On Tuesday (20th), the deadline ended for applying for a license to operate in the fixed-odds and online gaming market in Brazil, starting from January 1, 2025. A total of 113 license applications were submitted, with 51 companies completing the submission of documents through the SIGAP (Betting Management System) within the last 24 hours of the deadline.
Each license costs R$ 30 million, potentially generating R$ 3.39 billion in revenue for the Secretariat of Prizes and Betting of the Ministry of Finance (SPA/MF) if all applications are approved. Each license allows the operation of up to three betting sites, known as “bets,” which could result in up to 339 brands. The application process includes meeting criteria related to legal qualification, tax and labor regularity, integrity, economic-financial qualification, and technical qualification.
Companies wishing to operate in the Brazilian market can still apply for a license. However, the review period will be up to 180 days. On the other hand, for the 108 companies that submitted the 113 license applications, the SPA/MF has committed to providing a response by the end of the year, which would allow them to operate in the regulated market starting in 2025.
According to “Agência Gov”, Regis Dudena, the Secretary of Prizes and Betting of the MF, considers that the number of applications exceeded expectations. “The conclusion of the initial phase of the authorization process, with this significant number of applications, was a success,” said Dudena. “The Ministry of Finance has been working intensively on regulation and has established strict criteria for the protection of bettors and market rules. The sector responded positively, showing that there are many serious companies that intend to operate while respecting the legislation, which is the best way to meet the personal, social, and economic needs of the activity.”
The rules defined for the exploitation of the activity in the country will come into effect on January 1, 2025. From that moment on, sites operating without a license will be penalized. For those whose authorization applications are successful, the adoption of the “.bet.br” domain will be mandatory. Additionally, brands must adhere to various rules concerning payment methods, anti-money laundering, responsible gambling, among others. The SPA/MF will be responsible for monitoring and enforcing the law.
Dudena also spoke about the new phase the market will enter starting next year. For companies without a license, even advertising and sponsorships will be prohibited. “The period without rules is coming to an end,” said the secretary, according to “Agência Gov”. “With the completion of the adjustment phase, the market has already understood that there is only one way to operate nationally in Brazil: by complying with the law and the rules, respecting people, and with authorization from the Ministry of Finance.”
