The Prizes and Betting Secretariat (SPA) has announced a deadline for betting companies in Brazil to obtain the necessary authorization to operate. Starting from October 1, operators that have not applied for authorization will have their operations suspended until they secure permission from the SPA.
This means that only those operators who are already active and have requested authorization to engage in fixed-odds lottery betting before this date will be allowed to continue operating. Any operator that fails to register through the Ministry of Finance’s betting management system (SIGAP) will be classified as illegal until they obtain the required authorization.
This regulatory framework is part of the lead-up to Brazil’s fully regulated betting market, set to go live on January 1, 2025. At that time, only operators compliant with local laws will be permitted to operate. Demand for operating licenses in Brazil has surged, with reports indicating that 114 applications for iGaming licenses were received by the end of August. Secretary of Prizes and Bets of the Ministry of Finance, Regis Dudena, emphasized the need for strict compliance with existing laws to protect bettors from fraud and money laundering.
Dudena stated, “We want to protect the mental, financial, and physical health of bettors, preventing the activities of companies that use sports betting and online games as a means of committing fraud.” He reiterated that the adaptation period is not a means to bypass compliance with current laws, including those related to money laundering and consumer protection. In related news, the Argentine Football Association (AFA) has renewed and expanded its partnership with SmartSoft, further highlighting the evolving landscape of sports betting in South America.