The International Betting Integrity Association (IBIA) celebrates the Brazilian Chamber of Deputies’ recent approval of a pivotal sports betting law. This groundbreaking legislation establishes a comprehensive regulatory and licensing framework for sports betting and online casino operators in Brazil, significantly enhancing the integrity and security of sports betting.
Central to the law is a mandate requiring sports betting operators to join an international monitoring body. This critical measure aims to fortify the betting industry against fraud and manipulation, safeguarding operators, their customers, and the sports themselves. Moreover, the legislation empowers operators to withhold payouts on bets linked to sporting events under investigation for potential corruption, a key step in deterring sports betting-related fraud.
Khalid Ali, CEO of IBIA, remarked, “This is a landmark development for Brazil’s sports betting landscape and a crucial advancement in combating match-fixing. IBIA has actively advocated for such betting integrity measures since the inception of sports betting regulation discussions in Brazil in 2018. We’re already seeing a growing number of Brazil-focused operators joining IBIA, and we eagerly anticipate further collaboration with operators dedicated to offering secure sports betting experiences in Brazil.”
IBIA operates a sophisticated monitoring and alert network, pooling resources and expertise from many top regulated sports betting companies worldwide. Monitoring roughly $150 billion in betting transactions across 650,000 global sporting events annually, IBIA stands as the world’s largest entity of its kind.
According to H2 Gambling Capital, a leading independent gambling market data authority, IBIA members constitute over 60% of Brazil’s remote gambling market. The association’s international monitoring network will deliver precise intelligence on suspicious betting activities in Brazilian sports to betting regulators, law enforcement, and sports governing bodies.
“While the new law marks a significant stride in tackling match-fixing, our efforts must remain vigilant,” stated Khalid Ali. “IBIA is committed to intensifying collaboration and sharing our expertise with Brazilian regulatory authorities, sports entities, and law enforcement to more effectively combat sports betting-related match-fixing and fraud.”
Licensed sports betting markets are essential in steering consumers away from unregulated markets, often rife with match-fixing and corruption issues. “Brazil’s move towards a regulated sports betting environment sends a powerful signal to other Latin American markets. A robust, competitive, and integrity-focused regulatory framework is vital in the battle against sports betting-related match-fixing,” Ali added.
However, IBIA also recognizes the risks of an overly stringent regulatory and tax environment, which can inadvertently push bettors towards unregulated markets, reducing tax revenue and increasing corruption and match-fixing risks. Therefore, while IBIA welcomes the Chamber of Deputies’ restraint in gambling taxation, it remains cautious about the overall tax burden and the significant licensing fee, currently set at BRL 30 million, which might inhibit investment in Brazil.