According to the new Brazilian sporting regulations, sports betting advertisements in Brazil must comply with Ministry of Finance and Law 14.790/23.
Article 114 of the 2024 General Competition Regulations for Brazil Football Confederation (CBF), outlines five sections that outline rules regarding sports betting advertisements. This regulation contains a total of 143 articles.
Bill 3626, also known as Law 14790, is the legislation which legalised sports betting and igaming in Brazil. The bill, which was passed into law last December, has been working to regulate the sports betting market ever since.
The CBF has issued new rules that require all advertising, including on World Cup jerseys from participating teams, to adhere to Law 14.790.
What is the Advertising Code?
The ministry of Finance announced last week the timetable for the implementation of the Bill 362 6. As a regulator, the ministry has also created the Regulatory Policies of the Prizes and Betting Secretariat.
Four stages were outlined in the timeline for implementation. The monitoring of gambling ads will be implemented and confirmed during the third stage, which concludes at the end June.
The Bill 3 626 prohibits gambling advertisements to be published by illegal operators. The bill also forbids operators to make unsubstantiated statements about winning probabilities. Advertisements must not suggest gambling is a way to solve problems or promote it as an acceptable pastime.
Advertising must also not contain statements by celebrities or public figures that approve of gambling. It was announced in February that the Brazilian Senate would be debating a proposed ban of celebrities in advertising for sports betting.
Only licensed operators are permitted to offer sports betting during CBF events under the General Competition Regulations.
In order to be able to run ads on CBF competitions, sports betting operators must declare that they are not involved in match fixing. The declaration must cover both the operator as well as its employees.
CBF has the right to ban ads by operators who do not adhere to its policy. The CBF can also prohibit ads from operators who do not align with its policies.
A club that violates these rules by displaying sports betting advertisements will face a fine.
Brazil is on the verge of regulatory change
This first phase of regulation implementation will continue until April 30. This phase will include the publication of regulations on technical, security and payment requirements for licensed operators.
Second stage: until May 31st. At this point, the SPA will also publish rules for anti-money-laundering and counter-terrorist funding as well as rules on fraud and proliferation of weapons.
This fourth phase involves the distribution of contributions from industry to causes that are socially responsible. The fourth stage is scheduled to run through the end of July. This stage will only be reached if the timeline proposed is followed.
It has taken a long time to get here, and Bill 3,626 encountered many roadblocks. The bill was passed through the Brazilian senate and chamber of deputies but igaming had to be temporarily removed and there were several delays in the vote.
The controversial 18% rate of tax was reduced to 12%.
