Brazil betting market faces potential end following government announcement

Liberal organizations have released a manifesto defending Brazil's online betting market following President Luiz Inácio Lula da Silva's announcement of plans to end the current business model. Signatories, including the Instituto Livre Mercado and Instituto Liberdade, argue that the sector has already undergone regulation by the Ministry of Finance's Secretariat of Prizes and Betting and that companies have paid significant fees, such as a R$ 30 million grant for five-year operations.

The manifesto contends that the state should not replace human action with prohibition and argues that regulation allows for oversight and consumer protection rather than ignoring existing demand.

Economically, the potential end of the betting market could result in a monthly revenue loss of approximately R$ 800 million for the Brazilian federal government. Since the start of the regulated market, total tax collection from these activities has reached R$ 15.3 billion. The sector's gross gaming revenue (GGR) reached R$ 40.69 billion in 2025, and the industry currently includes 84 licensed companies managing 193 active brands.