Based on data obtained through the Freedom of Information Act and compiled by Pay4Fun, the Brazilian federal government collected BRL4.17 billion ($834 million) from gaming and betting in the first quarter of 2026. Of this total, more than BRL1.15 billion was generated from online fixed-odds betting, referred to as "bets."
Leonardo Baptista, CEO and co-founder of Pay4Fun, commented, "The data shows that betting already plays a significant role in both tax revenue and economic activity, generating more than BRL1.15 billion in the first quarter within a growing market." He added, "This growth is directly linked to regulatory progress, which has brought greater transparency and predictability to the sector. The next step is to make progress in combatting the illegal market, which still accounts for a significant share, as well as to strengthen responsible gaming practices, user protection, and initiatives that curb the illegal market, to ensure that this growth occurs in a sustainable manner and in line with the public interest."
Online sports betting has increasingly contributed to revenue. It generated approximately BRL1.15 billion in the quarter, broken down into three main categories:
– Approximately BRL994.7 million in direct federal government funding
– BRL142.3 million in revenue-based contributions
– BRL12.8 million (USD 2.56 million) allocated to the healthcare sector
The data also reveals a decline in total revenue over the quarter, with January seeing BRL2.07 billion, February at BRL1.08 billion, and March at BRL1.01 billion. However, the performance of betting operators showed a contrasting trend. They generated about BRL368 million in January, peaked at about BRL443 million in February, and then dropped to about BRL338 million in March. This indicates that while total revenue declined from January to February, online betting grew to its highest level in February.
In addition to betting revenues, the government gathered funds from other sources, including BRL175.9 million in statute-barred amounts, BRL13.5 million from the Federal Lottery, BRL6.6 million from the Exclusive Instant Lottery, and BRL6.2 million from the Sports Lottery.
