As Latin America cements its position as one of the world’s fastest-growing gaming regions, industry leaders are warning against regulatory overreach. Laura Maria Gomez Betancur, Stake’s Head of Legal and Compliance for Latin America, urged governments to focus on stability and collaboration before implementing new reforms that could hinder growth.
Speaking with iGB, Gomez said emerging markets such as Brazil and Peru need time to mature. “Any new regulation will need tweaks—that’s normal,” she noted. “But regulators should allow the market to develop before making major changes.”
A Rapidly Evolving Region
Brazil and Peru have captured global attention in recent years. Peru introduced its regulatory regime in 2024, while Brazil’s regulated betting market went live in early 2025.
Yet both nations are already revisiting their frameworks. Peru recently imposed a 1% consumption tax, while Brazil temporarily raised its betting tax rate from 12% to 18% and introduced new advertising restrictions.
Gomez warned that such rapid shifts could drive operators and players toward the black market. “Overregulation doesn’t protect consumers—it pushes them outside the legal market,” she said.
A Call for Dialogue and Collaboration
Gomez believes lasting success depends on open communication between regulators and operators. “We want to see stability,” she said. “Governments must create a predictable environment where companies can invest with confidence.”
Stake is actively engaging with regulators, including Brazil’s Secretaria de Prêmios e Apostas (SPA), to align compliance practices. “We look forward to sitting down with the SPA to share Stake’s best practices from other markets and discuss compliance under Brazil’s regime,” Gomez added.
Lessons from Peru’s Approach
In Peru, Gomez described a cooperative relationship with the Ministry of Foreign Trade and Tourism (MINCETUR). The dialogue has helped operators adjust smoothly to the country’s new compliance rules, including the 1% consumption tax.
She hopes Brazil will adopt a similar approach. “Regulators must talk to companies, understand their challenges, and work together to build a sustainable market,” Gomez said.
KYC: Building Trust Through Education
One of Brazil’s biggest compliance challenges has been the rollout of Know Your Customer (KYC) processes such as facial recognition and ID verification.
Stake initially faced user hesitation when migrating to its licensed platform. “At first, customers were worried about how we’d handle their documents,” Gomez explained. “We told them that KYC protects their accounts and verifies their identities.”
To ease the transition, Stake launched internal training and player education programmes to improve understanding of compliance standards. “Verifying player identity is one of our top priorities,” she said.
A Path Toward Sustainable Regulation
Gomez believes Latin America’s success will depend on achieving regulatory balance—protecting players while allowing innovation to flourish.
“The region doesn’t just need regulation—it needs stability,” she concluded. “If regulators and operators work together, Latin America can build a responsible, transparent, and successful gaming ecosystem.”
