Brazil’s Senate has taken a major step toward tightening restrictions on the country’s fast-growing gambling market, after a key committee advanced legislation that would impose a nationwide ban on gambling advertising.
This week, the Senate Science and Technology Committee approved a bill to amend Brazil’s Sports Betting Law, moving it forward for further legislative review. If enacted, the proposal would prohibit advertising for sports betting and online gaming across all major media channels. The bill would also ban promotion of election-related betting markets.
Lawmakers Cite Public Health and Social Risks
Supporters of the bill argue that gambling advertising contributes to rising problem gambling and associated mental health challenges. Senator Damares Alves, a leading backer of the proposal, linked gambling activity to worsening psychological and social issues among Brazilians.
“By imposing clear limits on the commercial performance of bookmakers and preventing the exploitation of the electoral environment by this type of activity, the proposition offers a legislative response proportional to the seriousness of the problem,” Alves said, according to a Senate news release.
The proposed ban would cover advertising on radio, television, newspapers, magazines, social media platforms, and digital channels. It would also prohibit sports sponsorships, including partnerships with clubs and events, significantly limiting brand visibility for licensed operators.
However, lawmakers may introduce an amendment to allow limited sponsorships for Olympic sports clubs, creating a potential exception within the broader restrictions.
Enforcement and Penalties
The bill now moves to the Constitution, Justice and Citizenship Committee, where senators will review its legal and constitutional implications.
If approved and enacted, the law would introduce strict penalties for violations, including fines of up to $2 million, along with the potential suspension or revocation of operating licences. These measures would give regulators expanded enforcement powers over licensed gambling operators.
Impact on Brazil’s Regulated Gambling Market
Brazil launched its regulated online gambling market in January 2025, initially licensing 14 operators. That number has since grown to more than 80 licensed companies, reflecting strong international interest.
The market’s first full year generated approximately $7 billion in gross gaming revenue, underscoring Brazil’s rapid emergence as one of the world’s most important new regulated gambling jurisdictions.
Legal experts have praised the regulatory rollout. Udo Seckelmann, head of gambling and crypto at Brazilian law firm Bichara e Motta Advogados, recently described the market’s development as a major success, citing consistent regulatory progress over the past two years.
However, industry stakeholders have warned that stricter advertising rules and recent tax increases could undermine efforts to channel players away from illegal operators. President Luiz Inácio Lula da Silva recently approved a gradual tax hike, raising gambling taxes from 12% to 15% by 2028.
Critics argue that reduced marketing visibility, combined with higher taxes, could weaken licensed operators’ ability to compete with unregulated platforms.
Global Context: Brazil Follows International Trend
Brazil’s move reflects a broader global trend. Countries including Italy, Spain, Belgium, and the Netherlands have already introduced sweeping gambling advertising bans. In the Americas, Canada and Argentina are also debating tighter restrictions.
As Brazil’s bill advances, the outcome could reshape how licensed operators approach customer acquisition and brand strategy in one of the world’s fastest-growing gambling markets.
