As the journey for regulation in Brazil has hit the six month mark, Affiliate Leaders Magazine places a microscope over how the legislative debate on sweeping changes to the advertising framework has already kicked off.
Just last week, Brazil’s Sports Commission gave the green light to a heavily amended version of Bill 2,985/2023, which ultimately introduces widespread new restrictions on when, and how, betting operators can promote themselves.
While the initial proposal called for a complete ban, a compromise – spearheaded by Senator Carlos Portinho – has led to a more measured, albeit still highly restrictive, approach to gambling marketing in the country.
Announcing the amendments, Portinho said: “One year after this law was passed, our society is sick, it is completely addicted to betting. Football clubs are addicted to betting. Communication companies are addicted to betting, to advertising, to the money they receive from betting. And with this pandemic, it is up to us to impose discipline.”
Live sports broadcasts? Off limits. Active athletes and influencers? Not allowed. Ad slots are now limited to just a few hours each day, and then it’s only permitted if the messaging steers clear of odds, incentives or even a hint of financial promise.
A number of these restrictions mirror trends that we’ve already seen across different European markets, particularly Spain and Italy, where public health narratives have heavily influenced rhetoric surrounding the gambling industry. But in Brazil, the sudden severity of the regulatory shift raises urgent questions about the future of gambling marketing and affiliate media.
As the country teeters between regulation and restriction, there’s growing concern that this hardline approach could send players straight into the arms of unlicensed operators.
The new rules on advertising are clear: gambling ads may only be displayed between 07:30pm and midnight for TV and digital channels. Radio slots are restricted further still to between 9:00am and 11:00am, and 5:00pm to 7:30pm, and static or digital betting ads will be banned from sports venues unless the operator is an official sponsor or naming partner – and even then, it’s capped at one brand per team.
Direct marketing will also be heavily restricted. Under the new rules, users must give prior, informed consent before receiving messages or notifications from gambling brands, and platforms must ensure that ads are not seen by underage audiences.
But visibility isn’t the only factor under the spotlight – it’s about tone too. Campaigns must now also feature a warning label that discourages gambling. It’s certainly going to be a lot to process, especially for affiliates who rely so heavily on the ability to build brand exposure.
What emerges from these new regulations, however, is a chaotic patchwork of permissions – a cautious compromise designed to survive legal scrutiny and political tension.
Senator Portinho’s rhetoric made his motivation clear: he believes the market has failed to self-regulate, and that rates of problem gambling across Brazil are beginning to spiral. Yet, even Portinho acknowledged the need to avoid “legal uncertainty” in a sector still defining its regulatory framework.
Affiliates, however, may find little solace in the detail. While direct betting incentives have already been banned under Normative Ordinance No. 1,231, the latest bill puts a tighter squeeze on performance marketers.
Promotions involving odds comparisons, bonuses or gambling tutorials are now banned, as are the use of mascots or AI-generated characters that could have the potential to appeal to under 18s. Affiliates operating through SEO, content partnerships or social media amplification must now navigate a sharply narrowed lane, whether they like it or not.
For a long time, affiliates have helped shape how gambling brands are perceived in markets across the world – be it through reviews, educational content, promotions and community building. But in Brazil, should the new amended bill pass through the senate, the message is as clear as day: gone are the days of casual promotion. Brazil is entering an era of careful compliance; affiliates must adapt or leave.
Those that rely heavily on bonus promotions, aggressive calls to action or influencer-led content will now be treading on very, very thin ice. Even those producing reviews or ‘how to guides’ will be forced to tiptoe around their content creation strategy, giving careful consideration to the language that they use. And smaller affiliates, without the legal resources to navigate such a complex environment, may simply decide that the new
This could cause some far-reaching problems. If smaller affiliates begin to leave the market, does fewer legal operators on the front foot mean that there will be lower visibility for the regulated market?
As we’ve seen in various markets across Europe – think Italy, Spain, Sweden and even the UK – when players are unable to find licensed operators easily, they tend to drift towards the unlicensed ones that still shout the loudest. The question is whether Brazil can avoid the same pitfalls as its European counterparts.
The bill is now expected to head to the Brazilian Senate for further voting, although it will completely bypass the still-unformed Communication and Digital Law Committee. It’s a move that signals urgency, but also screams political calculation.
Senators like Carlos Portinho have framed the proposed amendments to the Bill as a necessary correction that will safeguard the future of Brazil’s gambling industry; it’s a check on an industry that he claims has already spiralled out of control. He didn’t mince words, describing football teams as “accomplices in an epidemic” of gambling addiction.
Nobody’s arguing against sensible regulation. The need to protect vulnerable users, particularly young people, is non-negotiable. But when legislation moves too far, too fast, the risk is that it leaves a vacuum. And in a digital world, vacuums don’t stay empty for long.
Should the amendments become law, Brazil runs the risk of opening the floodgates to unlicensed operators to engage with bettors – a risk that, quite honestly, it cannot afford given the market’s relative immaturity. Whether this bill marks a step towards maturity or a misstep into overreach remains to be seen.
Welcome to Gambling Consulting Authority (GCA) - Your Strategic Partner in Gambling Industry Advancement
