Brazil’s sports betting industry is making headlines once again, and for good reason. The country, long known for its passionate football fans and vibrant sporting culture, has rapidly surged to become the fifth-largest sports betting market in the world. According to projections by the international consultancy Regulus Partners, betting companies in Brazil are expected to generate a staggering US$4.1 billion (approximately R$22 billion) in revenue by 2025. Only the United States, the United Kingdom, Italy, and Russia boast larger sports betting markets, putting Brazil firmly on the global map of gaming powerhouses.
This meteoric rise is nothing short of astonishing. Just over a decade ago, in 2014, the Brazilian sports betting market was estimated at a modest US$300 million. The legalization of sports betting in 2018 set the stage for growth, but it wasn’t until regulation came into effect in 2024 that the sector truly took off. The intervening years saw betting platforms operating in a legal gray area, a period described by economist Victo Silva of the Harvard Kennedy School as a “behavioral economics laboratory.” Betting companies took full advantage, deploying aggressive marketing and psychological strategies to lure in new bettors. “Platforms have made the experience intuitive and barrier-free. Today, bettors do everything from their couch, with their cell phones in hand,” Silva explained.
But what really turbocharged the industry’s growth? The answer lies in technology and culture. The introduction of Pix, an instant payment system created by the Central Bank, revolutionized the way Brazilians engage with online betting. Suddenly, betting became a fast, safe, and seamless process—no more waiting in lines or dealing with cash. Antonio Forjaz, director for Latin America at Entain (the owner of Sportingbet), summed it up succinctly: “In Brazil, everything is Pix, everything is instant.” The high level of banking and digital literacy in the country further fueled this digital revolution. André Gelfi, president of the Brazilian Institute of Responsible Gaming (IBJR) and partner at Betsson, emphasized, “Brazilians consume digitally, and this is a fully digitized industry.”
Of course, no discussion of sports betting in Brazil would be complete without mentioning football. The sport is practically woven into the national identity, and its influence on betting trends cannot be overstated. Right now, 18 out of the 20 clubs in the Brasileirão Série A proudly display betting brands on their jerseys. The five largest sponsorship contracts alone total more than R$500 million, with Flamengo leading the pack by receiving R$220 million from Betano. São Paulo, Corinthians, Palmeiras, and Atlético Mineiro all follow closely, each backed by major operators. The presence of betting brands extends far beyond the pitch, infiltrating carnivals, social media, and even municipal buses. As Victo Silva noted, this omnipresence has helped “normalize” the act of betting, especially among Brazil’s youth.
Yet, with rapid growth comes a host of new challenges. One of the most pressing issues currently facing the industry is the distribution of R$767 million from sports betting proceeds. This substantial sum is earmarked for athletes, clubs, and federations as part of image rights payments. The Betting Law (Law No. 14,790/23), which came into force in December 2023, provides for this division—but crucially, it does not specify how the distribution should occur. As a result, the funds remain in limbo, sitting in an account and awaiting a clear rule for allocation.
The Sports Committee of the Chamber of Representatives held a hearing on October 23, 2025, to address this very impasse. The legal director of the National Association of Games and Lotteries (ANJL), Pietro Lorenzoni, explained the predicament: “This money is sitting in an account waiting to receive the distribution rule. We want to pay it, but we need to know to whom and in what amount. For that, we need this distribution rule.” Disagreements over the origin of the funds have further complicated matters. Betting companies view the R$767 million as private, while representatives from the Ministry of Sports and the National Federation of Professional Football Players (Fenapaf) argue that the funds are public.
Fenapaf president Jorge Borçato has been vocal in advocating for football to receive priority in the distribution. “More than 50% of bets are directly linked to the athlete: a yellow card, a goal he scores. So, that’s our fight: for the athlete to receive more. I’d like this division to come from the legislature, as it’s already a given.” On the other hand, three-time Olympic judo champion Rafael Silva, known as Baby, serves as vice-president of the Brazilian Olympic Committee’s Athletes’ Commission. Silva argues that the funds should also support sports with less visibility and has suggested the creation of a decentralized fund, inspired by the Audiovisual Law, to ensure fairer distribution. Paralympic medalist Verônica Hipólito, a member of the Brazilian Paralympic Committee’s Athletes’ Council, has thrown her support behind this proposal. Sports law specialist Leonardo Costa has even proposed the creation of an entity similar to the Central Office for Collection and Distribution (ECAD) to manage these resources.
Meanwhile, the Ministry of Sports is exploring new avenues to break the deadlock. Patrick Corrêa, the national secretary of football and fan rights, announced that the government is considering a draft bill to protect athletes’ rights and a review of pending vetoes to the General Sports Law (Law No. 14,597/23). Congresswoman Laura Carneiro, chair of the Sports Committee, has called for dialogue, stating, “We are here today precisely to hear opinions, and then the committee will decide how to do so, whether through a bill to modify existing legislation or new legislation.” The hearing itself was initiated by Congressman Caio Vianna, president of the Permanent Subcommittee on Sports Betting Regulation.
While the debate over the R$767 million continues, it’s worth noting that other transfers are proceeding smoothly. The ANJL confirmed that payments to Olympic committees and civil society entities—such as Apae, Pestalozzi, and the Red Cross—are up to date. In the first half of 2025 alone, R$2.1 billion was allocated to beneficiary institutions through the National Distribution Office, created by the operators.
Despite these successes, concerns about the social impact of betting have not abated. Economist Victo Silva warns of the “betization of household income,” a phenomenon where families allocate part of their budgets to betting. A Central Bank analysis revealed that around 5 million Bolsa Família beneficiaries transferred money to betting sites via Pix. In response, the Supreme Federal Court (STF) has imposed restrictions on the use of social program resources for gambling. “Just like cigarettes, gambling is a tempting commodity, and consumption should be discouraged, not facilitated,” Silva cautioned.
Regulatory efforts are ongoing. Advertising aimed at minors is currently prohibited, and a bill under discussion in Congress seeks to tighten restrictions further, including a ban on advertising featuring influencers and athletes. Industry representatives, however, argue that advertising is essential to combat the illegal market. “In the clandestine system, there is no control or protection for the bettor,” Forjaz of Entain pointed out. For Gelfi, of IBJR, the discussion is premature: “There's still a large, unregulated market. Communication helps bring users to licensed companies.”
There’s no denying that Brazil’s sports betting industry stands at a crossroads. As the country enjoys unprecedented economic and cultural growth in this sector, the challenge now is to strike a balance between prosperity, responsibility, and social protection. With legislators, industry leaders, and athletes all weighing in, the next chapter in Brazil’s betting saga is sure to be closely watched—by bettors and non-bettors alike.
