The Brazilian Federation of Lottery Companies (Febralot) has publicly criticized the Federal Government’s decision to suspend the launch of BetCaixa, a proposed sports betting platform to be operated by state-owned Caixa Econômica Federal.
According to Febralot, the freeze strengthens the illegal betting market and results in the loss of more than BR10bn ($1.9bn) per year in potential tax revenue.
The BetCaixa platform had been designed as a digital fixed-odds betting operation integrated with Caixa’s nationwide lottery network and online banking channels, following sector regulation in 2023 and 2024.
Initial projections indicated that BetCaixa could generate approximately BR2.5bn in revenue in 2026.
However, the Presidency reportedly halted the project in late 2025 amid political debate over the social and economic impacts of betting expansion.
Health Minister Alexandre Padilha described the initiative as “speculation,” stating he was unaware of a concrete implementation plan and raising concerns about addiction risks and potential family impacts.
In July, the Ministry of Finance’s Secretariat of Prizes and Betting (SPA) had authorized Caixa to operate fixed-odds betting under brands BetCaixa, Megabet and XBet Caixa.
Febralot argues that offshore platforms currently capture a significant share of betting activity in Brazil without paying domestic taxes or applying responsible gambling controls.
The federation contends that suspending BetCaixa produces the opposite of the government’s stated objectives by shifting financial flows and consumer data abroad.
The organization has requested support from the Federal Senate and is calling for the matter to be submitted to the President for reconsideration.
Caixa recently tightened instant payment controls amid broader compliance efforts
