Brazil’s betting ban gets more time, but not a final verdict

Brazil’s betting ban gets more time, but not a final verdict
Congress President Davi Alcolumbre has extended for 60 days the provisional measure that bars fixed-odds betting, online casinos and related advertising in Brazil. The extension keeps the restriction in force while lawmakers consider whether to turn it into permanent law; the measure now has until 5 March 2027 to be approved or it will lapse.

The measure, signed by President Luiz Inácio Lula da Silva in September, reaches beyond betting platforms themselves. It requires authorised operators to cease activity, calls for platforms to be taken offline and requires the return of money held in bettors’ accounts. It also prohibits marketing, advertising and sponsorship connected to the sector.

Supporters of the prohibition frame it primarily as a public-health and household-finance measure. The government has argued that online betting has contributed to debt and harm to families, while citing what it considers inadequate safeguards under the previous regulatory approach. The administration has also pointed to estimated household losses of R$62.5 billion in 2025 and created an interagency body aimed at identifying illegal sites and financial accounts used in unlicensed operations.

Critics do not dispute that the market needs oversight, but argue that a blanket shutdown carries its own risks. Betting companies have challenged the measure on grounds including legal certainty, competition and due process, while sports organisations warn of lost sponsorship income and possible job losses. They also contend that unmet demand could shift to unregulated platforms rather than disappear.

The congressional process remains unsettled. The proposal has drawn 99 amendments and was put on an urgent track, but the joint committee meant to examine it has not yet been formed. Separately, Supreme Court Justice Luiz Fux has paused lower-court cases contesting the ban to avoid conflicting rulings until the court decides the constitutional challenge.

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