A recent study conducted by the Rede em Jogo project at CondadoLab, PUC-Rio, has found that 84% of betting sites recommended on Instagram are operating illegally in Brazil. The findings were published by The Intercept Brasil on Monday and are based on an analysis of over 55,000 Instagram accounts, which were compared to the official list of authorized gambling operators from Brazil's Secretariat of Prizes and Bets (SPA).
The issue, as outlined in the research, emerges when a user follows just one betting-related account. Instagram's recommendation algorithm begins to suggest additional profiles linked to betting, including operators, influencers, and dedicated betting pages. Among the top 100 recommended accounts, they collectively attract over 6 million followers and have produced 114,000 posts across the platform. The accounts recommended fall into three categories: betting operators, content creators, and media entities focused on the gambling industry.
Many of these Instagram posts blur the lines between betting and investment opportunities. For example, a purported "professional gambler" named Pedro (a pseudonym) shares a "unique opportunity," offering access to a premium Telegram group—typically priced at BRL397 ($77.18) monthly—at a heavily discounted rate of BRL14.91 per month on an annual subscription. This group serves as Pedro's main product, providing sports predictions and betting advice.
A significant concern is that these recommendations often lead users to companies lacking the necessary authorization to operate within Brazil. Some might hold licenses in other jurisdictions, but this does not legalize their operations in the Brazilian market. The study also uncovered profiles of tipsters and sports trading influencers who promote the sale of betting-related services while presenting gambling as a viable source of income.
The Intercept highlighted how some content promotes the idea of escaping conventional employment, using phrases like "leaving CLT [Brazilian labor law]" and "your dream income." This content sometimes includes screenshots of alleged user earnings or presents gambling as a type of investment.
The reach of professional gambling influencers on Instagram extends beyond sports betting to the realm of casino games, featuring accounts like Fortune Tiger, which employs a similar promotional strategy. Another influencer, under the alias João, produces live game videos simulating high-stakes sessions and promotes exclusive Telegram groups detailing the most profitable games to wager on.
Instagram's gambling operator accounts utilize diverse content strategies, ranging from entertaining videos to generic AI-generated advertisements promoting casino games and sporting events, all featuring betting odds.
A large portion of the accounts suggested by Instagram's algorithm are irregular, particularly international operators that are not authorized by the SPA in Brazil. This raises legal concerns, despite their legality in their home countries. Alongside these operators, specialized media channels contribute to the gambling ecosystem by delivering information on high market odds, changes in regulations, and success or failure stories from bettors.
Often, these profiles reference regulatory entities like Brazil's National Advertising Self-Regulation Council and SIGAP, discussing responsible gaming practices in vague terms, sometimes confusing legal operators with illegal ones. With illegal operators using phrases like "authorized" and the domain suffix “.bet,” the lines between lawful and unlawful operations become obscured.
Meta, the parent company of Instagram, has specific governance policies regarding gambling ads. These platforms can utilize automated advertising and branded content if they meet certain authorization requirements, including not targeting those under 18 or advertising in jurisdictions where gambling isn’t permitted.
To gain Meta’s approval, advertisers must submit documentation proving their operating license along with an acceptance contract that absolves Meta from liability regarding content violations. The approval process is limited to paid media; Meta clearly states that organic content promoting online gambling must adhere to safety practices and be aimed solely at individuals above 18 years of age.
However, these policies do not explicitly touch on responsible gaming or detail the legal obligations producers must meet. The lack of transparency surrounding monitoring and compliance measures poses a systemic risk, placing Meta at the center of this burgeoning issue. Addressing this risk requires an expansion of regulatory expectations that would include enforcement mechanisms capable of overseeing the integrity of digital platforms involved in promoting gambling.
