Zona de Azar Brazil – Brazil: Licensed Betting Sites Remove Welcome Bonuses
Brazil.- November 26, 2024. www.zonadeazar.com Some online betting sites, pre-approved by the Ministry of Finance, are no longer offering welcome bonuses to users.
The measure is outlined in the Betting Law, signed into law late last year by President Luiz Inácio Lula da Silva.
The sites reviewed—EstrelaBet, bet365, Sportingbet, Rei do Pitaco, Galera.bet, Esportes da Sorte, and Betano—comply with Brazilian legislation and have been authorized to operate in the country until the end of this year.
The early enforcement of betting regulations in the country has led serious companies to implement changes, including removing welcome bonuses. To comply with Brazilian laws, pre-licensed companies have withdrawn offers designed to attract new players through digital platforms.
However, the sites still offer other promotions to registered users, such as first deposit bonuses, boosted odds, and even game tournaments with various prizes.
What are welcome bonuses?
Bonuses and offers are part of the ecosystem of online betting and gaming in most international markets. It’s common to find platforms with a wide variety of promotions for both new and experienced players.
They are used to attract and retain customers, such as welcome bonuses and other typical offers found on betting sites. Popular promotions include cashback rewards, cash bonuses, free spins, free bets, and VIP programs.
However, in Brazil, Article 29 of Law No. 14.790/23 prohibits operators from offering, in any form, advances, bonuses, or prior benefits, even as a mere promotion, advertisement, or publicity for betting purposes.
Industry experts have warned that banning welcome bonuses could drive bettors to the parallel market.
Additionally, the National Consumer Secretariat (SENACON), linked to the Ministry of Justice and Public Security (MJSP), issued Dispatch No. 2.344/24 on Tuesday, the 19th, ordering the suspension of bonus advertising in Brazil’s betting market.
The document also reinforced a recent decision by Minister Luiz Fux, prohibiting advertising campaigns by betting companies targeting children and adolescents. The measure was supported by the Brazilian Institute for Responsible Gaming (IBJR) and the Supreme Federal Court (STF).
Next steps
Online betting is now regulated in Brazil, although the regulated market officially begins in January 2025. Companies must already comply with legal requirements to operate in the country.
This week, the Secretariat of Prizes and Bets (SPA) of the Ministry of Finance began notifying approved operators who must pay the R$ 30 million license fee within 30 days.
Rei do Pitaco celebrated the license approval on its social media.
“Our main focus is on product excellence. We believe the best way to attract and retain players is by offering a high-quality, innovative experience tailored to the needs of the Brazilian audience. This doesn’t mean we’ll abandon marketing initiatives, but our investments will be balanced and always aligned with current regulations,” said Rafael Marchetti Marcondes, Legal Director at Rei do Pitaco, exclusively to SBC Notícias Brazil.
SBC and the Brazilian betting market
On December 11, before the betting regulations officially take effect, SBC has organized an online event to discuss the national market.
The SBC Digital – Brazil will address topics related to sports betting, land-based casinos, Know Your Client (KYC) policies, fraud prevention, advertising, and other industry-relevant issues.
Confirmed participants include Hugo Baungartner, Commercial Director at Grupo Aposta Ganha; Alex Fonseca, CEO of Superbet; and Leandro Pamplona, founder and partner of Bonetti, Krugen & Pamplona Advogados Associados, among others.
Hundreds of renowned professionals will also attend the SBC Summit Rio 2025, scheduled from February 25 to 27 at Riocentro, Rio de Janeiro, to discuss the future of the industry in Brazil.
Tickets are available here. Operators and affiliates can request them for free.
Edited by: @_fonta www.zonadeazar.com
