Bet advertising will have a warning about the risk of dependence and losses

Mandatory Alerts

One of the ordinances determines that all advertising from authorized companies must be accompanied by warning messages similar to those used in advertisements for cigarettes, alcoholic beverages and medicines.

Campaigns must display one of the following messages:

• "Ministry of Finance warns: betting makes you lose money";

• "Ministry of Finance warns: betting can cause addiction";

• "Ministry of Finance warns: betting is not an investment".

According to Durigan, the initiative seeks to increase public awareness of the risks associated with betting.

Limited advertising

The second ordinance, drawn up in conjunction with the Ministry of Justice and Public Security, establishes new restrictions for campaigns by authorized companies.

Among the measures are the prohibition of presenting betting as a form of investment or easy earning of money, of creating a sense of urgency to encourage betting and of using commentators, experts or influencers to induce the public to bet.

"All channels are subject to these rules. All commentators are prohibited from inducing. Commentators or experts who comment on games or round tables have, for some people, a tone of authority and, when conveying information, they also induce gambling", stated the minister.

Durigan also highlighted that the government intends to prevent the use of technical analysis as a strategy to convince bettors.

"It is neither legal nor regular to mislead the consumer by mixing an expert's comment, saying that the best bet is one or that the path is that, giving a veneer of technical support", he declared.

The new rules also prohibit the disclosure of award histories or previous results that could encourage betting.

"When the history of awards is shown, the history of losses is hidden," he said.

Campaigns will also not be able to target advertising to children and teenagers.

"There is zero tolerance to advertising that, in any way, seeks to reach children and adolescents", he reinforced.

Fighting illegals

During the press conference, Durigan reaffirmed that the government will maintain strict action against companies that operate without authorization in the country.

"We place restrictions on betting advertising in the country. I don't need to say, because it's raining on the wet, our zero tolerance for illegals. Therefore, illegal betting is not authorized under any measure, nor are advertisers or media outlets authorized to broadcast any advertising involving a company not authorized to operate in the market", he stated.

According to the minister, the ban also affects platforms and vehicles responsible for disseminating campaigns.

Penalties

Companies that fail to comply with the new rules may face administrative sanctions.

The anticipated penalties include:

• fine of up to 20% of the operator's revenue;

• suspension of activities for up to 180 days;

• revocation of operating authorization in cases of serious recurrence.

Inspection

Durigan also presented an overview of the inspection actions carried out by the government since the regulation of the sector.

According to the minister:

• 56 thousand illegal betting sites have already been taken offline;

• around 1 thousand influencer profiles were taken down;

• approximately 1 million bettors were self-excluded because they did not comply with the restrictions set out in the legislation.

"There was a restriction that beneficiaries of government programs were prohibited from accessing it. Decision by the STF. And also by people who join Desenrola", he explained.

The minister added that the authorized companies themselves have collaborated with complaints involving clandestine operators.

Regulation

Durigan also presented a timeline of sports betting regulation in Brazil:

• 2018: legal authorization to operate, without regulation;

• 2023: Congress approves the sector’s general rules;

• 2024: creation of the Prizes and Betting Secretariat, within the Ministry of Finance;

• 2025: start of collection of grants and application of rules for regular operation;

• 2026: notification of 37 fintechs suspected of moving resources linked to illegal betting.

According to the Ministry of Finance, the objective of the new measures is to reduce advertising practices considered abusive, expand consumer protection and reinforce the fight against the illegal betting market in Brazil.

Lula government notifies 37 fintechs for moving money from illegal bets

Institutions must block resources from clandestine companies, or they may be held liable. Communication was made by the Treasury, and seized resources will be passed on to the National Treasury