The Bet Legal platform has reported a marked increase in illegal online betting sites in Brazil since President Lula announced a ban on gambling. Following the publication of a provisional measure prohibiting online betting, 415 new unauthorized sites have emerged. By 6 PM on Friday, when the ban was instituted, 295 illegal domains had already been identified. The count rose sharply by Saturday, with an additional 294 sites created, culminating in a total of 710 by 7:10 PM on Sunday, reflecting a staggering 141% increase in just two days.
This data was gathered through a collaboration between Bet Legal and Iron Security, a cybersecurity firm. Their system conducts thorough checks by cross-referencing information from the Official Gazette of the Union, state gazettes, and notifications sent to Anatel, Brazil's telecommunications regulatory authority. These technical evaluations include examining connectivity, the use of secure communication protocols, and domain ownership.
Between January 1 and September 22, the Secretariat of Prizes and Bets submitted requests to Anatel to restrict 57,691 addresses flagged as illegal, according to Poder360. It’s important to note that these figures may involve multiple domains operated by a single entity.
The National Association of Games and Lotteries (ANJL) has voiced concerns regarding the efficacy of prohibition in curbing the illegal gambling market. In a statement, the association emphasized that without proper authorization and regulatory requirements, illicit operators would continue to thrive. ANJL President Plínio Lemos Jorge predicted this surge in clandestine sites. "The illegal websites have expanded their services and will leverage the ban on lawful betting to lure bettors into the underground market," he remarked. The association also highlighted that this prohibition not only jeopardizes billions in potential revenue but has also nudged over 30 million bettors toward illegal gambling.
The Brazilian government has responded to the escalation in illegal activities by taking down 506 gambling websites following the implementation of Provisional Measure 1,394. This initiative, led by the Ministries of Justice and Finance, is geared towards restricting access to underground platforms and curbing the establishment of new illegal sites. Additionally, authorities have identified 43 Telegram channels and groups promoting illegal betting, all of which have accumulated over 212,000 members. The Ministry of Finance reiterated that these efforts are collaborative, designed to diminish the scope of the illegal market in Brazil.
