President Luiz Inácio Lula da Silva signed decree 1394/2026 on 25 September, banning fixed-odds betting nationwide. Operators were given until 4 October to stop accepting wagers. The deadline has passed. The licensed market that operated since 2025 under the Secretariat for Prizes and Betting no longer exists.
Lula cited an internal survey by the Workers' Party showing most Brazilians oppose gambling platforms. The government pointed to addiction data: over two million people with clinical dependency, another 7.5 million problem gamblers. The industry supported more than 15,000 jobs, according to a 2025 study. Operators paid for licences and are now discussing compensation from the state.
Parliamentarians and business representatives called the ban excessive. Instead of protecting players, they argued, it may push them to offshore platforms without oversight. Blask data shows unlicensed brands' share of Brazilian traffic rose from 3.4% on 24 September to 9.9% on 29 September. Affiliate coverage of the top twenty brands fell 41.5%, from 715 sites to 418 in one week. Licensed platforms left withdrawal access open but stopped taking bets.
The ban coincided with elections. Lula's main challenger is Flávio Bolsonaro; parts of the industry hope his victory would restore a regulated market. For now that remains speculation. Operators are tallying losses and preparing claims. Brazil went from licensed market to total prohibition in nine days, with no clarity on what comes next.
