Brazilian lawmakers have taken a significant step toward imposing sweeping restrictions on gambling advertising, advancing a bill that would prohibit most forms of promotion for sports betting and online gaming nationwide.

The Senate’s Science and Technology Committee this week approved legislation that would amend Brazil’s Sports Betting Law to ban gambling advertisements across traditional and digital media, including radio, television, newspapers, magazines and social media. The proposal would also prohibit sponsorships tied to sports events and clubs, as well as the promotion of betting markets related to elections.

The bill now moves to the Constitution, Justice and Citizenship Committee for further review, where amendments could still be introduced. According to a Senate news release, one potential adjustment under consideration would allow sponsorships for Olympic sports clubs, softening what would otherwise be one of the most restrictive advertising regimes in the country’s short history of regulated gambling.

Senator Damares Alves, one of the bill’s prominent supporters, linked gambling promotion to broader social harms, particularly mental health concerns. Citing problem gambling as a growing issue, Alves argued that advertising limits are necessary to curb excessive exposure and prevent betting companies from exploiting sensitive contexts such as elections.

“By imposing clear limits on the commercial performance of bookmakers and preventing the exploitation of the electoral environment by this type of activity, the proposition offers a legislative response proportional to the seriousness of the problem diagnosed by the Federal Senate,” Alves said, according to the release.

If enacted, the legislation would introduce penalties of up to approximately $2 million for violations, alongside the possibility of licence suspension or revocation for repeat or severe breaches. The proposed sanctions underscore the government’s intent to enforce compliance in a market that has expanded rapidly since regulation began.

 

A young but fast-growing market

Brazil officially launched its regulated online gambling market in January 2025, initially licensing 14 operators. In just over a year, that number has grown to more than 80 licensed companies, reflecting strong commercial interest in one of the world’s largest untapped betting markets.

The industry’s first full year of operation generated an estimated $7 billion in gross gaming revenue, positioning Brazil as one of the most lucrative newly regulated jurisdictions globally.

Industry observers have largely viewed the regulatory rollout as a success. Udo Seckelmann, head of gambling and crypto at Brazilian law firm Bichara e Motta Advogados, said recently that the country’s regulatory framework has developed quickly and coherently.

“I think the market is a huge success,” Seckelmann told iGB last month. “What Brazil has done especially the past two years with all the ordinances, all the regulations, all the federal laws and all the advancements that we’ve had has been great.” A central objective of legalising online gambling was to dismantle the country’s longstanding illegal betting market by offering consumers regulated alternatives and bringing operators under government oversight.

However, critics of the proposed advertising ban warn that strict promotional limits, combined with rising taxes, could undermine that goal. President Luiz Inácio Lula da Silva approved a gradual tax increase last month that will raise gambling taxes from the original 12% rate by one percentage point each year until reaching 15% in 2028. Some industry stakeholders argue that reduced visibility for licensed operators could give unregulated platforms a competitive advantage.

 

The proposal seeks to establish clear limits on gambling advertising and prevent the exploitation of sensitive environments such as elections.

 

Part of a global trend

Brazil’s move comes amid a broader international reassessment of gambling advertising. Several countries have already enacted partial or comprehensive bans, often citing consumer protection and public health concerns.

In Canada, where single-event sports betting launched in 2022, lawmakers have repeatedly pushed to tighten advertising rules. More than 40 senators backed a proposal late last year to curb gambling promotion, and discussions remain ongoing.

European countries have gone further in many cases. Belgium introduced a near-total ban on gambling advertising in 2023, covering television, radio, newspapers and public spaces. The Netherlands has implemented similar restrictions on non-targeted advertising and is considering measures that could eliminate gambling ads altogether.

Spain imposed a strict advertising regime in 2020, largely removing gambling ads from television and banning the use of celebrities and jersey sponsorships. Italy has enforced a nationwide ban on television, radio and digital gambling advertising since 2018.

As Brazil’s Senate continues to debate the scope of its proposed restrictions, lawmakers face the challenge of balancing consumer protection goals with the realities of a newly regulated and economically significant industry. The outcome of the next legislative stage could determine how far Brazil aligns itself with the most restrictive global models—or whether it opts for a more limited approach that preserves certain forms of sponsorship and promotion.