Brazil's government is discussing restrictions on online betting, including a possible ban on digital casino games known as tigrinho. President Luiz Inácio Lula da Silva has made gambling a campaign issue ahead of his reelection bid.
According to Folha de S.Paulo, presidential aides expect action against betting platforms, while Lula's allies say he favours strict or total limits. Tigrinho refers to online casino games not tied to real events, unlike sports betting. Government sources claim the casino segment generates most of the revenue for betting companies. A final decision is expected after 23 April, when Lula returns from the UN General Assembly.
A ban would create legal problems. Licensed operators paid 30 million reais ($5.8 million) each for five-year licences. Early termination could trigger lawsuits and compensation claims from the federal government for the remaining licence term. Officials fear banned platforms will remain accessible after a formal prohibition.
The sector has influence in the National Congress, which would need to review any provisional decree or bill. Betting companies sponsor digital influencers, raising concerns among Lula's allies that some may turn against the president during the campaign.
A Datafolha poll in May found 57% of Brazilians view online gambling as addictive, 31% as a way to lose money. A study by Comsefaz and Cicef estimated Brazilian household losses from betting platforms at 62.5 billion reais ($12.17 billion), though the figure is disputed.
Online betting was permitted under Michel Temer's administration and remained unregulated under Jair Bolsonaro. Regulation was completed under Lula in late 2023, with the regulated market launching in 2025 after a transition period. 85 companies received licences.
