Licensed iGaming brands in Brazil are on the clock to ensure operating compliance, or they run the risk of major fines.
The hurry is that on Wednesday, Brazil’s Ministry of Finance arm, the Secretariat of Prizes and Betting (SPF), published a rule that bans people receiving government benefits from signing up for, or placing bets on, licensed, fixed-odds betting platforms.
The SPF gave digital casino and sports betting licensees 30 days to ensure their systems are equipped to comply with the responsibility. This involves blocking and closing the accounts of anyone receiving Bolsa Família or Continuous Cash Benefit Program (BPC) benefits, and returning any money deposited back to the would-be bettor.
benefits won’t be cut if they’re found using betting sites
Brazil’s government has reassured people receiving Bolsa and BPC that their benefits won’t be cut if they’re found using betting sites. Even if they do manage to make a bet, the operator must send it back without touching a dime.
All responsibility for the government funds then falls squarely on the licensed iGaming operators. Failure to comply will earn gambling brands severe penalties, including license termination and fines of up to R$2bn ($374,195).
The torch for the iGaming embargo on government aid money was lit by Brazil’s President Luiz Inacio Lula da Silva in October of last year when he threatened to axe the fledgling vertical entirely. Lula’s threat came after reports that Brazil’s worst-off citizens were using government benefits to gamble.
