ANJL Warns Against Restricting Brazil’s Legal Betting

The National Association of Games and Lotteries (ANJL) has voiced concern over recent indications of potential restrictions on legal betting operations in Brazil. In a press statement, the association warned that reversing the current regulatory model could unintentionally boost the illegal betting market, which lacks consumer protection measures.

Economic and Legal Consequences

ANJL highlighted that a rollback of Brazil’s current betting policy could have serious economic repercussions, including an estimated loss of around BRL 80 billion in government tax revenue over the next five years, according to Ministry of Finance data. This would also impact public security funding under Constitutional Amendment Proposal (PEC) 18/2025.

The organization also noted potential legal disputes. If regulated betting platforms were banned, companies that have invested heavily in compliance and licensing contributing approximately BRL 2.6 billion in fees could pursue damages and lost profits claims against the government.

Risks From the Underground Market

The association pointed to the scale of unregulated betting in Brazil, with data from Instituto Esfera indicating that roughly 52% of all betting activity occurs on illegal platforms. These sites often allow minors to participate, provide no safeguards against excessive gambling and are linked to organized crime and money-laundering.

By contrast, regulated platforms operate under strict government oversight and follow responsible gaming principles. Statistics from Brazil’s Ministry of Finance show that in 2025, most participants (95%) spent less than BRL 70 per month, with average bets of BRL 110, suggesting that legal operators facilitate moderate gambling activity.

Lessons From International Markets

ANJL cited Germany and the Netherlands as examples where overly strict restrictions on online gaming failed to curb illegal betting. The regulated markets only became effective after easing excessive limitations and improving legal platform offerings.

Commitment to Dialogue

The association reaffirmed its willingness to collaborate with federal authorities, providing technical expertise to improve Brazil’s regulatory framework. ANJL stressed that efforts should focus on reducing illegal activity rather than restricting compliant operators, warning that regulatory setbacks risk driving consumers toward the clandestine market.