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Brazil's sweeping crackdown on illegal online gambling begins now

From temporary permits to forced shutdowns, Brazil's $5.3M licensing push reshapes its booming online betting industry. Will gamblers adapt—or resist?

The image shows a group of people wearing masks and holding signs in the middle of a street,...
The image shows a group of people wearing masks and holding signs in the middle of a street, surrounded by vehicles, trees, buildings with windows, and boards with text. The sky is visible in the background, suggesting that the people are protesting against the government's decision to ban the use of vaccines in Brazil.

Brazil's sweeping crackdown on illegal online gambling begins now

Brazil is cracking down on unregulated online gambling as part of a major industry overhaul. President Luiz Inácio Lula da Silva signed a new gambling law in December 2023, setting stricter rules for operators. The government now aims to shut down illegal sites while licensing approved businesses in the coming months. The Ministry of Finance has given nearly 100 companies permission to run 210 legal gambling websites. These firms currently hold temporary licences, which will soon be replaced by full five-year permits. To qualify, operators must pay a $5.3 million fee and meet strict industry standards.

Unauthorised gambling sites face a deadline to comply. By October, they must apply for accreditation or risk closure. Finance Minister Fernando Haddad has made it clear that unregulated platforms will be blocked to protect consumers and secure tax revenue.

Estimates suggest between 24 million and 52 million Brazilians gamble online, though the exact number remains debated. The government has identified around 2,050 illegal sites for potential shutdown, signalling a tougher stance on enforcement. The first full gambling licences are expected within months, marking a shift toward tighter regulation. Legal operators will pay fees and follow new rules, while illegal platforms face forced shutdowns. The changes aim to create a safer market while boosting state income from the growing industry.

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