So, Are Online Bets Legal in Brazil or Not?

Law 13.756 was enacted in 2018 and opened the door to the regulation of sports betting in Brazil, marking a significant milestone in the online betting landscape. The primary objective of this law was to bring betting into the legal framework, allowing the government to collect taxes on this activity, which had been happening informally.

This law introduced the concept of fixed-odds betting, where the bettor knows exactly how much they can win if they guess correctly — a common format in sports betting. However, the 2018 legislation didn't come with complete regulation, creating a legal gray area where platforms began to operate even before a clear set of rules was established.

Only in 2023 did Law 14.790 bring the much-anticipated regulation of sports betting. This new law outlined how betting companies can operate in Brazil and set licensing requirements and prohibitions on certain practices.

Key points of the new regulation include:

Permitted Bets: Law 14.790 allows fixed-odds betting on sports events and virtual simulations, where the bettor knows the potential winnings in advance.

Prohibitions: The law prohibits minors and base-level athletes from participating in betting, and bets on school and amateur sporting events are not allowed.

Licensing: Companies operating in this sector must obtain a license from the Ministry of Finance, following strict consumer protection and anti-money laundering rules.

Taxation and Sports Support: Online betting platforms will be taxed based on their gross revenue, with part of this tax revenue being directed to support sports in the country.

These advances are part of the government's effort to create a controlled and safe environment for online betting in Brazil, protecting consumers and combating illicit practices associated with the sector.

In 2024, the Secretary of Prizes and Bets (SPA) was established to oversee and regulate the betting market in Brazil. The SPA has become a key player in enforcing oversight and ensuring that platforms operate according to the technical and security requirements set by law.

Additionally, SPA is responsible for monitoring the financial flows of betting platforms, helping combat fraud and money laundering schemes. The stricter regulations aim to ensure that financial operations are transparent, protecting the sector from financial crimes.

With the rise in popularity of online betting, concerns have arisen about using these platforms for money laundering. Recently, several Brazilian influencers and celebrities have been investigated for allegedly participating in such schemes. The government has stepped up its oversight and adopted stricter rules to prevent online betting platforms from being used as tools for illegal activities.

Licensed and secure betting platforms must follow compliance standards that ensure bettor data protection and prevent illegal practices. As a bettor, it’s essential to carefully choose where you place your money, opting for platforms that comply with Brazilian laws.

With the betting market growing rapidly in Brazil, the future looks promising, especially with the implementation of Law 14.790/2023. However, challenges still lie ahead. One of the biggest questions is how to create a balanced environment where bettors can play safely while the government prevents irregularities.

Online betting is indeed allowed in Brazil, but with several caveats. Platforms must follow specific rules, and the government is increasingly vigilant in ensuring this market operates fairly and safely. Bettors who wish to enjoy this form of entertainment should always seek reliable platforms and respect their own financial limits.

Before entering the world of betting, it’s important to be well-informed about the risks and rules of the game. With ongoing regulation and tighter oversight, the betting landscape in Brazil is rapidly changing, making it essential to stay updated to avoid potential issues in the future.

The future of online betting in Brazil is bright, but entertainment must always be practiced responsibly. Like any game, the key is to participate consciously, without letting the excitement become a trap.