Brazil’s challenge against the illegal online betting market: blocks, redirects, and the role of VPNs
This article was first published in Portuguese on 7 March 2025.
Brazil has attempted to combat the illegal online gambling market by intensifying regulation, increasing oversight, and blocking websites not authorised to operate within the country. All of this aims to protect consumers and ensure the sector’s integrity. However, unlicensed operators have adopted strategies to circumvent regulatory measures, making the task of fully consolidating regulation much more difficult. Despite initiatives to block illegal websites, many remain accessible through alternative means. So, in light of this scenario, are the methods authorities use genuinely effective?
Redirects and alternative applications
An investigation conducted by the UOL portal examined 7,599 of the more than 11,500 unlicensed gambling websites blocked by the government since October. The research revealed that approximately 83% of these sites redirect users to other domains or web applications, allowing illegal activities to continue. These sites were accessed without VPNs, indicating that current blocks may not be sufficient to prevent user access.
Using alternative domains, known as “mirrors”, is a common practice among illegal operators to avoid service disruptions. A new domain is quickly created to keep the platform active when one site is blocked. Additionally, many operators encourage users to download applications, which are more challenging for authorities to monitor and block.
Imitation of licensed brands
Beyond redirects, some unauthorised platforms have replicated graphical elements and user interfaces of nationally recognised and licensed brands. This practice is a way to deceive players, making them believe they are betting on a legitimate site when, in reality, they are exposed to serious risks, including manipulated games, the insecurity of sensitive personal data, and a lack of payment guarantees.
Illegal platforms also offer counterfeit versions of popular 바카라 titles, altering game mechanics to reduce players’ chances of winning. Failing to comply with responsible gaming regulations is another concern, as these sites allow users to gamble without providing identification documents or setting betting limits.
Agreement between Anatel and the Ministry of Finance
In response, the National Telecommunications Agency (Anatel) and the Secretariat for Prizes and Betting (SPA) of the Ministry of Finance signed a Technical Cooperation Agreement in December 2024. The objective is to streamline and optimise blocking sites that illegally operate gambling, maintain efficient communication between institutions, and strengthen oversight in the sector.
Beyond site blocking, the SPA has also started efforts to restrict payment processing for offshore sites. Recently, it notified 22 financial institutions believed to be providing services to these platforms. Disrupting financial transactions could be a more effective tool in curbing the spread of the illegal market. However, this measure also has limitations, as illegal operators can easily circumvent restrictions by using company registration numbers (CNPJs) from various types of businesses, such as bakeries or small shops, to continue processing payments without raising suspicion. As long as there is no stricter control over financial flows and an in-depth investigation into these operations, the underground market will continue to find ways to operate.
Use of VPNs and challenges in enforcement
Although UOL’s research has shown that blocked sites can be accessed without VPNs, using these tools is common in Brazil. During the temporary blocking of the X platform (formerly Twitter) in August 2024, the use of VPNs increased by 1,600% within 24 hours, according to data from a cybersecurity company. A global study by indicated that nearly one-third of Brazilians use VPNs, making site-blocking measures less effective.
Combating illegal gambling sites in Brazil is a significant challenge that requires multiple actions simultaneously. Beyond blocking sites, it is crucial to prevent them from continuing to receive payments and to crack down on their advertising. The problem is that as long as operating legally in Brazil remains costly and bureaucratic, many companies will prefer to stay in the illegal market.
For this reason, it is essential to balance stricter rules and fair conditions for operators who wish to comply with the law. Educating players on recognising illegal sites and protecting themselves is also crucial. Measures such as requiring licensed companies to use domains ending in “.bet.br” could assist in this process, and this is already a rule under the new legislation that came into force in early 2025.
Businesses and financial institutions must work together to reduce the illegal market. Improving enforcement and creating more effective laws are also essential steps. Despite the challenges, the efforts are already a step forward in making Brazil’s betting sector safer and more transparent.
