In Brazil, the fifth business seeks licensing for gambling operations
Rewritten Article:
Hey there!Ready to dive into the latest on Brazil's gaming scene? Five companies have thrown their hats in the ring so far—Sportingbet, Rei do Pitaco, Superbet, Betano, and our new contender. According to iGaming Brazil, it's time to wait and see if the Ministry of Finance gives them the green light.
Here's the deal: The Ministry has 180 days to decide on licenses, but companies that applied before August 20 have until December 31 to hear back. Starting January 1 of the following year, operating without a license will be forbidden.
But here's the twist—companies aren't exactly rushing to legalize their activities like some experts predicted. There are several reasons for this hesitation.
First, the gambling legislation is still fresh, and companies aren't exactly keen on meeting its demands just yet. But that's not all. The process of obtaining licenses involves some hefty technical certifications and integration protocols which, let's be honest, can be complex and costly.
Oh, and there's more. You see, the potential approval for land-based casinos is still up in the air, and that's causing some uncertainty among operators. The ongoing discussions can make companies hesitant to fully commit to the market.
Lastly, there's the question of market saturation. With over 170 authorized operators already operating online, some companies might be wary of further crowding the market. However, the online market is projected to reach R$29 billion in 2026, so there's still plenty of room for well-prepared operators to make a killing.
But don't get too excited. Smaller companies might face some barriers due to the tight deadlines and the risk of losing provisional licenses, not to mention the need to maintain operations while ensuring compliance.
In summary, while Brazil's regulatory framework offers potential growth in the gaming industry, companies might be playing it safe due to regulatory challenges, market dynamics, and uncertainties surrounding legal developments.
Author: Alina Shvets
- The Ministry of Finance in Brazil has a deadline of 180 days to issue gambling licenses to five companies: Sportingbet, Rei do Pitaco, Superbet, Betano, and another new contender, as per iGaming Brazil.
- The fintech industry, including casino-games, is hesitant to fully legalize their activities in Brazil due to the complex and costly technical certifications and integration protocols involved in obtaining licenses.
- The potential approval for land-based casinos in Brazil remains uncertain, causing some operators to be hesitant in fully committing to the market.
- Despite the market saturation with over 170 authorized online operators, the online gaming market in Brazil is projected to reach R$29 billion in 2026, providing opportunities for well-prepared operators.
- Smaller companies in the casino-and-gambling industry might face barriers due to tight deadlines, the risk of losing provisional licenses, and the need to maintain operations while ensuring compliance with regulations.
