Normative Ordinance No 1,875, released in the Official Gazette of the Union today (November 26), introduces new guidelines regarding the management and transfer of player data and funds to licensed operators as the regulated market prepares to launch on January 1, 2025.
There are currently 93 operators and 205 brands awaiting license approval from the SPA. Once licensed, these operators must pay the necessary fees to relaunch their offerings. Data and player fund migration is restricted to operators approved during the transition before the legal market’s debut.
Players will need to consent to the transfer of their accounts and data post-licensing. This will involve players verifying their identities through facial biometrics and registering a valid bank account with a payment institution sanctioned by the Central Bank of Brazil.
If players decline the transfer of their funds to a newly authorized platform, or if the operator does not obtain a license, the funds must be returned to the players by December 31.
Methods for Transferring Bettors’ Data and Funds in Brazil
To migrate player data to their licensed operations, companies must formally request permission from the SPA by December 13.
This request must be signed by the legal representative who submitted the company’s license application and can be made once the company’s BRL30 million (£4.1 million/€4.9 million/$5.2 million) license fee is authorized by the regulator.
The SPA has 15 days from the request date to decide on approval, with a possible extension of another 15 days if additional information or clarification is required.
Companies must provide a list of participating bettors, all of whom must agree to the migration of their funds and data to the new licensed platform.
Players have until March 31, 2025, to access their account on the unlicensed platform to withdraw funds or approve the transfer to the licensed operator. Users cannot place bets or access an operator’s products from January 1, 2025, until their data and funds are migrated.
Unclaimed funds by June 30, 2025, will be transferred to national charities, the Student Financing Fund (Fies), and the National Fund for Public Calamities, Protection, and Civil Defence (Funcap).
Deadline for Bettors to Withdraw Funds from Unlicensed Operators
Companies must secure authorization to operate in Brazil’s legal market to transfer funds and data. Entities failing to request or gain approval for resource transfers will be restricted from doing so.
Such companies need to move resources from bettors’ accounts to a deposit or payment account previously registered by the player.
Bettors will be reimbursed through the last bank account used with an operator during the October to January transition period.
If this is not viable, by March 31, 2025, the entity must attempt to contact the bettor to provide details for a bank account with an institution authorized by the Central Bank.
The SPA may request information from companies unable to return funds to bettors for oversight and inspection, with non-compliant firms facing potential sanctions.