Brazil Discusses Sports Betting Advertising
In Brazil, Bill 1931/23 could prohibit advertisements from illegal gaming websites. Brazil’s Chamber of Deputies is now discussing the proposed legislation, which would create a legal precedent for how to deal with unauthorized betting platforms. As the country works towards fully regulating sports betting and other forms of online gambling, such a step seems important to some in order to give regulators control over the industry and help prevent crime.
Brazil may ban online advertisement of sports betting platforms without proper licenses.
?Mateus Campos Felipe/Unsplash
A bill to protect minors from betting
If accepted, Bill 1931/23 would specifically make ads from online betting sites that do not have proper authorization from the Ministry of Finance in Brazil illegal. The bill is also connected to a push to keep minors out of sports betting. Under it, minors would be explicitly barred from fixed-odds betting on sports.
What is interesting about this particular proposal is that it not only makes the ads illegal; it also lays out a framework for how to prevent such ads from accessing the market. This is notoriously tricky for even the most fastidious of government entities to regulate.
The Brazilian bill proposes that internet providers and apps must impose strict bans on this kind of advertising. They would be responsible for monitoring ads and removing illegal ones. In regards to minors, they would also be required to ban minors from accessing fixed-odds bets.
This later point can be achieved by changing payment systems on betting platforms. Payments would only be able to be made through checking and savings accounts or transfers which must also be linked to a user who is not a minor. The banking institution behind the account must also be registered with the Central Bank of Brazil. E-wallets or other less easy-to-regulate payment methods would be barred.
This strict ban on certain payment systems is not only helpful in terms of limiting access for minors, but it also may help to ensure a more transparent accounting process on the part of sports betting companies in Brazil. Verified payment methods through the Central Bank would have accessible receipts and may help to reduce crimes like money laundering.
Brazil’s legal betting framework itself will be voted on in late November by the Senate Plenary. According to this bill, if betting operators do not comply, they would be issued warnings and fines. In more severe cases they can also lose their license agreement, should one be in place.
Deputy Luciano Vieira authored this bill and clarified that if accepted, it would help contribute to the overall effort to legalize betting in Brazil in a safe and responsible manner. It will also contribute to the efforts to introduce a fixed-odds lottery, and bring Brazilian betting in line with global standards.
If the next vote is in support of the bill, the Treasury and Taxation Commissions will look at it next. Eventually it would be reviewed again by the Chamber of Deputies if successful during this next review.
