In a show of solidarity, licensed betting companies took to Brazilian top-flight football stadiums to express their opposition to a recent ban on betting. During matches held on Friday and Saturday, organizations affiliated with the National Association of Games and Lotteries (ANJL) and the Brazilian Institute of Responsible Gaming (IBJR) utilized advertising boards to deliver messages highlighting the implications of the ban. Their signs proclaimed statements such as, "To prohibit is not to protect" and "The ban doesn’t end gambling."
This demonstration was prompted by Provisional Measure 1,394, which officially bans online betting in Brazil. The messages were prominently displayed during the games between São Paulo and Santos on Friday and Atlético-MG and Bragantino on Saturday, both matches showcasing the impact of the government’s decision on numerous clubs around the country.
According to the parties involved, the provisional measure undermines not only existing sponsorship agreements but also jeopardizes planning for future seasons, renewal negotiations, and overall investment stability in sports.
Plínio Lemos Jorge, president of ANJL, emphasized the importance of a regulated environment with clear rules. He stated that such conditions are crucial for clubs, companies, and stakeholders in the sports sector to execute long-term financial planning. Carlos Lima, president of IBJR, pointed out that the conversation around the ban must also address the predictability of a market that relies on state-sanctioned authorizations.
Lima noted, "For the entities, any changes must consider the effects on this chain and preserve the legal security necessary for companies, clubs, and other partners to plan investments and fulfill their commitments."
The manifesto, which bears the signatures of both ANJL and IBJR along with several licensed operators in Brazil, argues that the ban merely displaces betting to illegal platforms rather than extinguishing it altogether, which ultimately diminishes protections for bettors.
Statistics from the Ministry of Finance reveal that 31 million people actively engaged on licensed online platforms, primarily participating in recreational and responsible betting. Following the implementation of the provisional measure on September 25, there has been a significant uptick in illegal betting activities across Brazil. The manifesto raises alarms about the burgeoning black market that preys on vulnerable individuals, citing data from Legitbet, the official monitoring platform of ANJL, that identified 6,401 new illegal websites between September 22 and 28, alongside 811 links to these unauthorized platforms.
Prior to the prohibition, the illegal betting market made up 41% of total wagers in Brazil, but projections now suggest this figure could soar to 100%. A report from consulting firm LCA indicates that a potential loss of revenue could reach BRL73 billion (approximately $14 billion) between 2027 and 2030 if all consumer demand shifts to illegal operators.
Both ANJL and IBJR have voiced concerns regarding household debt and gambling addiction. They argue that a well-regulated market would be better suited to tackle these challenges. They are open to exploring measures such as deposit and time limits, stricter advertising regulations, mental health services, and tougher action against illegal websites. They believe that the current prohibition does not safeguard bettors; instead, it forces them toward unregulated environments.
