According to the president of the Brazilian Sports Betting Association (ABAESP), Rodrigo Alves, the Brazilian market is going through a moment of delight with the regulation of sports betting. For the director, there was a big mistake when the activity was legalized, in 2018, in equating the activity with a lottery.
“It is its own category of gaming and has countless probabilities for bettors to evaluate. The activity should be treated on an individual basis to guarantee a promising future for the segment in Brazil,” he stated.
Alves reported that the activity has existed in Brazil for more than 15 years, although it was only legalized in 2018 with the enactment of Law 13,756. “Today we are an ecosystem with millions of bettors and we are very concerned about the way the activity is being treated.”
According to the director, since the creation of ABAESP in 1019, the entity has been discussing the topic with members of the government and the National Congress to show the mistakes adopted in the legalization of the activity.
“In 2015, we monitored the regulation of the sector in Portugal and many mistakes made at the time led Portuguese bettors to seek out the illegal market,” he highlighted, indicating that Brazil runs the same risk.
“Bill 3,626/2023, sent by the Chamber of Deputies to the Senate, as it stands, is very negative for us as consumers and even for operators.” According to him, there are several examples to be examined abroad so that Brazil can have a healthy activity.
“Taxing the operator at 18% on the GGR, which will exceed 35% with other taxes, in addition to the operating period of just three years with a grant of R$30 million, makes the operation very costly and risky,” he stated.
“Certainly, large global players will apply for a grant, but as the regulations stand, the project will remove smaller operators and those just starting their activities in Brazil from the market,” he assured.
Furthermore, the 30% taxation of bettors is very harmful, according to the director of ABAESP. “When the bettor sees that he will have a 30% reduction in his earnings above the level defined by law, he will be able to migrate to the gray market,” he said, highlighting that the review of this could guarantee a good channel for the country's regulated sector.
Another concern highlighted by Rodrigo Alves is regarding the CPI report presented this Tuesday (19) night. “The inclusion of casino games in the same project was also a mistake. We support all gaming verticals, but online casino also does not fit into the fixed-odd betting mode,” he said.
The report also deals with limiting bets to the final result and total goals in a match “and this is horrible since all other markets to bet on would be prohibited.”
Alves defends well-done federal regulation, “since we see even municipal lotteries wanting to offer sports betting. The Union needs to offer an alternative that guarantees channeling to the regulated market throughout Brazil,” he concluded.
Source: GMB
