BMM Testlabs has been chosen by CAIXA Loterias S.A. as the provider of technical certification services for its fixed quota betting system. The company is one of the five approved by the Secretariat of Prizes and Bets of the Ministry of Finance in Brazil to test and certify this type of service and is already operating in Rio de Janeiro, Paraíba, and Paraná.
CAIXA Loterias, a company created by Caixa to manage lottery outlets, which includes traditional bets from Mega-Sena and other products, requested on Tuesday, 20, from the Ministry of Finance, authorization to operate in the sports betting market. One of the bank's objectives in creating the subsidiary was to gain agility in the face of competition with bets.
“This partnership reinforces our commitment to providing high-level certification services in compliance with the stringent requirements set out in the SPA/MF regulations. As a trusted leader in the gaming industry, BMM Testlabs is proud to support CAIXA Loterias in its expansion into the sports betting market,” said Susana Campañá Castaño, VP of ONLINE sales for Europe and LatAm.
Last April, BMM Testlabs announced that it was approved to test and certify land-based games, online games, and fixed quota betting systems by the Substitute Secretariat of Prizes and Bets of the Ministry of Finance in Brazil for the country's lottery operators. This historic approval reinforced BMM's capabilities to test and certify any gaming product, to any technical standard adopted by any gaming regulator, in Latin America and any other regulated gaming market in the world.
In addition to this federal accreditation, BMM has already been authorized to perform compliance testing and certification in the three Brazilian states that recently regulated online gaming and sports betting – Rio de Janeiro, Paraíba, and Paraná. These three states are in the process of granting licenses to operators, which will allow them to offer fixed quota sports betting, casino games, and skill games.
As part of its commitment to the Brazilian market, BMM is establishing a local laboratory from where the company will provide its full range of compliance services and solutions, including pre-compliance testing, customized security audits, geolocation testing, and software quality assurance (SQA).
“As a relevant player in the Brazilian lottery market, Caixa is constantly involved in the development of new gaming products and businesses. Thus, it filed with the Ministry of Finance a request for authorization to operate fixed quota sports betting on behalf of CAIXA Loterias. The required documents were presented in accordance with current regulations,” the company assured.
In the first half of this year, it collected R$ 12.3 billion with all its lottery modalities. In the same period last year, the collection was R$ 10.34 billion. Caixa expects that the collection from bets will initially be about 50% of what CAIXA Loterias obtains from traditional games. With the maturity of the operation, the trend is that the value may grow.
Despite having more than 13,000 physical points across the country, CAIXA Loterias will operate in the “bets” segment as other companies do, that is, through digital channels.
The “Bets Law” was sanctioned at the beginning of the year by President Lula. In addition to the taxation of 15% Income Tax on the net profit of the prizes for the bettors, the companies will have to pay R$ 30 million in concession. The law also stipulates that the Ministry of Finance is responsible for the authorization and operation of the “bets”.
Source: GMB
