The high number of regulated betting companies in the market, as well as the fact that they operate in a completely legal manner and generate jobs, are factors that can explain the constant growth of the online betting sector in Brazil. This was the analysis made by the Secretary of Prizes and Bets (SPA), Regis Dudena, in a recent interview.
However, the process of regulating the sector proved to be lengthy, with almost six years between the first law and the official licenses from the Brazilian government. Despite this, the country now has hundreds of legal platforms with permission to operate throughout the national territory, totaling more than 200 sites.
According to the secretary, the growth of the sector is due to the way these companies have been operating in Brazil: “I think it is a very high number, which shows on the one hand that the market exists. These are companies that have met the requirements, that have paid the concession, that are willing to comply with the rules”, he stated.
According to Regis Dudena, the well-being of the bettor is a priority
Regarding the criteria and the way in which companies would be able to comply with them, as well as the number of them, Dudena highlighted that the focus of the process was the well-being of the bettor and the economic issue.
In August 2024, the Secretariat of Prizes and Bets (SPA) received 114 applications for licenses, but at the end of the year, 70 companies managed to obtain permission to continue operating in the country.
“In regulation, when we chose the criteria, we were less concerned about whether there would be a lot or a little. We were more concerned about guaranteeing protection for the bettor and guaranteeing economic protection,” said Regis Dudena.
Betting companies can apply for licenses to operate in Brazil
Regarding new licenses, the secretary was cautious. However, there are already more than 300 requests for authorization and the process is ongoing, so they continue to arrive. Despite this, he stressed that the lack of consistency in the requests is the biggest obstacle to approvals.
“The truth is that many of the requests that came in the second wave, third wave, are very deficient requests. So, our expectation today is that the vast majority of these companies that came later, let’s say, after August of last year, will result in a proportionally much smaller number of authorizations,” he concluded.
