The Ministry of Finance aims to emphasize the need for betting companies to share the algorithms used in games. Transparency is crucial to prevent consumers from being deceived by biased data and directed towards losses.
"We are talking about holding the operating companies and platforms (social networks) accountable, whether it's advertising or organic posts (without promotion," says José Francisco Manssur, special advisor to the Ministry of Finance.
"We will not allow disguised advertising. Advertising will have to be specified. And we will penalize influencers who do not adhere to the rules and cause harm to people."
Advertisement Identification
In collaboration with the Brazilian National Council for Self-Regulation in Advertising (Conar), the government has established a series of rules that will be included in this decree. One of them is the principle of advertising identification: influencers must make it clear that the post is an advertisement.
Another principle will be the truthfulness of information, prohibiting the promise of guaranteed earnings. The participation of children and adolescents in ads will also be prohibited, as well as ads targeted at them.
Finally, the advertisement must carry the message: "Play responsibly." The presentation format of the message, whether written or spoken, should also be specified in upcoming regulations.
"Advertising identification is an old principle. But in traditional media, there was a clear separation of commercial breaks. With influencers, there was a fusion of content, editorial, and advertising. It was a disruption of the system. Content production became quite diffuse and voluminous. First, the influencer has to make it clear that it's an ad. That's why labeling like #advertisement, #paidpartnership is necessary," explains Conar President Sergio Pompilio.
Authorization Requests
The Ministry of Finance is working to open, in February, the period for online betting companies to request authorization to operate in Brazil, as stipulated by the law passed at the end of last year. Companies and bettors will have to pay taxes in Brazil, with the revenue going to areas such as health and public safety.
Games like "aviãozinho" and "tigrinho" will not be regulated as they do not fit into fixed-odds betting (where the prize amount is known in case of a winning bet). Games of chance remain prohibited in Brazil.
Distrusting illegal financial promises is the main recommendation of experts. Another instruction, in the case of links leading to websites, is to check the browser bar. The first sign of fraud is when the initials "http" are not accompanied by the letter "s". That is, it should appear as https, an indicator of security that always includes the padlock symbol.
"Influencers incorrectly talking about easy and guaranteed income are not the goal of games. The goal is entertainment. The more comprehensive the regulation, the better," evaluates Leonardo Baptista, CEO of Pay4Fun, a payment institution operating in the betting segment.
Source: O Globo
