Brazil’s Ministry of Finance’s Prize and Betting Secretariat (SPA) has issued an official statement about prediction markets. The ministry said it is monitoring the issue from a technical standpoint and conducting preliminary studies of the sector.
The SPA highlighted the fact that no Brazilian operators are currently authorized in the market.
“The Ministry of Finance’s Prize and Betting Secretariat is monitoring the issue continuously and technically, including in the international arena. The prediction market is part of the Secretariat’s internal analysis agenda, with preliminary studies underway. It should be noted that, at the moment, there are no Brazilian companies formally authorized by the SPA to operate in this segment.”
The SPA said that it had received a technical note from companies in the sector presenting “assessments of so-called predictive markets” and that it was addressing the issue with “caution, institutional responsibility, and a focus on preventing regulatory gaps, seeking to ensure consistency with the current legal framework.”
In its statement the regulator concluded by saying that:
“Any further regulatory assessments on this matter depend on the completion of ongoing technical analyses and will be conducted in conjunction with the relevant authorities, including the Securities and Exchange Commission (CVM), in order to analyze any potential regulatory interfaces.”
The announcement comes as XP International, a company within the XP Inc. group, announced a strategic partnership with Kalshi, a U.S.-regulated prediction market platform, to bring prediction markets to Brazil.
XP Inc. is one of the largest independent financial institutions in Brazil, owner of the brands XP, Rico, Clear, XP Educação, InfoMoney, among others. XP Inc. serves more than 4.7 million active clients and manages R$ 1.8 trillion in assets.
Founded in 2018, Kalshi is the largest prediction market in the world, offering financial markets on the outcomes of real-world events such as elections, awards, sports, and more.
The post Brazil’s SPA – no prediction market companies authorised appeared first on G3 Newswire.
Brazil’s Ministry of Finance’s Prize and Betting Secretariat (SPA) has issued an official statement about prediction markets. The ministry said it is monitoring the issue from a technical standpoint and conducting preliminary studies of the sector. The SPA highlighted the fact that no Brazilian operators are currently authorized in the market. “The Ministry of Finance’s…
The post Brazil’s SPA – no prediction market companies authorised appeared first on G3 Newswire.