Brazil’s Expansion Grants 21 New Online Betting Licenses

Brazil’s burgeoning legal online betting market took another major step forward on February 11, when the Secretariat of Prizes and Bets (SPA), the country’s gambling regulator, issued 21 new full licenses to operators. This latest wave of approvals brings the total number of full licensees to 35, covering 173 brands authorized to offer their services in the country.

The move is part of Brazil's ongoing effort to establish a regulated online sports betting market, which officially launched on January 1, 2025. Prior to this, only 14 companies received full licenses, while 52 others were granted provisional licenses as they awaited final approvals and technical certifications. These provisional licenses allowed operators to begin offering services, but with a strict 30-day window that closed on January 30. However, companies could request a 30-day extension if they demonstrated that they were still in the process of meeting technical requirements.

A Market on the Rise

The February 11 announcement, made in the Official Gazette of the Union, marks an important milestone for Brazil’s betting industry. International betting giants like Bet365 and Betano are among the latest to receive full authorization, alongside local players such as Aposta Ganha and Betsul. The 21 new full licenses have been eagerly anticipated, as they signal growing confidence in Brazil's regulatory framework and a further opening up of the market.

The complete list of new licensees includes a mix of international and Brazilian brands, all of which have now secured the right to operate in the country’s legal betting space. Notable brands such as Sportingbet, Betfair, and Novibet are among those now fully licensed, further bolstering the credibility of Brazil's regulated market.

The full license holders now represent a diverse landscape, with both international heavyweights and emerging local operators jostling for market share. The newly authorized brands include:

• Betano (Kaizen Gaming Brasil)
• Sportingbet and Betboo (Ventmear Brasil S.A.)
• Bet365 (HS do Brasil)
• Aposta Ganha (Aposta Ganha Loterias)
• Betfair (Betfair Brasil Ltda.)
• Novibet (NVBT Gaming Ltda.)

These companies join the ranks of previously licensed operators, creating a competitive landscape in Brazil's rapidly growing sports betting market.

Challenges in the Licensing Process

While the licensing process has proceeded relatively smoothly for many operators, it has not been without its challenges. The country’s regulatory framework for online gambling is still in its infancy, and operators have faced delays and frustrations throughout the certification process.

One such operator, KTO, was among the 14 companies that secured full authorization before the market's official launch. The company's CEO, Andreas Bardun, described the licensing process as “stressful” and “not the most organized.” However, Bardun also expressed understanding, noting that the Brazilian government was working tirelessly over the Christmas and New Year holidays to assist operators through the certification process.

In response to delays and complications in the certification process, the SPA issued a new regulation in January (Normative Instruction No. 3/2025) aimed at standardizing and streamlining the process. This measure was introduced to ensure that the industry could continue to grow despite initial setbacks and complexities in the regulatory framework.

The Road Ahead

Despite the challenges, the progress made in the licensing process is seen as a sign of the Brazilian government's commitment to building a robust, regulated betting market. With the release of 21 new full licenses, the total number of companies authorized to operate—either with provisional or full licenses—now stands at 69.

Notably, two companies, Betsson and Nexus International, were not included in the latest batch of full licensees. Betsson is still working to meet technical certification requirements and has until the end of February 2025 to submit the necessary documentation to obtain full approval.

As of now, licensed operators have collectively paid BRL 2.1 billion (approximately £293.9 million, or $364.6 million) in license fees, demonstrating the financial significance of the industry to Brazil's economy. However, with some companies still awaiting full certification, the regulatory environment remains a work in progress.

The latest development brings a sense of closure to the initial phase of the licensing process, but challenges are likely to continue as Brazil's sports betting market matures. One thing is clear: the regulatory framework is evolving, and the market is expanding rapidly.

For operators and players alike, the next few years will be crucial in shaping the future of Brazil’s gambling landscape, as the market adapts to new regulations and a growing pool of players and investors.