The Bet Legal platform has reported a staggering surge in illegal betting sites following Brazil's recent ban on gambling. After President Lula announced the prohibition via a provisional measure, a total of 415 new unauthorized betting websites were identified, with 295 already active by the end of day on Friday. The following day alone saw the creation of 294 additional illegal sites, bringing the total number to 710 by 7:10 PM on Sunday, representing a 141% increase in just two days.
This data comes from a collaboration between Bet Legal and Iron Security, a firm specializing in cybersecurity and artificial intelligence. Their system utilizes cross-referencing techniques with data from the Official Gazette of the Union, state gazettes, and notifications sent to Anatel, the Brazilian telecommunications regulatory agency. Technical analyses are conducted on connectivity, the implementation of secure protocols, and the ownership of the domains.
From January 1 to September 22, the Secretariat of Prizes and Bets referred 57,691 website addresses to Anatel for restrictions, as reported by Poder360. These figures do not indicate singular companies since each one may manage multiple iterations of the same domain.
The National Association of Games and Lotteries (ANJL) has voiced strong concerns regarding the effectiveness of the ban. "Without authorization, without the same regulatory obligations and operating outside the scope of oversight, the clandestine market continues to find space," the organization stated. ANJL President Plínio Lemos Jorge remarked that the increase in illegal online betting was anticipated, emphasizing that these clandestine platforms would leverage the ban on legal gambling to draw bettors into their operations.
The ANJL also highlighted the significant losses incurred by the government, estimating that over 30 million bettors have been pushed into the illegal gambling market, resulting in billions of dollars in lost revenue.
In response to the growing number of illegal sites, the government has taken decisive action, shutting down 506 gambling websites following the implementation of Provisional Measure 1,394. The Ministries of Justice and Finance led this initiative to block access to these clandestine platforms. Additionally, the task force has identified 43 Telegram channels and groups that promote illegal betting, which collectively have more than 212,000 members. According to the Ministry of Finance, these efforts are part of a broader cooperative strategy among various agencies aimed at constricting the illegal gambling market in Brazil.
