Never has online entertainment been so much in evidence and, in particular, sports betting. The fun provided by these platforms attracts more and more people who are looking to have fun and relax, whether playing their favorite games or betting on their favorite team – and, why not, following their intuition.
The numbers endorse this trend. The sector projects a 71% increase in 2023, estimating revenues of around R$ 12 billion (US$ 2.45b) in Brazil, compared to R$ 7 billion (US$ 1.4b) billed in 2020. There are more than 450 sports betting houses currently operating in the country.
With these numbers, which express a strong growth in users in recent years and a great projection for 2023, high expectations are created regarding the legalization of online gambling in Brazil. This is because the non-legalization, in practice, harms companies, which run the risk of carrying out illegal operations for not having the regulations approved and moving away from possible business partnerships with international operators who are afraid of the lack of rules.
In this sense, the provisional measure (PM) issued by the government aimed at regulating the sector represents a step forward. With the main points established in relation to the accreditation and taxation of sports venues, it is expected that, very soon, the PM will be signed. With the regulation, the Ministry of Finance projects an annual collection of public coffers of R$12 billion (US$ 2.45b) to R$15 billion (US$ 3b).
In addition, adequate regulation helps to inhibit possible fraud, avoiding possible manipulations in game results, for example. With the establishment of clear operating rules on entertainment platforms, authorities can monitor and, if suspicious activities are detected, take appropriate measures, thus ensuring the legitimacy of operations.
Sports betting sites that wish to maintain operations in Brazil, as of the issuance of the provisional measure, will need to be accredited by the federal government, and meet certain requirements. The text establishes that, in addition to the company having its headquarters in Brazil, it must also have a minimum capital of R$100,000 (US$ 20,400). In addition, the payment of a grant to the Union in the amount of R$30 million (US$ 6m), for a 5-year operating license, and also certificates that prove the means of payment, as well as anti-fraud systems.
With the application of the provisional measure that regulates sports betting, within the rules of the game, the government takes an assertive step, since, in addition to correcting the lack of a policy of acting in responsible gaming, including, with the mitigation of unreliable sites, will be important resources were created for the Union to revert to improvements for the population.
Betting fraud
Faced with unusual situations, with poor betting odds given the low probability of success, some groups of malicious gamblers found a way to manipulate results in games. Recently, these enticers were negotiating cash values with some Brazilian football athletes to force atypical situations, such as forcing an expulsion, committing a penalty, having low performance, among other simulations.
The value of legal sports betting is estimated to be US$40 billion. However, the value illegally bet is estimated at US$ 340 billion and US$ 1.7 trillion annually. The information was provided by the United Nations Crime Prevention and Public Safety Unit, during the 2nd Brazilian Sports Integrity Summit, held in Brasilia.
When a bettor behaves abnormally, the betting platform that has anti-fraud monitoring is able to identify it. From this, he starts to be analyzed on the site and on the market he bet on. All of this is possible by conducting a real-time search for possible fraud in the event in question.
Any betting site can fall victim to being chosen by these recruiters. It is up to the platforms to always be alert to possible atypical and non-standard movements in secondary betting markets, such as situations on the field where the probability of success is almost zero, as in secondary sports leagues, or when there is a very high volume of bets on the team that is not favourite. In these cases, the provider can limit the amount of bets and the amount bet, thus reducing the risk of collusion between bettors.
Luis Traversa
At the age of 35, he graduated in arts and digital marketing from Instituto Universitario Bios, in Uruguay. He has been active in the iGaming industry for over 11 years. He was head of Betmotion's marketing department, since 2019 he is the company's COO.
Source: Poder360
