Ilze Ramolina, BETBY’s Head of Legal, takes a closer look at the importance of Brazil’s newly regulated market while also discussing the challenges that may arise for those operators entering the space.

▫️SBC News: Brazil’s regulated sports betting market was launched on January 1st, 2025. What potential does this market hold, and why is it significant for BETBY?

▪️Ilze Ramolina: Brazil is a monumental opportunity for the sports betting industry. With its historical passion for sports, particularly football—after all, it’s the country of Pelé, Neymar, and countless other icons—and a population of over 200 million, the country offers immense value for operators worldwide wishing to extend their footprint. At the same time, its regulated market, established under Law 14.790/2023, brings clarity, transparency and structure, which are critical for fostering trust among both operators and players.

In terms of potential, the numbers speak for themselves. According to regulatory intelligence provider Vixio, Brazil’s sports betting revenue is expected to leap from $2.5 billion in 2024 to $6.2 billion in 2025, reaching a projected $12.3 billion by 2028. By then, the country’s regulated market is forecasted to account for more than half of the region’s total revenue, positioning itself as a global leader in sports betting.

Additionally, key demographic and technological factors further amplify Brazil’s appeal. With a median age of 33.8 years, the population is young, tech-savvy and mobile-first. Internet penetration is at 86.6%, with 98.5% of users accessing the web through mobile devices. This connectivity, paired with Brazil’s sports fervour, creates the perfect conditions for a thriving online betting market.

For BETBY, this market is a cornerstone of our expansion strategy due not only to its high-potential but also its alignment with our strengths. Securing a foothold in Brazil allows us to focus on delivering innovative, localised solutions and engaging betting experiences that resonate with the preferences of Brazilian bettors. As one of the first companies to achieve certification to operate under Brazil’s new regulatory framework, we’re proud to lead the way in bringing regulated, high-quality sports betting experiences to Brazilian players, and shaping the future of betting in one of the most passionate sports cultures in the world.

▫️SBC News: As you said, BETBY is among the first providers certified to operate in Brazil. How was the certification process?

▪️IR: BETBY has obtained two critical certifications to operate in Brazil’s newly regulated market. In December 2024, we achieved federal certification under Ordinance No. 722, which permits us to provide our software to operators holding or obtaining federal licenses valid across the entire country. This certification was pivotal as it allowed us to align with the regulatory framework and be operational as soon as the market launched on January 1st, 2025.

Just 10 days after that, in January 2025, we further secured GLI-33 certification, a standard that permits us to collaborate with operators holding state-level licenses. While the technical requirements for federal and states are quite similar, they still require different certifications for the product to be delivered to the respective market. This dual certification positions BETBY to support operators across Brazil, regardless of their licensing jurisdiction.

It needs to be mentioned that achieving these certifications was no small feat, the process involved rigorous preparation to ensure compliance with Brazil’s technical and regulatory standards. Since the publication of Ordinance No. 722 in the spring of 2024, we’ve worked diligently to align our internal policies, functionalities, and information security systems with the specified requirements, which were then confirmed by GLI (Gaming Laboratories International). Known for its rigorous testing standards and accreditations, this globally recognised laboratory was the first one to be authorised by the Secretariat of Prizes and Betting to certify in Brazil, conducting the certification process and evaluating our systems to ensure they met Brazilian requirements. 

Partnering with GLI ensures we meet the highest standards while paving the way for future certifications in other markets. Their expertise and reputation make them an invaluable partner as we expand worldwide.

For BETBY, securing these certifications reflects our commitment to delivering high-quality, compliant sportsbook solutions to operators. At the same time, it emphasises our readiness to navigate complex regulatory environments while maintaining the highest standards of operational excellence, something we’re proud of.

▫️SBC: How does Brazil’s regulatory framework compare to other jurisdictions?

▪️IR: Brazil’s regulatory framework is rigorous yet universal, drawing heavily on GLI-33 standards. The Secretariat of Prizes and Betting for Ordinance 722 used GLI-33 practically in their entirety, meaning that if you have this certificate you are around 90% to 95% compliant with the regulatory demands.These standards focus on areas like information security management and system functionalities, which align closely with global benchmarks. For us, this made entering the market relatively seamless.

However, Brazil’s dual licensing system—federal and regional—introduces unique complexities, underscoring the importance of flexibility and preparedness when navigating regulatory landscapes. While federal certification ensures nationwide operations, regional operators have a transition period of up to 180 days since launch to comply fully. Fortunately, BETBY’s proactive approach ensured we secured both certifications, allowing us to operate seamlessly in both licensing frameworks.

▫️SBC: Why is it important for markets to be regulated, and what challenges can arise?

▪️IR: Regulation is crucial to protecting players and ensuring fairness within the industry. It establishes clear standards, enhances transparency, and fosters trust between operators and consumers. Besides that, a regulated market also provides a framework for oversight, enabling governments to enforce responsible gambling practices and minimise risks to vulnerable populations.

However, overregulation can have unintended consequences. Excessive controls, high taxes, and overly complex compliance requirements often drive players toward unregulated or offshore markets, where protections are minimal or nonexistent. 

Brazil’s newly regulated market offers a good case study to analyse this. The government has implemented innovative tools to enhance integrity and deter illicit practices, such as introducing facial recognition systems to prevent identity fraud, and mandating the use of the “.bet.br” domain to distinguish legitimate platforms. Besides that, the Brazilian Supreme Court recently issued an injunction prohibiting advertisements targeting minors and the misuse of social assistance funds for gambling—steps that demonstrate a thoughtful approach to public safety.

That said, challenges remain. High fees for licenses are worth monitoring, as they could deter smaller operators or encourage illicit alternatives. Governments must strike a delicate balance, ensuring that regulations meet public safety objectives without stifling the market or pushing players toward unregulated options. Unduly burdensome rules risk creating a paradoxical situation: legitimate providers and operators exit the market, leaving players to navigate clandestine platforms with even fewer safeguards.

Brazil appears to be navigating this balance with promise, but vigilance is key. By fostering an environment that encourages innovation and trust while maintaining adequate oversight, Brazil can set an example for other emerging markets. However, careful calibration is essential to prevent tipping the scale too far, ensuring that regulation achieves its goals without inadvertently creating new risks for players, the industry, or both.

▫️SBC: What’s next for BETBY in Brazil and beyond?

▪️IR: In 2025, we plan to achieve additional certifications to enhance our adaptability to other jurisdictions, further solidifying our position worldwide. Our goal is to continue delivering innovative solutions whilst meeting the highest standards of regulatory compliance, not just in Brazil but across all our target markets. The future is promising, and Brazil is just the beginning.

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