The Federal Supreme Court (STF) is set to discuss the constitutionality of betting operations in Brazil in the first half of 2025. The court is expected to review the matter by April. The Attorney General's Office (PGR) has questioned the constitutionality of the legislation. According to the agency, the laws established in the country do not provide sufficient mechanisms to protect fundamental rights, goods, and values stipulated in the Constitution.
In private conversations, government members and market agents have said that the loopholes in the betting regulations could have been avoided if, from the beginning, the legislation had been crafted by the Civil House in conjunction with the Ministries of Health and Social Development – not just by the Treasury, which focused solely on tax issues.
Offensive on the sector
Throughout 2024, various sectors of society pointed out potential problems with the regulation of bets. Criticisms range from allowing the use of the Bolsa Família benefit for spending on bets to the lack of a national program to assist gambling addicts.
The legalization of bets was approved under Michel Temer's government (MDB) and should have been finalized during Jair Bolsonaro's administration (PL). Under Lula (PT), the federal government began the process to regulate the sector starting January 1, 2025.
The initiative was announced at the beginning of the government as an essential measure to increase public treasury revenues.
When attacks on the regulation began to proliferate, even government base lawmakers who voted for the project started criticizing the initiative.
The crisis took on a new dimension after the release of a Central Bank study on the spending of Bolsa Família beneficiaries. The data were questioned by UOL and the sector, but the BC did not present the methodology of the study.
Now, it is up to the Supreme Court to have the final say on the constitutionality of the rules defined by the political class.
"There are no major adjustments to be made that were not already anticipated in the implementations of regulated operators. There are complex and sensitive discussion points, for example, regarding the blocking of illegal unregulated or unlicensed sites, since the blocking process by Anatel is very complex", says Márcio Malta, CEO of Sorte Online.
According to him, the sector's expectations for the actions in the STF are positive.
STF has already barred Bolsa Família beneficiary
At the end of 2024, the Supreme decided that a Bolsa Família beneficiary cannot spend the program's money on bets and banned advertising aimed at children and teenagers.
The government, however, faces difficulties in implementing the blocking of bets by users.
Market agents say that the pressure being exerted against the companies may end up causing the legislation to regress and harm legal businesses.
A businessman highlights that the offensive on the sector throughout 2024 forced the government to anticipate some measures, such as the publication of the list of companies authorized to operate in the country and the ban on the use of credit cards.
Source: UOL
