Lula Bans Online Betting and Orders Platforms to Close on 6 October
Brazil.- 29 September 2026 | www.zonadeazar.com President Luiz Inácio Lula da Silva has signed a Provisional Measure banning the operation, offer, intermediation and advertising of fixed-odds betting in Brazil, including sports betting and online casino games.
The measure immediately freezes new betting activity and requires websites and applications to stop operating from 6 October 2026.
Immediate Freeze on New Bets
From publication of the measure, platforms can no longer accept new bets or deposits.
Customers may access their accounts during the transition period primarily to withdraw existing balances.
Withdrawals Until 5 October
Players have until 11:59 p.m. on 5 October to withdraw their remaining funds voluntarily.
Operators must keep the necessary systems available during the transition.
Websites and Apps to Close
From midnight on 6 October, betting websites and applications must become unavailable in Brazil.
Blocking measures will involve Anatel, the Brazilian Internet Steering Committee and application stores.
Automatic Balance Refunds
On 6 and 7 October, operators must provide financial institutions with individual customer balances and the bank accounts linked to deposits.
Banks will return remaining funds between 9 and 14 October.
Caixa Econômica Federal may assist where operational difficulties arise.
Advertising and Sponsorship
New betting advertising, sponsorship and commercial promotion were prohibited immediately.
Previously contracted campaigns are subject to a short transition period.
The change directly affects sports clubs, media businesses, agencies, influencers and other commercial partners.
Criminal Bill
Alongside the Provisional Measure, the Government announced a separate bill creating criminal offences involving illegal betting operations and promotion.
Proposed prison sentences could reach six years.
Unlike the Provisional Measure, the criminal legislation still requires congressional approval.
Regulated Market Since 2025
The decision brings an end to the federal regulated market that began operating fully in January 2025.
Authorised businesses had paid R$30 million for licences originally intended to run for five years.
The early termination of those authorisations is now expected to become a major dispute between Government and industry.
85 Authorised Companies
Brazil’s regulated market included 85 federally authorised businesses and around 188 approved websites.
Each authorisation could cover up to three brands or domains under the applicable rules.
Tax Impact
The sector generated approximately R$9.95 billion in federal taxes during 2025.
Between January and August 2026, revenue had already reached approximately R$9.91 billion.
The prohibition removes this specific future tax stream from the authorised betting market.
Impact on Football
Brazilian football is among the sectors most directly affected.
Betting operators had become one of the country’s largest categories of football sponsor.
Fourteen of the 20 Série A clubs carried a betting company as their principal shirt sponsor.
Commercial Contracts
The prohibition also affects contracts involving:
- Sports clubs.
- Technology suppliers.
- Game studios.
- Payment companies.
- Media businesses.
- Marketing agencies.
- Affiliates.
- Professional service providers.
The rapid transition requires existing agreements to be reassessed.
Industry Response
Trade associations had already argued against a full prohibition before publication of the measure.
They maintain that removing authorised supply may push some customers towards illegal operators that do not comply with the same regulatory safeguards.
That represents the industry’s position within the policy debate.
Potential Court Challenges
Businesses and associations are also considering legal action.
Possible disputes include paid licence fees, investments, existing contracts and the constitutionality of terminating the regulated market before the original authorisation period expires.
Congressional Process
Although the Provisional Measure has immediate legal effect, it must still be considered by Brazil’s National Congress.
Lawmakers can approve, amend or reject the text.
The long-term future of the prohibition will therefore also depend on the legislative process.
Industry Context
Brazil legalised fixed-odds sports betting in 2018 and later expanded the regulatory framework through Law 14,790/2023.
The fully authorised market began in 2025 under the supervision of the Secretariat of Prizes and Betting.
The new measure represents a substantial policy reversal less than two years later.
Next Steps or Impact
Operators and players now face an immediate transition timetable.
Customers can withdraw funds until 5 October, while betting websites and applications must become unavailable from 6 October.
The industry will also monitor congressional consideration of the measure and potential court challenges.
The decision immediately reshapes Brazil’s gaming market and opens a new debate around regulation, illegal gambling, sports sponsorship and legal certainty.
Editó: @fonta
