Brazil regulator will implement supplier registration requirement

Jillian Dingwall January 23, 2025

SiGMA news

Speaking at a roundtable session at the ICE Conference in Barcelona, Regis Dudena, head of Brazil’s chief gambling regulator, said he expects the country to in the new online gambling market.

With the regulated online gambling market in Brazil still in its infancy, Dudena is already facing pressure from licensed operators to address the challenges posed by offshore operators that continue to operate outside the regulatory framework.

He underscored the importance of having a registration process for B2B suppliers, stating, “More and more, it’s necessary to have such registration.” He implied that full licensing is not around the corner, but some form of certification for online gaming systems and other providers would be forthcoming. Additional regulatory oversight is the goal to ensure that all suppliers meet set standards.

Combating the black market

In addition to supplier registration, Dudena highlighted ongoing efforts to combat black-market operators. The Secretariat for Prizes and Bets (SPA) is currently collaborating with major social media platforms like Meta, Google, and TikTok to limit advertising from illegal operators. Since the market opened, Brazilian authorities have already blocked thousands of domains associated with unlicensed gambling activities.

This proactive approach is indicative of Brazil’s drive to provide a safe space for players while working with foreign regulators to identify and take down multijurisdictional bad apples. Dudena said he had spoken to representatives of the UK Gambling Commission to provide and take some insight into the experiences. “We know it is very important to learn from other people’s mistakes,” he said, emphasising the need for cooperation among international regulatory bodies in dealing with common problems that beset the iGaming industry.

Brazil’s advertising regulations under review

As the Brazil market matures, the advertising guidelines are under intense scrutiny. Concerns over over-saturation into the marketplace because of heavy advertising from newly licensed operators were debated. Dudena nodded to tighter controls on advertising; however, this may be further down the line, noting patience is in order regarding present marketing practices and their effect on the public’s impression.

Some bills have been sent to Brazil’s Congress looking to ban all gambling advertising, but Dudena is against these bills, saying they do not represent the best way to manage the market. Instead, he supports a balanced approach allowing for responsible advertising that protects consumers.

Future considerations

Looking ahead, Dudena commented on the possibility of bringing in a centralised self-exclusion system for players, but there would need to be a resolution of concerns about personal data protection first. This consideration reflects a growing awareness of responsible gaming practices within Brazil’s regulatory framework.

Despite these ambitious plans, Dudena and his team are currently focused on working through a huge backlog of licensing applications. More than 300 companies have applied for licenses since Brazil’s market opened its doors, but only 70 have been issued to date. The SPA is in charge, underlining that all must meet strict standards of compliance before being able to operate legally in Brazil.

One step ahead

Stringent supplier registration requirements would put Brazil one step ahead of the regulation in its online gambling market. Enhanced accountability, in conjunction with collaborative working with international regulators, ensures the safety and transparency of the player environment in countries while minimising issues related to black-market operators. It is necessary, then, that within such a constantly changing landscape, different stakeholders continue to pay attention to ongoing updates to the regulatory framework.