Brazil Enhances Gambling Advertisement Regulations

The Brazilian government has published new rules and provisions governing how fixed-odds betting businesses advertise their products, specifically concerning the use of social media influencers. The new requirements were introduced via Ordinance SPA/MF No. 1,231/2024 and represent another vital milestone in Brazil’s efforts to modernize its gambling market.

Regulations Reflect Evolving Market Realities

The new regulatory framework imposes strict accountability on betting companies for any abusive or misleading advertising carried out by influencers they hire. This move aims to curb deceptive promotions and ensure all advertisements reflect responsible gambling practices. The updated law explicitly forbids advertising or sponsoring sports events by companies without proper authorization.

Betting Companies will be responsible for any misleading or abusive advertisement by social media influencers that they have procured. Promotions should be transparent and honest, without misleading claims that gambling provides an easy way to riches. Violations can result in severe penalties for offending operators and, in extreme cases, may cost a company its license.

While the new law prohibits sign-up bonuses, actions promoting bettor loyalty are allowed. The ordinance did not specify what these represent, leaving some room for speculation. The Brazilian government aims to balance stakeholder interests with safe gambling measures, protecting consumers while giving the industry ample room to grow.

Brazil Remains Confident in Its Reforms

These updates are part of Brazil’s efforts to foster adequate player safety. The country will require operators to monitor bettors’ activities and provide alerts if problematic behavior is detected. Users can also benefit from robust self-exclusion measures, limiting their connection time and betting amounts, suspending their accounts, or even permanently suspending their access.

Ministry of Finance secretary of prizes and bets Régis Dudena emphasized the importance of these new measures. He was adamant that these updates were necessary to ensure operators would be fully accountable for potential violations following the gambling market’s planned 1 January 2025 launch. This update represents the final set of regulations, giving companies sufficient time to prepare.

We have established clear advertising restrictions. Any misleading advertising can result in severe penalties for bookmakers.

Régis Dudena, Brazil Ministry of Finance Secretary of prizes and bets

The Ministry of Finance will maintain a list of authorized fixed-odds betting companies on its website, containing their respective web addresses. All licensed betting websites must use the domain “.bet.br,” providing consumers an additional layer of verification and trust. As the official launch approaches, all eyes will be on Brazil as the country hopes to justify the high expectations of stakeholders and consumers.