Brazil is on the verge of entering a new phase in its sports betting and online gaming market, with full regulation set to take effect on January 1, 2025. This phase is being spearheaded by the Ministry of Finance’s Secretariat for Prizes and Bets (SPA), which has recently issued specific guidelines to facilitate the transition of offshore operations to licensed platforms in the country. 

Migration of player data and funds 

The newly issued , published on November 26, 2024, outlines how licensed operators can transfer their clients’ data and funds to regulated platforms. Key requirements include: 

• User Consent: Players must explicitly authorize the migration of their data and funds. 

• Identity Validation: Before activating their accounts on local platforms, users must complete an authentication process, including facial recognition. 

• Formal Request: Operators have until December 13 to seek SPA approval for this transfer. 

These regulations aim to protect consumers and ensure compliance with Brazil’s General Data Protection Law (LGPD), promoting an organized transition into the regulated market starting in 2025. 

Licensing requirements in Brazil 

Since May 2024, companies seeking to operate in must meet various criteria to obtain a license, such as: 

• Upfront Fee: Payment of an R$30 million licensing fee. 

• Technical Compliance: Certifications ensuring the safety and efficiency of platforms. 

• Local Structure: Companies must register in with at least 20% of their shares held by a Brazilian partner and prove financial reserves of at least R$35 million. 

Of the 114 applications initially submitted, many are still under review, but some operators, like Superbet, have already stood out by confirming their license fee payment. 

Additionally, operators must register exclusive domains for the Brazilian market and ensure total transparency in game operations, reflecting the SPA’s commitment to consumer protection and fair practices. 

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