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Brazil’s Senate Approves New Restrictions on Betting Ads and Sponsorships

by Sienna Marques
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Brazil's Senate Approves New Restrictions on Betting Ads and Sponsorships

The Brazilian Science and Technology Committee (CCT) recently approved a proposal aimed at imposing stricter regulations on advertising and sponsorship related to betting. This initiative also sets forth criteria for assessing the risk levels of gambling products and clarifies the responsibilities of operators and platforms involved in the betting sector. However, experts warn that such measures could inadvertently bolster the illegal market, as it would remain unaffected by these new restrictions. The bill has been marked with urgency for further consideration by the Senate Plenary.

Senator Damares Alves, along with six co-sponsors, put forth Bill 2.470/2026, which amends the existing Betting Law governing fixed-odds betting. The proposed changes focus on safeguarding mental health, protecting consumers, and preserving family finances. A substitute version of the bill received a favorable report from Senator Alessandro Vieira.

“This is a non-partisan initiative,” said Vieira. “It is rooted in society’s growing awareness of the detrimental impacts caused by gambling.”

A public hearing convened by the CCT on Tuesday highlighted the contrasting viewpoints among government officials and representatives from the betting industry about the implications of the proposed regulations.

The approved bill introduces extensive restrictions on advertising for online gambling. Specifically, it prohibits any direct or indirect marketing related to betting across various platforms including radio, television, newspapers, magazines, social media, apps, and websites.

Notable limitations include the ban on instant messaging, telemarketing, targeted advertising algorithms, and marketing via esports or traditional sports entities. Furthermore, promotional tactics such as bonuses and loyalty programs intended to attract users are also prohibited. Misleading statements portraying betting as a risk-free venture or easy income source are banned.

However, operators are still permitted to communicate through their official channels, including their websites, provided the communication is limited to essential operational details and does not entice users to gamble.

The sponsorship aspect of the bill is equally stringent. Betting companies would be barred from sponsoring sports teams, entities, and events, as well as engaging with political campaigns and digital influencers. This prohibition extends to any promotional relationships, with a two-year grace period for existing sponsorship contracts to wind down.

Restrictions also apply to interactions with minors and sponsorship of projects related to mental health or financial education. Operators must refrain from targeting individuals who have opted for self-exclusion or are showing signs of gambling-related risks.

The proposal also specifies a framework for classifying products based on their potential risks, considering factors such as rapid results and the design mechanisms that may encourage impulsive betting. Products deemed high-risk will face additional regulatory scrutiny, and some categories, including those reliant on random outcomes, may be completely disallowed.

Regulatory authorities will have new oversight capabilities, including the power to demand the removal of non-compliant advertisements. Additionally, companies linked to betting operations will not be allowed to secure rights for sporting events in Brazil. Significant infractions could lead to fines up to BRL2 billion, or approximately $392.8 million.

One of the most significant updates in the proposal is the establishment of a criminal offense for promoting unauthorized betting operators, carrying a potential prison sentence of one to five years. This penalty may be enhanced for promotions conducted by individuals with substantial public influence, such as athletes or celebrities.

The bill also introduces a cooling-off period for professionals transitioning between regulatory bodies and betting operators, aiming to prevent conflicts of interest. This provision will restrict professionals with ties to the betting industry from assuming regulatory roles for 24 months after leaving their positions.

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