The online gaming and betting market in Brazil is growing rapidly but still faces challenges similar to those in countries like Spain. Excessive and advertising restrictions are critical issues that need revision to create a more dynamic and competitive sector that attracts new operators while combating illegal gaming.
Need for a more flexible regulatory model
Experts at recent events in Europe argued that sector regulation should prioritize opening new licenses and expanding game options, known as “verticals.” Currently, in Brazil and other regions, regulated gaming offerings are limited, while illegal options like crypto casinos are gaining ground, especially among the younger generation. These unregulated games use platforms like Twitch and TikTok to attract audiences, putting licensed operators at a competitive disadvantage since much of the interested audience is active on these platforms.
Advertising and competitiveness
Advertising is another sensitive point in Brazil. Severe restrictions, similar to those in Spain, hinder legal operators from promoting their services, limiting their ability to compete with illegal options, particularly on social media where young people are more active. According to Santiago Asensi, a specialist lawyer in the sector, “if there’s no advertising, there’s no market presence.” This dynamic can be observed in more open markets, where structured advertising allows licensed operators greater visibility.
In the Brazilian context, the regulation being discussed could benefit from international examples to avoid common mistakes. Like in Spain, it is crucial to consider that excessive regulation may push players toward illegal options, which offer no safety guarantees. It’s also important to include mechanisms for regularly reviewing the impact of legislation, promoting adjustments that ensure a balance between consumer protection and operator competitiveness.
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