Monday, September 28 2026

Brazil: Ban on Bets Opens a New Chapter for the Sports Betting and Online Gaming Market

Provisional Measure 1,394/2026 prohibits the operation, offering, intermediation and advertising of fixed-odds betting, including sports betting and online games. Since its publication, the Government has launched a timetable for the closure of operations, while the industry assesses possible legal responses and Congress begins reviewing the measure.

Brazil is entering a new phase for its betting industry. On September 25, 2026, the Federal Government published Provisional Measure 1,394/2026, prohibiting the operation, offering, intermediation and advertising of fixed-odds betting lotteries, both through physical and online channels.

The measure covers betting on real sporting events and online games, including operations offered from abroad to individuals located in Brazil. It also establishes that authorisations, permits and concessions granted by states and the Federal District for fixed-odds betting will be terminated within the timeframe established by the measure.

The decision represents a significant change from the regulated model Brazil had begun implementing. The federal fixed-odds betting market entered a new phase in 2025, when operators authorised by the Secretaria de Prêmios e Apostas (SPA), under the Ministry of Finance, began operating under a specific licensing and regulatory framework.

A shutdown timetable is already underway

Although the Provisional Measure took effect upon publication, the Government established a transition period to allow users to withdraw their balances and operators to close their platforms.

According to the official timetable:

  • September 25: the measure takes effect and new deposits on betting platforms are prohibited.
  • Until October 5: users may voluntarily withdraw available balances.
  • From October 6: betting websites and applications must go offline.
  • October 7 and 8: companies must provide financial institutions with information on outstanding balances, identified by CPF.
  • October 9 to 14: banks must process the return of funds to users.
  • From October 14: where a bank transfer cannot be completed, Caixa Econômica Federal will handle the corresponding process.

The Government has also stated that platforms remaining operational after the established deadlines will be considered illegal and subject to blocking and enforcement measures.

Advertising and sponsorships are also affected

The prohibition does not only concern the operation of betting platforms.

The measure also covers advertising for fixed-odds betting, while the Ministry of Health stated that companies will have until October 5 to remove advertising and sponsorship materials displayed through physical media and outdoor advertising.

This directly affects an ecosystem that, over recent years, has developed commercial agreements with sports clubs, competitions, media outlets, content creators and other companies connected to sports and entertainment.

Government steps up action against illegal operations

Following the publication of the measure, federal authorities also intensified enforcement against platforms that continued to offer betting services.

On September 27, the Ministry of Justice and Public Security and the Ministry of Finance announced that a task force had taken down 506 websites suspected of illegally offering betting services.

The operation involves several government bodies, including the Secretariat of Prizes and Betting, the National Public Security Secretariat, the National Consumer Secretariat and the Secretariat for Digital Rights.

According to the Government, monitoring also identified advertising for betting platforms on services such as Meta and Google after the ban came into effect.

Finance Minister Dario Durigan also stated that the Government intends to strengthen efforts against platforms that continue operating outside the new framework, while the possibility of introducing criminal penalties for certain forms of illegal betting activity is being considered.

Industry representatives assess legal action

The publication of the Provisional Measure has also opened a legal front.

Industry representatives have questioned, in particular, the termination of state-level authorisations and provisions concerning compensation for licences and investments made under the previous regulatory framework.

The Associação Nacional de Jogos e Loterias (ANJL) and the Instituto Brasileiro de Jogo Responsável (IBJR) are among the organisations assessing potential legal measures in response to the new rules.

One of the issues being examined is the scope of state powers over lotteries and betting, a debate that has also been shaped by previous decisions of Brazil’s Supreme Federal Court concerning state autonomy in certain lottery activities.

So far, the industry has not confirmed a final decision regarding a potential action before the Supreme Federal Court, and legal strategies remain under review.

The measure now moves to Congress

Another key point is that the ban is not yet a permanent law approved by Congress.

As a Provisional Measure, it has the force of law from the moment it is published, but it must be reviewed by Brazil’s Chamber of Deputies and Senate. The process begins with a joint committee made up of members of both chambers before potentially moving to the full chambers.

The measure has a constitutional validity period that can reach 120 days, including the possibility of an extension, and it will lose effect if it is not converted into law within the applicable timeframe.

The Senate has already opened a public consultation on Provisional Measure 1,394/2026. As of September 28, the platform had recorded more than 250,000 submissions, although the consultation is participatory in nature and does not determine the outcome of the legislative process.

A major shift for a market that had just been regulated

The current situation is particularly significant because of when it is taking place.

Brazil had moved from a market with limited regulation towards the development of a federally regulated industry, with licensing procedures, compliance requirements, control mechanisms, advertising and responsible gaming rules, and dedicated oversight through the SPA.

The new Provisional Measure now proposes the closure of that model, creating a new scenario for operators, technology providers, media companies, affiliates, sports clubs and other businesses connected to the industry.

The coming weeks will therefore be shaped by three parallel processes: implementation of the closure and funds-return timetable, the industry’s potential legal response, and Congress’s review of the measure.

For now, Brazil’s betting market is entering a transition period in which important legal, regulatory and economic questions remain to be determined.

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