Strict Regulations on Betting Ads in Brazil: Addiction and Loss Warnings Become Mandatory

The Brezilya Hazine Bakanlığı announced new and strict advertising rules closely concerning the online sports betting sector. The new regulations, announced by Hazine Bakanı Dario Durigan, will come into effect as of 17 Temmuz and will require betting companies to fundamentally change their advertising strategies. Under the new rules, mandatory warning texts must be added to betting advertisements, similar to tobacco and alcohol ads. Additionally, while the use of misleading marketing tactics to deceive consumers is prohibited, inspections of companies operating illegally will also be increased. The ministry emphasized that the main purpose of these steps is to raise public awareness about betting risks and to protect consumers.

One of the most striking aspects of the new regulations is the addition of mandatory warning messages to advertising campaigns in the betting sector. From now on, the Brezilya Hazine Bakanlığı requires advertisers to use at least one of the following three warnings: "Betting makes you lose your money", "Betting can cause addiction", or "Betting is not an investment tool". The mentioned warnings aim to clearly express potential harms, just like in tobacco and alcohol products. Authorities hope that these messages will increase public awareness regarding the financial risks and psychological effects of betting. Through this, it is aimed to prevent vulnerable individuals in particular from falling for misleading promises.

The ministry also took very strict steps and introduced new rules regarding advertising restrictions. It is now strictly forbidden for betting companies to portray betting as an easy way to make money or as an investment method. Furthermore, creating a sense of urgency to push users to bet immediately, or inciting people through commentators, experts, and social media phenomena, is also prohibited. Bakan Durigan particularly emphasized that commentators in sports programs are seen as authority figures, and it is no longer possible for these individuals to encourage the public to bet by offering technical analyses. Attracting people by advertising past winnings and producing advertisements targeting children or young people have also been completely banned with a zero-tolerance policy.

The legal regulations announced by the government target not only authorized companies but also illegal betting platforms. The Brezilya government once again confirmed that it is waging an uncompromising struggle against betting sites operating without permission and illegally in the country. Durigan stated that their zero-tolerance policy against illegal betting continues, expressing that media organizations and platforms that advertise for these sites will also be punished. According to the data obtained since the sector was regulated, 56 thousand illegal betting sites have been closed so far, and access to the accounts of approximately bin influencer has been blocked. Additionally, the accounts of about one million users on illegal betting sites were automatically closed on the grounds that they did not comply with existing legal restrictions.

Highly deterrent sanctions and penalties are foreseen for companies that violate the rules. Operators found to be in violation could face massive administrative fines of up to 20 percent of their revenues. In more serious cases, companies' operations may be suspended for up to 180 days, and operating licenses may be completely revoked in cases of repeated severe violations. These regulations by the Brezilya government are part of a process that has been shaping up step by step since 2018 and became institutionalized with the establishment of a Secretariat of Prizes and Bets under the Hazine Bakanlığı in 2024. The government's ultimate goal is to protect consumer rights by minimizing advertising abuses and to completely eliminate the illegal betting market.