The first full year of regulated online betting in Brazil delivered significant revenue levels for the country, highlighting both the sector’s growth potential and the regulatory challenges associated with offshore operators that continue to attract a notable share of players and transactions.
The Secretariat of Prizes and Bets (SPA) reported that the licensed market generated BRL37 billion in gross gaming revenue during 2025, following the official start of regulated online betting on 1 January 2025. Licensed operators collectively paid around BRL2.5 billion in licence fees, with each licence priced at BRL30 million. Inspection fees added a further BRL95.5 million in regulatory income.
The Federal Revenue Service disclosed that tax revenue from licensed betting reached close to BRL10 billion across 2025, with BRL1.1 billion collected in December alone. SPA chief Regis Dudena stated that the regulator now possesses data that will shape future decisions intended to protect bettors. “The year 2025 marked the first time the state was fully present in this market,” he said. “Data was received, allowing for an objective understanding of the sector, in addition to monitoring tools to track compliance with the established rules.” Dudena added that information on player behavior and financial activity “helps us prevent gambling problems and allows us to act in coordination with other bodies, such as the Ministries of Health, Sports and Justice.”
Expanded Enforcement Measures Against Unlicensed Operators
Unlicensed platforms remain a substantial part of the landscape despite formal regulation and licensing. A recent study presented at Casa Brasil, held during ICE Barcelona, estimated that approximately R$15 billion in GGR circulates outside the official system annually. The consulting firm behind the estimate used surveys, PIX transaction data from the Central Bank, and digital traffic analysis to reach its conclusion. This amount corresponds to nearly one third of the sector’s total.
Consumer behavior also provides context for the continued relevance of offshore operators. In a survey of 3,500 bettors, about 60% said they preferred websites with proper licenses, while 30% said they did not know how to determine whether a platform was authorised. Another 20% indicated they disregarded regulatory status and selected operators based on promotional offers, and 3% openly preferred unlicensed sites.
The SPA has undertaken measures to counteract illegal activity. Through a partnership with the National Telecommunications Agency, more than 25,000 offshore websites were blocked during 2025. The Undersecretariat for Monitoring and Inspection registered 132 cases involving 133 companies, with 80 of these cases still underway for penalty application by the end of the year. Authorities also moved to halt financial flows related to unlawful gambling activities. By the end of 2025, 54 payment and financial institutions had submitted 1,255 reports concerning 1,687 individuals suspected of making payments to offshore operators. This led to the closure of 550 bank accounts. In addition, 412 inspection processes involving social media influencers concluded, resulting in 324 profiles and 229 publications being removed. Dudena commented, “It is important to make it clear that regulation exists to be observed. The SPA will be attentive to its compliance, and those who do not comply will be subject to the penalties provided for by law and regulation.”
Regulatory Developments, Tax Pressure and Player Profiles
Taxation remains a central concern for the licensed sector, with a law change set to gradually increase the rate to 15%. Estimates cited by market analysts suggest illegal operators may control up to half of total activity. H2 Gambling Capital compared Brazil’s situation with mature markets such as the United Kingdom, Italy and Australia, which generally achieve regulated participation levels between 60% and 85%. The research cautioned, however, that overly strict frameworks can create unintended market shifts. The Netherlands was cited as an example, where tightening advertising rules and betting limits saw the legal sector’s share reduced from 69% to about 50%, partially benefiting unlicensed operators. Even in more conservative estimates of around 27% illegal share, the financial volume outside regulation remains considerable. The firm argued that policies must encourage migration to licensed platforms without compromising competitiveness.
Meanwhile, the SPA reported detailed demographic data for the regulated market. Across 2025, 79 licensed companies recorded 25.2 million Brazilian bettors. Men represented 68.3% of this group and women 31.7%. Individuals aged 31 to 40 were the most active at 28.6%. The 18-24 and 25-30 age categories followed jointly at 22.7%. Players over 61 years old represented 2.7% of bettors.
Responsible Gambling and Self-Exclusion Measures
Responsible gambling initiatives progressed alongside financial and enforcement developments. In December, the SPA launched its centralized self-exclusion platform, a priority item within the regulator’s agenda. During its first 40 days, more than 217,000 requests were submitted. The most common reason selected for self-exclusion was “Loss of control over gambling – mental health,” and 73% of registrations opted for indefinite exclusion periods.
The combination of formal oversight, data collection, self-exclusion mechanisms, and financial enforcement reflects a market still undergoing structural consolidation. Both the official tax results and the persistent offshore sector illustrate the dual nature of Brazil’s online betting environment as it enters its second year of regulation.
Source:
Online gambling in Brazil generates billions of reais, but illegal operations still account for a significant portion, igamingbrazil.com, January 20, 2026
