In Brazil, operators interested in obtaining a license were anxiously waiting for the regulator to finalise the details of the new online gambling regulations. The last ordinances have finally been published, 20 days before the deadline for submitting license applications.

Long-awaited rules

Following the government’s move to regulate online betting, operators were hesitant to apply for licenses due to uncertainties about the new regulations and high fees. As the initial deadline for submissions approached, their concerns about potential regulatory gaps grew, leaving them cautious about committing to the licensing process.

However, in the last few days, the regulator has completed and published the final details of the new law.

Fixed odds and casino games will be allowed

Ordinance SPA/MF no. 1.207 will permit licensed operators to offer fixed-odds betting on sports and virtual online gaming events. The new rules, addressing serious previous uncertainties, specify permissible games including online slots, roulette, blackjack, card games, crash games, virtual sports, and live casino content.

The ordinance now provides clear guidelines, detailing technical requirements such as visible return-to-player percentages, display of paytables, and restrictions on mystery prizes while allowing progressive jackpots and bonus features under specific conditions. Crash games are permitted if their outcomes are random and the rules are clear.

“This ordinance was one of the most anticipated by the sector, due to the long discussions about the legality of these games. Now, with the detailed rules, there will no longer be doubts about the integrity of games such as slot games, such as Tigrinho’s Game, and crash games, such as Avi?ozinho,” said Plínio Lemos Jorge, president of ANJL.

Advertising

Ordinance SPA/MF no. 1.231 addresses responsible gaming and advertising requirements.

Under the new rules, operators must ensure that marketing partners adhere to Brazilian advertising regulations through formal contracts, which are subject to review by the SPA. The ordinance prohibits ads featuring celebrities suggesting gambling leads to personal or financial success. It also bans marketing that urges immediate betting or account creation.

The ordinance builds upon existing standards by the Brazilian Advertising Council CONAR, making operators accountable for any misleading or abusive advertising by their contracted influencers.

Responsible gaming

Regarding responsible gaming, operators must implement tools to identify potential problem gamblers and monitor player activities, intervening with alerts or suggesting limits and self-exclusion when necessary. In extreme cases, operators must suspend players at high risk of addiction.

The ordinance defines players’ and operators’ rights and responsibilities, covering a wide range of topics, including consumer complaints, KYC rules, and account authentication.

Players have the right to bet and obtain winnings, but operators can limit betting and delay withdrawals to comply with responsible gaming policies or address suspected fraud.

Operators can establish loyalty programmes within legal boundaries and must report unusual betting patterns within 24 hours.

Additionally, the ordinance regulates cash-out features and betting exchanges as authorised forms of fixed-odds betting.

Monitoring and sanctions

Two additional ordinances detail procedures for penalising non-compliant operators and provide clear guidelines on the regulator’s authority to conduct inspections and audits.

Law 14.790 mandates real-time monitoring of operators by the Secretariat of Prizes and Bets (SPA). Ordinance 1.233 outlines specific violations and allows the SPA to issue fines up to 20% of an operator’s revenue, capped at R$2 billion (approximately $350 million).

It also allows for settlements if the operator ceases the investigated practices, corrects irregularities, compensates for damages, and pays a penalty.

With the publication of these ordinances, the SPA is ready to transition to the licensing phase, though clarifications will continue.

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