As Brazil continues to move towards regulating online sports betting, dozens of new companies have applied for licenses. On the last day of application submission alone, Brazil received over 50 new applications.
The number of companies applying for licenses is lower than expected
The deadline for license applications was August 20. So far, 113 companies have applied for licenses, including dozens of leading operators. Although this number is impressive, it is lower than the initially indicated 134 betting companies that showed interest.
Brazil began accepting applications on May 21, and five days later, Greek operator Kaizen Gaming submitted the first application, followed by several Brazilian betting companies in the subsequent days.
The most well-known companies applying for licenses include prominent operators such as Betfair, Betsson, Stake.com, Caesars Entertainment, Sportingbet, and bet365.
While some companies tried to submit their applications as soon as possible, many operators preferred to submit at the end of the licensing window to ensure they were as prepared as possible and fully understood Brazil's regulatory framework.
According to the official application list available on Gov.br, the last three companies to submit applications were PUSKAS BET ADMINISTRADORA DE APOSTAS ESPORTIVAS LTDA, G2 NEGOCIOS DIGITAIS LTDA, and AF TECNOLOGIA E SOLUCOES FINANCEIRAS LTDA.
Companies that chose to submit their applications on August 20 had a certain advantage over their competitors, as they were able to familiarize themselves with the final rules released earlier in the month.
First come, first served
Betting companies that missed the deadline can still apply for a license. However, the licensing process for these companies may take longer, causing them to miss the market opening.
Applicants need to comply with Brazil's regulatory framework and meet certain conditions. For example, international companies must establish headquarters locally and set up a subsidiary in which more than 20% of the shares are held by Brazilian nationals. In addition to paying the licensing fee, companies must also maintain a financial reserve of at least 5 million Brazilian reais.
For instance, Brazil's regulated betting market is planned to launch on January 1, 2025. Applicants who submitted their applications within the initial deadline will be able to offer their products immediately after the market opens.
For a long time, Brazil has been one of the largest undeveloped markets for regulated betting. Analysts predict that by 2028, the turnover of regulated betting could reach as high as 34 billion US dollars.
