Brazil’s gambling industry is facing its biggest regulatory change to date after President Luiz Inácio Lula da Silva signed a Provisional Measure (Medida Provisória) prohibiting fixed-odds sports betting and online gambling across the country.
Announced on September 25, 2026, the measure immediately bans the operation, offering, intermediation, and advertising of fixed-odds betting services. According to the federal government, the prohibition applies nationwide and also overrides betting authorizations previously granted by individual states and the Federal District.
The new rules cover both sports betting and online casino games, regardless of whether they are offered through websites, mobile applications, or physical locations. Traditional lottery products regulated under separate legislation are not affected.
What Operators Must Do
The government has established a short transition period to allow customers to withdraw their remaining balances. Licensed operators are no longer permitted to accept new deposits, while players have until October 5, 2026, to withdraw the funds held in their betting accounts. Betting platforms are expected to cease operations on October 6.
If any player balances remain after the withdrawal deadline, operators must submit the relevant information to financial institutions, which will process refunds between October 9 and October 14. Any funds that cannot be returned through the banking system will later be refunded by Caixa Econômica Federal.
The measure also terminates all existing federal betting authorizations. According to the government, these licences are being revoked in the public interest, meaning operators will not receive compensation for licence fees already paid, future profits, or investments made in the Brazilian market. The government noted that 85 betting licences had previously been issued, generating R$2.55 billion in authorisation fees.
What Happens Next
The Provisional Measure takes effect immediately, but it must still be reviewed by Brazil’s National Congress within the constitutional deadline. Lawmakers may approve the measure, amend it, or allow it to expire.
Alongside the ban, the government plans to intensify enforcement against illegal betting activity through coordinated actions involving website blocking, payment restrictions, and the removal of betting applications. It has also prepared separate legislation that would introduce new criminal offences related to the illegal operation, promotion, financing, and technical support of fixed-odds betting services.
If approved by Congress, the measure would bring an end to Brazil’s recently regulated fixed-odds betting market, marking one of the most significant policy reversals in the country’s gambling sector.
No Comments yet!