TLDR Brazil’s Supreme Federal Court has frozen all legal challenges to the country’s betting ban. Licensed operators invested R$2.55 billion in total to enter the regulated market. Each licence cost R$30 million and covered five years and up to three brands. Nearly 47,000 illegal betting websites have been blocked since September 25. Industry groups argue the ban is unconstitutional and could cost jobs.
Licensed betting companies in Brazil are waiting for the Supreme Federal Court (STF) to decide the fate of the R$2.55 billion they invested to enter the market. A provisional measure banning sports betting and online gambling has been in force since September 25.
The government has kept the ban in place during the legal fight. It continues to go after operators that do not hold a licence.
Nearly 47,000 illegal betting websites have been blocked since the ban took effect. The figures come from the Secretariat of Prizes and Betting (SPA), part of the Ministry of Finance.
The agency said about 1,100 illegal websites have been shut down each day since the measure was put in place. The numbers show the size of the illegal gambling market that authorities are dealing with.
Licensed Operators Paid to Enter the Market
Before the ban, Brazil had set up a licensing system for betting companies. Operators paid R$30 million to the Ministry of Finance for a five-year licence.
Each licence allowed a company to run up to three betting brands in Brazil. Across the industry, companies invested a total of R$2.55 billion.
The government collected R$500 million in licensing fees through that process. Companies that went through the system have opposed the provisional measure.
Brazil has blocked over 47,000 illegal sites since online betting ban | Global Gaming Insider https://t.co/Fv9gQdy2yy
— Global Gaming Insider (@GGInsiderHQ)