Brazil: Ministry maps Fintechs to dry up Illegal Betting flow
Brazil.– September 16, 2025 – www.zonadeazar.com Brazil’s Finance Ministry builds tracing system to identify banks and fintechs servicing unauthorized bets.
Overview
Regis Dudena, Secretary for Prizes and Bets at Brazil’s Ministry of Finance, disclosed that the government is mapping out banks and fintechs which provide services to illegal betting operations. The goal is to “dry up” the financial flow that sustains them, particularly targeting intermediary accounts known as “contas-bolsão” or “contas-ônibus,” used to hide or mix legal and illicit operations.
Details / Context
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Between 300 and 400 intermediary accounts have been identified so far, mostly inside small payment institutions (fintechs) that do not currently require direct oversight by the Central Bank.
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The SPA is acting on three fronts:
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suppressing illegal betting site advertising,
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taking down / blocking those sites,
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cutting off their financial supply by targeting the service providers who enable the money flow.
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In the first half of 2025, about 18,000 illegal betting sites were shut down by the SPA. During that process, key financial intermediaries, and the accounts used by those intermediaries, were identified.
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The deadline for small fintechs to register or obtain Central Bank authorization — previously December 2029 — has been moved up to May 2026 due to concerns about organized crime involvement and cybersecurity threats.
Economic & Institutional Impact
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Cutting off financial flows weakens the illegal operators’ capacity, since they depend on service providers and accounts to handle transactions. Without these, their ability to function is severely restricted.
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Payment institutions and fintechs will have to adopt monitoring and detection mechanisms, report suspicious activity to SPA, and shut down accounts when irregularities are found.
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There is a tax dimension: intermediaries facilitating illegal operations may face accountability and sanctions under fiscal and penal rules.
Future Outlook
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Collaboration among the SPA, the Central Bank, Federal Police, and Revenue Service is expected to increase, with systemic tracing of money flows becoming a norm.
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Fintechs and payment institutions must prepare for stricter rules of compliance and oversight, adapting their processes ahead of the new regulation deadlines.
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Legal frameworks may increasingly hold both illegal operators and financial intermediaries responsible, with stronger penalties and enforcement.
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Editó: @_fonta www.zonadeazar.com