Federal Government Bans Fixed-Odds Betting In Brazil

Provisional Presidential Decree No. 1,394 has banned the operation, offering, intermediation, and advertising of fixed-odds betting in Brazil. The ban covers sports betting and online gaming, whether conducted in physical or virtual environments, including when offered by companies based abroad to individuals located in Brazil. Other forms of lottery activities authorized by law were not affected.

The regulation took effect on September 25 and set deadlines for the removal of platforms, refunds of amounts owed to bettors, and the termination of existing authorizations. The decree also established obligations for financial institutions, technology companies, and other industry players.

Although the measure takes effect immediately, it must be approved by Brazil’s Chamber of Deputies and the Federal Senate to become law. Congress has 60 days, automatically extendable for another 60 days, to approve, amend, or dismiss the decree. The measure will expire after this term.

What changes for betting operators

Shutting down operations

The decree bans new deposits into betting accounts and the granting of new authorizations. Pending applications will not be processed further.

Operators must take down their websites and apps by October 5, 2026, including from app stores. Authorities may order the blocking or rerouting of any remaining available platforms.

Existing federal, state, and district authorizations will be terminated on October 25, 2026. The decree stipulates that authorizations will be terminated in the public interest, without any refund of the amounts paid for the licenses or any compensation to the operators.

Amounts owed to bettors

Bets that are still open and for which no result has been determined by October 5 will be canceled, with a full refund of the amounts wagered. Prizes related to results determined up to that date will still be payable.

After the platforms are taken down, operators will have two days to release the available funds and provide the necessary refund information. Financial and payment institutions will have seven days from receipt of this information to transfer the funds to bettors.

Advertising and sponsorship

The provisional decree prohibited advertising, marketing, and sponsorship activities related to fixed-odds betting and targeted at the Brazilian public.

Advertising materials and sponsorship markers must be removed from both physical and digital media by October 5, 2026. The rule affects operators, agencies, media outlets, platforms, influencers, affiliates, and other participants in the advertising ecosystem.

Payments and digital platforms

Financial and payment institutions will not be able to process transactions related to fixed-odds betting, except when required to close down operations and refund amounts.

Internet application providers must adopt measures to prevent the circulation of content that promotes or facilitates access to prohibited betting. App stores and operating systems must also prevent these products and services from being made available. Failure to comply with these obligations may result in a warning, a fine, suspension, or a ban on activities.

Timeline and key considerations

The implementation of the provisional decree will follow the schedule below:

In addition to meeting these deadlines, the affected operators must assess the measure’s impact on contracts, advertising campaigns, sponsorships, and other commercial relationships. Regulatory, tax, and reporting obligations for the operating period remain applicable, as does the obligation to retain data and records for at least five years.

Demarest’s interdisciplinary team remains available to provide further clarification.