Brazil’s gambling boom meets regulatory reality as Vixio enhances infosec compliance
Brazil’s online gambling market is on the rise, with forecasts suggesting it could hit $6.3 billion (€5.79 billion) by 2028. As the market expands, so do regulatory pressures, especially around information security. Failing to meet compliance standards could mean hefty fines or losing the right to operate—operators can’t afford to slip up. Brazil has attempted to combat the illegal online gambling market by intensifying regulation, increasing oversight, and blocking websites not allowed to operate within the country.
The Brazilian battlefield: A compliance minefield
“Brazil is not for beginners,” warns James Kilsby, Chief Analyst at Vixio. James recently spoke to SiGMA News for an exclusive three-part series about global regulatory insights. Vixio’s Brazil Online Gambling Playbook outlines key challenges for operators:
- Evolving regulations – The Secretariat for Prizes and Betting (SPA) continuously refines licensing and enforcement policies.
- Political pressures – Congress and other bodies could introduce stricter advertising rules and increased taxes.
- Unlicensed competition – Illegal offshore sites remain a major threat to regulated operators.
- Tax uncertainties – A proposed “sin” tax and potential backdated tax liabilities could impact financial planning.
- Blurred oversight – Multiple regulatory bodies, including Senacon (consumer protection) and the Ministry of Health, influence gambling regulations.
Infosec takes centre stage
Cybersecurity is high on Brazil’s agenda. Without proper protection, operators may face serious penalties or even be shut out. Operators need airtight protection for their platforms and third-party systems to stay in the game.
That’s where comes in. Already the first of its kind, this one-stop solution now integrates 80 different infosec requirements across 24+ regulated markets, including Brazil.
The Technical Compliance Tool gives gambling operators and suppliers a clear roadmap to:
- Compare information security requirements across multiple regulated markets, spotting common ground and jurisdictional differences.
- Map out multi-jurisdictional compliance strategies, identifying audit and certification costs.
- Understanding global security standards like ISO, PCI-DSS, and NIST underpins Brazil’s infosec framework.
- Evaluate security requirements for third-party platform integrations.
- Analyse key data security protocols, including backup, recovery, remote access, and system change management.
Expert insight
As regulatory demands grow, so does the complexity of compliance. James Kilsby sees technical compliance as a diverse and increasingly complex challenge.
“We are very proud to expand our product to support operators and suppliers as they position themselves to meet critical infosec compliance requirements on a multi-jurisdictional basis.”
For Roger Cowin, Technical Compliance Specialist at Vixio, understanding infosec rules isn’t just about compliance—it’s a financial decision, too.
“For operators and suppliers alike, not only is fully understanding these often diverging information security requirements across multiple jurisdictions fundamental from a compliance perspective, but it is also a critical part of evaluating new market entry due to the upfront and ongoing costs involved in meeting specific rules related to testing, assessments, audits and certification.”
Brazil-specific compliance: What operators need to know
The Technical Compliance Tool is built to help operators stay ahead of Brazil’s unique infosec demands, which include:
- Stronger enforcement: The SPA is stepping up its fight against illegal offshore operators and may soon target financial transactions linked to these sites.
- Supplier scrutiny: Plans are underway for new supplier regulations, including an approval system.
- Welfare restrictions: The Federal Supreme Court has ordered a ban on using welfare funds for online gambling.
Luiz Felipe Maia, Founding Partner of MAIA YOSHIYASU Advogados, a leading expert in regulatory law for the sector, spoke to SiGMA News recently. Maia has closely followed the complexities of Brazil’s regulatory environment and the direct impact of new regulations on market competitiveness, legal security, and investment attractiveness.
Brazil’s gambling market is expanding fast, and this comes with a price. Compliance isn’t optional. As regulations tighten, only those who stay ahead will thrive.
