Brazil has banned sports betting and online casino games through Provisional Measure 1,394, published on September 25 and taking effect immediately. The prohibition covers fixed-odds betting on real sporting events and online casinos, including operators based abroad serving Brazilian customers. Licensed sites must go offline by midnight on October 6.
The ban applies to all betting advertising and sponsorship, with existing material required to be removed within 10 days. Internet platforms, app stores, and operating systems face legal obligations to block betting content. Penalties range from warnings to fines of up to 10 percent of a company's Brazilian revenue.
The government granted 85 licenses at $5.8 million each when the regulated market opened in January 2025, generating $492 million in total licensing fees. The measure states this revenue will not be refunded, and license holders have no compensation rights. Licenses expire 30 days after publication on October 25.
Bettors have until 11:59 p.m. on October 5 to withdraw their account balances. Licensed operators then have two days to send each customer's balance to their banks, identified by taxpayer number. Banks have until October 14 to return the funds, with state-owned bank Caixa Econômica Federal handling funds that third-party institutions cannot process. Bets not settled by the deadline are void and fully refunded.
A companion bill sent to Congress the same day would criminalize processing, settling, or intermediating betting payments including through virtual assets, carrying sentences of two to four years imprisonment. The bill still requires approval from both houses of Congress.
The National Association of Games and Lotteries announced it is pursuing legal action to overturn the measure. Allwyn, operator of the Betano brand, said it is preparing legal action to protect its rights in Brazil. Entain expressed disappointment, stating the development came without consultation of industry stakeholders. Better Collective, an affiliate platform, cut its 2026 revenue growth guidance following the announcement.
An Atlas/Bloomberg poll released before the announcement found 75 percent of Brazilians support prohibiting online betting. President Luiz Inácio Lula da Silva signed the measure at a ceremony in São Paulo. His main challenger, Senator Flávio Bolsonaro, called the ban populist and electioneering but said he supports prohibiting online casinos while favoring legal sports betting.


