As the sports betting industry in Latin America continues to expand, Brazil has taken several significant steps to revolutionise the region’s regulation standards. Luiz Felipe Santoro, President of the Brazilian Bar Association’s Games Commission in São Paulo, explains how Brazil’s updated regulations could inspire its LATAM neighbours to legalise and modernise the online sports betting framework.
Highlights of the Story
- Illegal sports betting platforms continue to thrive in Brazil. The authorities are exploring ways to enforce betting laws to counter their raging influence.
- While Brazil’s regulatory framework includes responsible gambling tools, it lacks preventative efforts and health infrastructure to support vulnerable consumers.
- Santoro highlights the need for collective effort from operators, players, and the authorities to enforce the regulations.
Real-World Impact of Brazil’s Evolving Sports Betting Regulations
Although Brazil passed legislation legalising online sports betting in 2018, the actual law came seven years later. The regulated market actually began operating in early 2025. During this gap, gaming operators targeted Brazilian punters from a grey area. This had not only put consumers at risk but also diverted funds away from the state coffers.
The reformed regulatory framework is now setting the tone for sports betting operators in Brazil. Santoro believes this could inspire other Latin American nations to follow suit, revolutionising the future of sports betting in the region. As Brazil is taking the lead in iGaming growth in Latin America, it is positioning itself as a regulatory benchmark for neighbouring countries. One of the most significant challenges in the region is the abundance of illegal sportsbooks.
Commenting in a special interview with SiGMA, Santoro believes “regulating the market and supervising legal operators is not enough if unlicensed operators continue to target Brazilian customers with impunity.” Enforcement and public awareness must proceed hand-in-hand, and consumers must be made aware of ways to identify and support licensed operators.
Illegal gambling sites present a continuous challenge to the region’s market stability, and Santoro believes public education and enforcement must be carried out simultaneously. He explains:
The first step toward building a regulated market is ensuring that consumers know which betting sites are licensed to operate in Brazil. Without solid and effective responsible gambling measures, the industry cannot sustain itself in the long run.
Updated Regulations a First in LATAM Betting Markets
Santoro states that responsible gambling is crucial to sustain the industry in the long run. He warns that the industry will suffer without robust responsible gambling measures. Brazil’s new regulatory framework, which includes sports betting ad restrictions, also foresees self-exclusion tools, such as time tracking, betting volume monitoring, etc.
All of these tools are designed to protect consumers from the dangers of problem gambling. However, Brazil must step up efforts to educate the masses and invest in healthcare infrastructure to support people affected by gambling addiction. Santoro adds:
Without effective responsible gambling measures, the industry, as a whole, loses. Our public healthcare system (SUS) and psychosocial care centres (CAPS) cannot treat gambling addiction.
The heightened sports betting trend has raised concerns around match-fixing in sports. Betting patterns around specific in-play events can spark investigations into biased gameplay. Under such circumstances, Brazil’s sports infrastructure has provisions for strict penalties, including lifetime bans. Santoro adds:
Manipulation can go beyond final results. It could be something as simple as a player receiving a card. Any penalty issued in Brazil can be reported to FIFA, which will implement the sanctions globally.
Santoro’s final observations called for cooperation between all stakeholders to enforce the regulation and educate consumers about the dangers of gambling at illegal platforms.
If you’re interested in learning more about the regulatory landscape in Brazil, refer to the Ace Alliance 2025 iGaming Trendbook to learn more about what makes this Latin American country unique.