The regulation of the betting market in Brazil, which was consolidated with Law 14.790 in December 2023, opened a new period for iGaming. However, this change brought complex challenges. These issues will be discussed at BiS SiGMA Americas 2025, which is the main event for the sector in the region.
Between April 7th and 10th, in São Paulo, experts will discuss how to balance the sector’s growth with legal security, combating the illegal market and innovations in compliance.
Although regulation represents a significant step towards structuring the segment in Brazil, there are still some important challenges. One of the biggest concerns is the illegal betting market.
According to the Central Bank, this market moves around R$8 billion per month without paying taxes. This situation affects tax revenue and prevents the sector from fully utilizing its potential in the country.
Marlon Tseng, CEO of Pagsmile, highlights: “The legalization and regulation of iGaming in Brazil paves the way for sustainable growth. In addition to tax collection, legal certainty encourages investments and the arrival of new operators, consolidating a more competitive and reliable sector for consumers.”
Survey on the Brazilian betting market
A survey by the International Betting Integrity Association (IBIA) indicates that the Brazilian licensed sports betting market could generate US$34 billion in revenue by 2028.
This indicates potential for growth under the new regulations. According to the Central Bank, the monthly volume of transfers for betting varied between R$18 billion and R$21 billion in 2024 alone.
According to estimates from the Central Bank, Brazilians spent approximately R$20 billion on online gambling in September 2024. These amounts include the R$8 billion moved by illegal companies, which failed to generate R$30 million for the government in operating fees.
Marlon Tseng reinforces: “With a more structured environment, the betting sector becomes more attractive for investors and operators.”
He explains that a regulated market benefits not only companies, but the entire economy, creating an environment where transparency and compliance with laws ensure the strengthening of the sector and attract more investors interested in participating in a solid and ethical market.
Tseng concludes that: “This new scenario favors innovation in business models and requires platforms to adapt to legal requirements, driving the entry of new players and the professionalization of the sector, positioning Brazil as one of the most promising destinations for betting in Latin America”.
BiS SiGMA Americas 2025
Date: April 7, 8, 9 and 10, 2025 Location: Trasamerica Expo Center – Dr. Mário Vilas Boas Rodrigues Ave., 387 – Santo Amaro, São Paulo – SP, 04757-020
About Pagsmile
Pagsmile is a payment gateway specialized in solutions that connect businesses to emerging markets. Founded in China in 2012 and operating in Brazil since 2015, the company offers more than 150 payment methods and processes more than US$ 500 million per month.
Through a robust and complete API, Pagsmile simplifies transactions in sectors such as e-commerce, iGaming, SaaS and streaming. In this way, it provides scalability for companies that want to expand their operations in Latin America.
