Brazil has implemented new rules for the advertising of online betting, whose regulations were published in an extra edition of the Official Gazette of the Union (DOU) on Friday night.
New obligations and warnings
Advertisements must now include specific warnings, such as: 'betting makes you lose money,' 'betting can cause addiction,' and 'betting is not an investment.' However, this new requirement will only come into effect on July 17, granting companies time to adjust to the changes.
Prohibitions and content restrictions
An additional ordinance, effective immediately, prohibits media outlets from broadcasting advertisements for betting ('bets') that operate illegally in the country. The new guidelines also forbid platforms from creating a sense of urgency, presenting bets as a financial solution or investment, showing past prizes as an attraction, or misleading the consumer.
Additionally, ads depicting betting as a source of income, an investment method, a substitute for employment, or a solution to financial difficulties are prohibited. Messages promising quick gains or the recovery of previous losses are also banned. Furthermore, ads displaying prizes, encouraging excessive or immediate betting, containing false information about winning chances, or targeted at minors are equally prohibited.
Company responsibilities
The Brazilian Government has established that advertising agencies, digital platforms, and content providers must confirm in advance whether the advertiser is on the official list of authorized operators before contracting any campaign. These companies are obliged to maintain the advertiser's data, including the authorization number, and to display this information clearly on the interfaces during the broadcast of the ads.
Ministerial statements and context
On Thursday, Finance Minister Dario Durigan had anticipated that two ordinances with the new rules would be formalized on Friday. Durigan stated that 'Illegal betting, in no way is authorized, and neither advertisers nor media outlets are authorized to broadcast any advertising involving a company not authorized to operate in the market.' Brazilian press has reported a growing 'epidemic' of gambling addictions and family debt in Brazil.
Agência Pública, an investigative journalism portal in Brazil, has published several reports on the lobbying by betting platforms in the National Congress and on the suffering of indebted Brazilians, including accounts of suicides. Lula da Silva's government has taken action against these platforms, deactivating illegal portals and instituting taxes intended to finance, for example, funds linked to the Brazilian Federal Police.
