific Games, Brightstar Lottery, and EveryMatrix.

Discussions will focus on the adaptation of traditional lotteries to multichannel digital models and the generational challenges linked to consumer behavior and communication.

The event will also host the second edition of the Cibelae Lottery Advertising Awards, created to recognize the industry’s best communication campaigns.

The 2026 edition achieved a record 49 nominations submitted by 18 lottery organizations from ten countries.

All participating campaigns, originally launched during 2025, will compete in three categories:

• Social media advertising: 20 campaigns.
• Commercial advertising: 19 campaigns.
• Institutional advertising: 10 campaigns.

Brazil will have a strong presence in the competition through Caixa Loterias and Lottopar, the lottery operator of the state of Paraná.

The campaigns will be evaluated by a specialized jury composed of five advertising experts and later reviewed by the seminar’s organizing committee.

The five highest-scoring campaigns in each category will advance to a shortlist presented during the closing ceremony.

Final winners will be selected through real-time voting by event attendees using a QR code-based digital system.

Evaluation criteria will include creativity, audience engagement, structural quality, and the ability to reshape consumer perception within an increasingly competitive and digitalized market.