Brazil’s Secretariat of Prizes and Betting (SPA) has dished out its strictest punishment to date, as part of a wide-ranging regulatory assessment of the country’s fledgling gambling landscape.
The authority initially confirmed seven operating licenses had been suspended, but this was later changed to four, with the enforcement taken because the entities did not submit mandatory “cybersecurity evaluation reports”.
Article 8 of Ordinance SPA/MF No. 722/2024 outlines the required timeframe for the document to be filed, but the requirement was not met.
The Secretariat of Prizes and Betting has instigated a temporary suspension of the online brands connected to the following four operators, which will be subject to a compliance review:
- Bell Ventures Digital Ltda – BandBet
- Betesporte Apostas On Line Ltda – BETesporte, Lance de Sorte
- Logame do Brasil Ltda – LíderBet, GeralBet, B2xBet
- SorteNaBet Gaming Brasil S.A. – SorteNaBet, Betou, BetFusion
The nine platforms detailed above will not be able to accept deposits, take bets, or register new customers in Brazil until they have satisfied the cybersecurity requirements in line with the SPA’s standards.
It has been confirmed that sanction enforcement has commenced, and any deliberate non-compliance could be subject to daily fines of R$ 40,000 ($ 7,011), with a further threat of permanent license withdrawal.
Brazil’s Ministry of Finance effectively approved the enforcement, with a statement confirming the punitive action is designed to “safeguard the integrity of the regulated environment and protect Brazilian consumers by ensuring that all licensed operators can prove the cyber-resilience of their operations.”
The Senate has passed new restrictions on betting advertising, acting as a catalyst for a vociferous response from the industry, warning of the damage it will incur, as well as driving gamblers toward the black market.
Restrictions will limit sports sponsorships and advertising watersheds will be introduced on media platforms, but amendments proposed by Senator Carlos Portinho will prevent a blanket ban on gambling advertising, as initially planned under Bill 2985/2023.
Image credit: Ideogram
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