Brazil’s government is reportedly planning to ban online casinos less than two years after the regulated market went live.
As reported by Reuters, Brazilian president Luiz Inacio Lula da Silva is looking to sign off the final text of legislation banning the vertical ahead of the country’s first round of general elections on 4 October.
Per the report, the ban would not extend to sports betting or gambling-related sponsorships of sports teams and competitions.
Brazil’s regulated gambling market first launched in January 2025 after years of operating with a grey market.
Since then the country’s gaming regulator has approved 188 licensed betting operators, many of which run both sports betting and online casino platforms.
Despite heading the government that launched the regulated regime, Lula has repeatedly voiced his lack of support for the gambling sector, stating earlier this week that his “personal position is to end betting” due to concerns over gambling-related harm.
Speaking during the signing of the Move Brazil law on 14 September, Lula said: “I had a very painful meeting with people who are victims of gambling on betting sites. Possibly, almost no Brazilian authority knows firsthand what is happening in our country. There is a lot of suffering and a lot of addiction.
“We are making decisions and soon we will announce the decision we will make regarding this, because it’s an illness, not a game. It’s the manipulation of innocent people into an addiction.”
Brazil’s Senate has also been critical of the industry, claiming last February that MPs were “in the hands of the betting companies”.
In April, Lula hinted the government could U-turn on igaming legislation and shut down the sector altogether. It has already banned prediction market platforms from operating in the country.
The existing regulated market has faced increasing pressure almost since launch, with the Senate approving an increase in gambling tax from 12% to 15% by 2028.
The government also scrapped plans to introduce a 15% tax on player deposits at the last minute after initially approving the measure in December 2025.
Despite this, sports betting operators generated revenue of BRL8.7bn (£1.3bn) for the first seven months of 2026.
Brazil’s Federal Revenue Service forecast the total could reach BRL16bn by the end of December.
Last year, figures released by the Brazilian treasury showed the government collected approximately BRL10bn from operators through licensing fees and taxes.
The post Report: Brazil preparing to ban online casinos less than two years after launch first appeared on EGR Intel.
President Luiz Inacio Lula da Silva is set to approve legislation prohibiting the vertical in time for the first round of general elections in October
The post Report: Brazil preparing to ban online casinos less than two years after launch first appeared on EGR Intel.