Brazilian official: Player protection is operators' responsibility

Brazil's Secretary of Prizes and Betting, Régis Dudena, has reaffirmed that betting in Brazil is not a private free-for-all but a public service under state concession, emphasizing the Government's duty to ensure integrity and player protection.

Speaking at a conference hosted by the Brazilian Bar Association, Dudena said that private companies operate "as an extended arm of the State" and that the responsibility to protect consumers cannot be transferred to bettors.

"We're not dealing with a simple private activity under free competition. The operation occurs through a state concession and the private entity acts on behalf of the State," he explained.

The Secretary detailed that the legal framework was designed to combat two main risks: money laundering and social harm linked to addiction.

"Prohibition did not protect people. Regulation exists to protect even those who must be protected from themselves," he added.

Dudena also underscored that only financial institutions authorized by the Central Bank may process payments for licensed operators, a measure that raises the regulatory bar and strengthens traceability.

This approach complements recent efforts by Brazil's banking sector, which has recently taken action to tighten anti-fraud policies and increase surveillance in order to help combat illegal gambling operations in the country.

Highlighting enforcement progress, Dudena noted that each online game must be certified by an independent laboratory, while operators must present over 100 documents for authorization, including proof of financial integrity and a BR30m ($5.6m) license fee.

He also reiterated that land-based gambling activities like bingo and the jogo do bicho, a popular Brazilian lottery-style game, remain illegal for now.

As the official put it: "We needed to separate the wheat from the chaff, to identify those willing to operate within the law from those using informality and crime as a business model."