Brazil suspends seven betting operators over reporting failures
In a recent crackdown, Brazil’s Secretariat for Prizes and Betting (SPA) has temporarily suspended the operations of seven gambling companies, among those sanctioned is Pixbet, one of Brazil’s most recognised online betting platforms. At the heart of this crackdown is a failure to comply with Brazil’s newly implemented reporting obligations.
The recent crackdown on Pixbet comes barely a month after the online betting platform resumed operations following a major legal victory in Brazil. Pixbet was suspended by the SPA owing to the company not meeting specific technical certification standards laid out in . This includes a list of requirements operators must comply with to run betting operations in Brazil legally.
What is the law?
As per Brazil’s newly implemented reporting obligations, operators are required to submit detailed data on user activity—information that helps regulators monitor betting trends and detect suspicious behavior. are Bell Ventures Digital, Bet.Bet Technological Solutions, Betesporte On Line Betting, EA Entertainment and Sports, Pixbet Technological Solutions, Logame do Brasil, and Sortenabet Gaming Brasil.
In a statement SPA said, “The lack of accurate reporting affects the safety of bettors and the broader economy, the fight against money laundering, and the collection of taxes and contributions.” The regulator has warned that a failure to remedy these deficiencies could result in formal sanctions against the company, in addition to any lost revenues. Offending operators could face a daily fine of R$40,000 ($7,000), the authority noted. Additionally, repeat offenders could permanently lose their licences.
Brazil requires licenced betting operators to present comprehensive reports to the SPA. The comprehensive reports encompass transaction history, betting behaviors, and other operational data. The data is required to promote transparency and protect against financial crimes. It is seen as essential to ensure accountability in the newly regulated market.
Rise in user complaints
The crackdown comes at a time when Brazil is experiencing an alarming rise in user complaints. Between January and April 2025, Brazil’s consumer complaint portal registered over 1,000 reports against licenced betting sites. Many of the complaints received involve long-standing brands like bet365, Novibet, and Betano. SPA is taking the surge seriously and aims to assist authorities in identifying legitimate malpractice. The authority is working closely with federal watchdogs to verify the merit of each complaint. Genuine grievances will prompt further penalties.
Bill limiting gambling ads
As consumer trust wavers, lawmakers are tightening the reins. The Brazilian Senate has approved Bill PL 2.985/2023, introducing sweeping new restrictions on gambling-related advertising. Initially, the bill proposed a total ban on gambling ads but has since evolved into a more targeted effort to curb the promotion of fixed-odds betting promotions. The new legislation will enforce restrictions on direct advertisements, promotional activities involving athletes, artists, media, personalities, influencers, or public figures.
In an effort to tackle sports betting fraud, the SPA signed a Technical Cooperation Agreement with Integrity Compliance 360 (IC360) in April. This marked the fifth such agreement that SPA has entered into, following similar partnerships with other organisations in October 2024. The agreement, which will remain in place over the next five years, focuses on exchanging data and raising awareness of issues related to betting integrity.
