Governor Ricardo Ferraço (MDB) announced that he signed a decree banning advertising for games, lotteries and betting platforms in public spaces across Espírito Santo.
Details of how the restrictions were defined in the legal text still remain unclear.
"A measure to stop people from losing money on betting that their families often need. In our government, we will always defend and protect our greatest asset: the wellbeing of the people of Espírito Santo," Ferraço wrote.
There are currently 12 betting-related proposals in the state legislature, along with bills introduced in city councils in at least seven of Espírito Santo's ten largest cities.
The decree also lands amid local controversy over Banestes, the state-owned Bank of Espírito Santo, which announced last October it had selected Argentine consortium World Lottery to operate its own online betting platform, expected to launch this year.
The announcement drew criticism from the Espírito Santo Bank Workers' Union.
"Banestes' betting platform goes against the state-owned bank's social role. It was created to foster the growth of the state's economy, and cannot become a promoter of household debt," said union leader Vanessa Espíndula.
Recently, Brazil's Government introduced a package of advertising restrictions for licensed operators, requiring all ads to display one of three official warnings: "Betting can cause addiction," "Betting makes you lose money," or "Betting is not an investment."
States and municipalities across Brazil have increasingly adopted decrees or bills restricting betting advertising in public spaces.
Rio de Janeiro has banned betting advertising from public spaces, extending the restriction to municipal events, government campaigns and any advertising displayed on public property