Brazil betting ban forces Brasileirão clubs to remove sponsors

A federal decree issued by Brazilian President Luiz Inácio Lula da Silva has banned the operation and advertising of online sports betting, citing the industry as a “cancer” that harms youth and facilitates fraud and money laundering. This sudden regulatory shift has caused significant disruption across the Brasileirão, as 14 of the 20 Série A clubs rely on betting companies for sponsorship.

Clubs are facing immediate economic challenges, with many having lost millions in frozen or terminated contracts. To comply with the ban before upcoming matches, teams have had to rapidly redesign their kits. For example, Corinthians secured an emergency contract with the AI platform Jota.ai, while Inter utilized e-commerce giant Shopee. Other clubs, such as São Paulo and Fluminense, transitioned from Superbet to the sports analysis app Superscore.

The financial impact extends to player wages, as betting companies often cover significant portions of salaries for high-profile stars. Analysts warn that the loss of this revenue could lead to a decline in the ability of Brazilian clubs to fund international stars, potentially causing many players to leave the league due to reduced salary capacities.