Get ready for big changes in the world of sports betting in Brazil. From January 2025, only national teams and events will be able to sponsor platforms that have headquarters in Brazil. This new rule was published by the Ministry of Finance.
And that's not all. Companies will also need a authorization to operate. Most bets currently work from exterior, but that’s about to change. Want to know how this could affect you and your favorite team? Keep reading!
-
- Bets will need to be based in Brazil to sponsor teams.
-
- The rule comes into effect in January 2025.
-
- Most betting currently operates from overseas.
-
- Ordinance limits influencer advertising and requires suspension of addicts.
-
- Betting sector sees new requirement as positive.
Changes to Sports Betting Sponsorship in Brazil
Introduction to the New Rules
You are about to discover how sports betting and the online games are set to undergo a significant transformation in Brazil. Starting in January 2025, new regulations will require betting platforms to be based in the country to sponsor national sporting events.
Context and Impact of the New Rules
Sponsorship Requirements
So that you can understand better, let's get straight to the point: from 2025, only betting platforms with headquarters in Brazil will be able to sponsor football teams and other sports in national events. This means that companies will have to register with the Ministry of Finance and meet a series of requirements.
Current Situation
Currently, most betting platforms operate from abroad. According to a survey carried out by ge, 68% of the clubs in series A, B and C of the Brazilian Championship have master sponsorship of betting sites. However, none of these platforms have yet been authorized to operate in Brazil.
Details of the Ordinance
Publication and Validity
The ordinance was published by the Ministry of Finance and will come into force in January 2025. From that date onwards, only platforms registered and authorized by Prizes and Betting Secretariat of the Ministry of Finance will be able to promote their brands through advertising or sponsorship of sports teams.
Other Standards
In addition to the requirement to be headquartered in Brazil, the ordinance establishes other rules for the betting market. For example, there are limitations on influencer advertisements and the obligation to suspend the accounts of users who are addicted to gambling.
Industry Reactions
Favorable Opinions
THE National Association of Games and Lotteries (ANJL) sees the requirement as positive for the sector. Leonardo Baptista, CEO and co-founder of Pay4Fun, a payment fintech integrated with betting houses such as Bet365, Betano and Pokerstars, believes that many companies were waiting for these ordinances to understand how to enter the Brazilian market.
Future Expectations
Magnho José, president of the Legal Game Institute (IJL), also believes that betting platforms will be based in Brazil. He argues that losing the Brazilian market does not make sense, since the legislation encourages the market and brings more security.
How to Prepare
Registration and Headquarters in Brazil
If you represent a betting platform, it is crucial to start planning to set up headquarters in Brazil and register with the Ministry of Finance. This will ensure that you can continue to sponsor national sporting events and explore the sports betting and online gaming market in the country.
Compliance with Requirements
In addition to having a headquarters in Brazil, it is necessary to comply with all the requirements established by the ordinance. This includes obtaining authorization from the Secretariat of Prizes and Bets and complying with specific rules on advertising and sponsorship.
Conclusion
Changes in the market sports betting and online games in Brazil are significant and require preparation and adaptation. With the new regulations, platforms will have to establish themselves in the country and comply with a series of requirements to continue operating and sponsoring national sporting events.
For more information on how technology can impact different industries, check out this article on artificial intelligence that detects lies.
Frequently Asked Questions
What changes for betting in 2025?
From January 2025, all bets that want to sponsor football teams in national events must be based in Brazil and registered with the Ministry of Finance.
Why will bets need to be based in Brazil?
The new rule aims to ensure more control and transparency in the sports betting and online gaming market in Brazil. Foreign bookmakers will no longer be able to sponsor national events without a local base.
How can bets obtain registration?
Betting companies must meet a series of requirements and obtain authorization from the Prizes and Betting Secretariat of the Ministry of Finance. These requirements include being headquartered in Brazil.
What are the other rules established by the ordinance?
The ordinance limits influencer advertising and requires the suspension of accounts of addicted players. In addition, only authorized betting companies will be able to advertise their brands at national events.
What does this mean for Brazilian clubs?
Clubs that depend on sponsorship from bets will have to partner with platforms that are regularized in Brazil to continue receiving financial support for national events.