In an interview with Metrópoles, the Secretary of Prizes and Betting of the Ministry of Finance, Regis Dudena, revealed the creation of a working group with the Ministry of Health that will implement self-tests to identify problems associated with gambling. Moreover, he stated that the Finance and the Ministry of Sports are involved in the regulation, especially in sports integrity and the prevention of result manipulation. Watch the video.
Since May, the Secretariat has received 114 requests for authorization to operate, and the analysis of these requests should be finalized by the end of 2024. The number of requests exceeded expectations, and interested companies must comply with strict requirements, such as the declaration of capital origin and the identification of the leaders.
Starting January 2025, unauthorized companies will not be able to operate in Brazil, nor even advertise. Companies that obtain authorization must use the “bet.br” domain for their betting sites.
“The authorization will be an ongoing process, and companies that violate the rules face severe fines, which can reach up to R$ 2 billion, and may lose the authorization to operate in Brazil. Although the collection for 2024 is limited to the value of the grants, estimated at up to R$ 3.4 billion, future tax revenue will depend on the activity of the companies and the volume of bets”, explained the Secretary.
Regis Dudena also emphasized measures to protect bettors. The Secretariat is implementing rules to monitor the behavior of bettors and impose limits on spending and playing time, with the goal of combating gambling addiction.
Companies must offer self-limitation mechanisms and alert users about potentially harmful behaviors. Currently, there is no national registry of bettors, but there is an intention to develop a system in the future.
Regarding payment methods, only electronic methods, such as Pix and debit cards, are allowed, while the use of credit cards is prohibited to prevent the over-indebtedness of bettors.
Dudena stressed that, although the regulated sector begins to operate in January, existing legislation on crimes such as money laundering and fraud will continue in force: “The authorities will continue to combat illegal activities, separating legitimate companies from criminal ones. Regulation is seen as essential to ensure a safe and transparent environment for betting, protecting both bettors and the country's economy.
In the interview, Regis talked about the coordination of the Secretariat of Prizes and Betting with other ministries involved in the regulation of betting. He highlighted the importance of collaboration with the Ministry of Health and the Ministry of Sports.
“The Secretariat is forming a working group with the Ministry of Health to address health issues related to gambling addiction, including the creation of a self-test to identify problems associated with games”, revealed Dudena.
“With the Ministry of Sports, the focus is on sports integrity and the prevention of result manipulation, as defined by sports legislation. In addition to these ministries, there is also interaction with the Ministry of Justice and the Central Bank to ensure effective coordination and a clear understanding of the regulatory and supervisory competencies of the Secretariat”, explained.
Regarding the expectations for the regulated betting market in Brazil from 2025, Dudena believes that regulation will bring greater protection to bettors and help deter criminal activities, such as fraud and money laundering.
He also foresees significant potential for the economic sector and suggests that the market may undergo consolidations, with mergers and acquisitions, as companies adjust to the new rules. Regulation should encourage investments, as long as investors are aware that they must operate within the law to avoid sanctions.
Source: GMB
