Brasil Betting News

Regulation and responsible gaming

Betting regulation is essential for responsible gaming in the country

Updated : 4 Jun 2024

Written by :

Rafael Avila

Psychologist specialized in Responsible Gaming

Brazil is moving towards implementing the new law that regulates sports betting and iGaming games in the country, through the already approved Law 14,790/23 .

As it is a sector that still suffers from great prejudice on the part of society, there is much talk about the results of possible regulation and, consequently, care for users and the prevention of gambling addiction, as addiction to betting and games of chance is called.

Regulation is a way to protect users and consumers by regulating advertising and imposing rules and guidelines that must be followed by everyone involved in the industry, such as operators, intermediaries, users and promoters.

In an unregulated market, the rules of the game are determined by the operators themselves, which can lead to the emergence of clandestine betting houses, in bad faith or that use illusory marketing, selling their product as an alternative source of income, and not as entertainment.

A regulated practice

With the clearer definition of the rules, the Government takes on the responsibility of legislating and dictating the direction of the sector, generating more transparency and protection for consumers, making the activity more predictable and standardized, encouraging the presence of large and committed companies.

Furthermore, the regulation imposes an obligation on operators to share data obtained from the exploration of the sector, which can be used as a source of scientific research and the creation of public policies to prevent addiction and promote health for gamblers, and may also create monitoring and punishment mechanisms for companies that do not respect the standards created.

It is also important to point out that, in a regulated market, user data is protected by the General Personal Data Protection Law (LGPD), bringing more privacy, respect and security to users.

Through well-designed regulations, with the appreciation of the user as a human being, the application of Responsible Gaming guidelines and practices ceases to be an optional attitude, with its actions guided by the interests of the company, becoming a mandatory attitude for all companies that want to have a share in the regular market.

Responsible Gaming in Brazilian regulation

Law 14,790/23 ( L14790 (planalto.gov.br) ) provides for the need to prove that the operator adopts responsible gaming procedures and prevention of pathological gambling disorders; the obligation for operators to develop ways to identify damages associated with gambling, observing the gambler’s spending patterns, time playing, indicators of gaming behavior and the use of management tools, which include the time limitation feature.

In a survey carried out by Aposta Legal Brasil, among the 10 main houses operating in the Brazilian market, none offer all the tools indicated for the promotion of Responsible Gaming , a situation that would be different with the mandatory presence of these tools for consumer protection in a regulated market.

The danger of clandestine houses

Knowing the profile of the Brazilian player, we can also see how the lack of regulation may be placing people on clandestine platforms, which do not usually offer any tools or information on responsible gaming.

A survey carried out by Aposta Legal Brasil showed that only 43% of the players interviewed seek to use safe and reliable platforms when betting, contributing to and facilitating contact with clandestine platforms that may be acting in bad faith.

One of the biggest problems faced by users is how to identify the suitability of a platform, being bombarded by different platforms every day.

The massive presence of unregulated houses encourages the black market, with the emergence of platforms without registration, without responsible gaming mechanisms and which, often, do not even intend to pay their users.

“ Data from Aposta Legal Brasil shows that 12% of participants reported having been victims of clandestine websites and, as a result, suffered a scam. ”

Rafael Avila

Psychologist specialized in Responsible Gaming

The regulation makes it easier for consumers to identify serious platforms that are committed to the rules and Responsible Gaming, knowing that they will have the mandatory tools set out in the Law at their disposal.

Betting regulation is a fundamental part of the process of raising awareness among users and transparency in the sector, providing safe and secure gaming.

By defining standardized guidelines and rules, regulation brings equity to the sector and protection to consumers, in addition to creating a monitoring system where companies that do not respect expected practices can be held accountable.