Home Gambling InsightsBrazil’s iGaming Demand Plummets 96% Following Betting Ban

Brazil’s iGaming Demand Plummets 96% Following Betting Ban

by Sienna Marques
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Brazil's iGaming Demand Plummets 96% Following Betting Ban

In the latest Blask weekly digest covering October 19 to 25, Bolivia recorded significant growth with an increase of 21.8%, taking the lead among weekly gainers. Other countries showed positive shifts, including Guatemala at 20.8% and Tajikistan at 19.5%. In contrast, Alberta saw the largest setback with a decline of 30.1%, followed closely by Mali at 24.9% and South Korea at 24.8%. A complete chart detailing the top five gainers and decliners is also included.

Following Brazil's ban on betting, demand for iGaming has plummeted by a staggering 96%. During the week of October 19 to 25, Brazil's Blask Index averaged just 288,000—down from 7.26 million in the previous reporting period from September 1 to 24. This decline coincided with President Luiz Inácio Lula da Silva's signing of Provisional Measure 1,394, which prohibits fixed-odds betting and online games across the country.

Remarkably, this decrease did not stimulate a significant increase in demand for offshore brands. The average daily demand for offshore operators last week stood at 288,000, representing a 9% decrease from the pre-ban average of 317,000. The recent Blask Index figures position Brazil's demand back to levels seen in April 2019, at 286,000. Prior to the ban, the monthly average had consistently exceeded 5.8 million daily.

The decline unfolded in several phases. Initially, the Blask Index surged to 8.05 million on September 26, immediately after the signing of the ban, before plummeting to 1.3 million by October 1. In the first week post the shutdown of licensed sites on October 6, demand for licensed brands fell to an average of 846,000 per day, marking an 88% plunge from the pre-ban average of 6.9 million. It is important to note that the data for licensed brands in Brazil ceased on October 12, with the figures from October 13 onward covering only offshore brands.

For these offshore brands, there was a brief spike followed by a subsequent decline. During the October 6 to 11 window, demand surged by 22% to 385,000 per day, only to fall below pre-ban levels thereafter. Within the offshore segment, one brand experienced remarkable growth, increasing its demand by 5.3 times compared to its September average and capturing 29% of the overall demand in Brazil. However, the leading brand from before the ban saw a significant loss, dropping 70%.

Previously, licensed brands composed approximately 96% of Brazil's Blask Index, with offshore brands accounting for the remaining 4%. With the departure of licensed brands, offshore brands now contend with a reduced demand volume.

This ban is currently provisional and requires congressional approval, with the first review deadline set for November 23. The Blask Index provides a real-time measure of market demand for iGaming brands in various countries, based on normalized search data reflecting interest in the brands tracked. It does not monitor actual deposits or revenue, nor does it account for channels that evade search visibility, leaving the extent of changes in Brazilian betting behavior uncertain.

Meanwhile, Colombia and El Salvador emerged as notable gainers in the world of iGaming this week. Colombia’s Blask Index increased by 13.3%, the largest weekly gain among the 133 tracked countries, while El Salvador saw a 7.7% rise. In El Salvador, heightened demand during the Concacaf Central American Cup’s first-leg matches was evident, showcasing daily averages of 53,300 on October 20 and 21, which was 60% higher than the other weekdays that week.

Colombia’s index reached 3.86 million for the week, marking an increase from 3.41 million and 26.5% above the prior six-week average. The index peaked on Sunday, October 25, with 775,545 searches, aided by key Liga BetPlay matches. In Bolivia, the index did not see week-over-week growth, dipping 2.3% to 225,381.

Across the globe, FanDuel has unseated Bovada as the leader in Blask’s global Customer Engagement Benchmark (CEB) rankings, concluding Bovada's 32-month reign that began in February 2024. The latest Blask analysis indicates FanDuel's 12-month cumulative CEB stood 4.4% higher than Bovada’s, making it the first time FanDuel has secured the top position in the all-brands ranking.

This change is particularly noteworthy given the rarity with which the leading position has shifted. Historically, since records began in 2018, only four operators have held the top spot, including FanDuel, Bet365, and Bovada. Over the past year, the competition saw FanDuel leading in CEB for six of the twelve months analyzed, while Bet365 maintained the top position for four consecutive months. However, a resurgence in CEB for FanDuel—up 13% in September—was pivotal for reclaiming its leading status.

In the context of the US sweepstakes casino market, Crown Coins has defied a general downturn observed among major operators in Q3 2026. The demand for sweepstakes casinos decreased slightly, but Crown Coins has continued to grow, fortifying its leadership position since overtaking Chumba Casino in June 2026. Despite the market contraction, Crown Coins' performance reflects a divergence between competing operators, marking a significant shift in the industry.

In summary, the third quarter of 2026 showcased varying trajectories among major brands, with Crown Coins leading the way while others like LuckyLand Slots faced significant declines as operations were phased out. Overall demand for sweepstakes casinos remains above the levels recorded in the same quarter of 2025, suggesting that while there may be short-term contractions, long-term growth potential still exists in the industry.

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