The iGaming market in Brazil: growth, regulation, and new opportunities
In recent years, Brazil has become one of the most promising markets for the iGaming sector. The combination of a sports-engaged population, regulatory advances, and the popularisation of online betting has transformed the country into a key focus for operators and affiliates. But what are the factors driving this growth? And what challenges still need to be overcome? We explain this topic throughout this article, inspired by a publication from affpapa.com.
Brazil is currently the country with the highest number of active bettors in Latin America. According to research by TGM Research, the country leads the segment in the region, surpassing older and more regulated markets such as Mexico. With a population of over 214 million and a deeply rooted sports culture spanning decades, the growth potential for iGaming operators is immense.
Another factor driving this trend is digitalisation. Easy access to the internet and the popularisation of mobile gaming have made betting a success across the country. Currently, over 70% of bets in Brazil are placed via mobile devices, which requires operators to adapt their platforms to ensure an optimised experience that caters to the largest proportion of Brazilian players.
Betting regulation in Brazil
The trajectory of online betting in Brazil has undergone several changes in recent years. Until 2018, the activity was largely restricted, except for state lotteries and horse racing. With the approval of Law 13.756, the scenario began to change, allowing the operation of fixed-odds sports betting.
In recent years, new regulations have been introduced to increase control over the sector. In 2023, inspired by the British model, setting out rules for licensing and taxation. However, the high tax burden has generated criticism among international operators.
Since October 2024, the government has ordered the suspension of all betting sites without an official licence. Companies wishing to operate in Brazil must obtain a licence from the Ministry of Finance, ensuring compliance with new rules, such as:
- Advance payment of a licensing fee (30 million reais);
- Taxation on gross revenue of companies;
- Implementation of advanced technology for identity validation;
The new law’s rules aim to ensure a safer and more transparent betting environment for players while increasing government revenue.
The role of affiliates in the growth of iGaming in Brazil
Affiliate marketing has proven to be one of the most effective strategies for driving traffic to betting sites in Brazil. This model allows affiliates to direct qualified players to platforms, significantly increasing conversion rates. Moreover, the commission system—whether CPA, RevShare, or hybrid—will enable operators to pay only for results, reducing risks and increasing user acquisition efficiency.
The main benefits of affiliate marketing include:
- Greater reach and audience segmentation;
- Reduced operational costs for customer acquisition;
- Partnerships with experts in qualified traffic.
The role of influencers in Brazilian iGaming
With the rise of iGaming in Brazil, digital influencers have become key players in the market’s expansion. Public figures, such as former players, eSports streamers, and specialised content creators, play an essential role in converting new players and building trust between bettors and platforms.
Influencers add value to the sector through:
- Credibility: Bettors trust recommendations from personalities they follow regularly more than traditional TV adverts, for example.
- Engagement: Direct interaction with followers creates a more dynamic and trustworthy environment for promoting betting platforms.
- Segmentation: Different influencer profiles reach specific niches, from football fans to those more interested in casino games and eSports.
Many influencers also produce educational content about responsible gambling, betting strategies, and match analysis, a topic that has been in high demand since the gaming “boom.” Strategic partnerships between operators and influencers have become one of the most effective ways to attract and retain players in Brazil.
Who are Brazilian bettors?
Understanding the profile of Brazilian bettors is essential for operators looking to grow in the market. According to recent research:
- The audience is balanced between men and women, with a slight female majority (51%);
- The average age of bettors is 39 years;
- Most belong to the middle or lower-middle class;
- The main markets are São Paulo (24% of bettors) and Rio de Janeiro (14%).
The most popular games include lotteries, sports betting, and online casinos. In the sports betting segment, football dominates, but there is also a strong interest in basketball, MMA, eSports, and horse racing.
Opportunities and challenges for the future
The growth of the online betting market in Brazil is promising but not without challenges. Regulations require operators to quickly adapt to new rules, which may pose difficulties for some companies.
Additionally, issues such as responsible gambling and the fight against match-fixing are increasingly being debated. The government has implemented measures to prevent problems related to gambling addiction and sports integrity, with new laws providing severe penalties for fraud and illegal betting.
On the other hand, the revenue potential is enormous. Brazil is already one of the largest iGaming markets in the world, and its regulatory consolidation could attract even more international investment. Despite the challenges, those who know how to navigate this environment will be able to reap the rewards of one of the most promising markets in the world.
This article was first published in Portuguese on 27 March 2025.
