ALSPI sends letter to Lula against the launch of Caixa's Bet lottery and warns about risks to the national lottery network.
The National Association of Lottery Agents, Banking Correspondents and Businessmen Linked to Games (ALSPI), a non-profit association that brings together businessmen linked to games, lotteries and banking correspondents, sent a letter to the President of the Republic, Luís Inácio Lula da Silva, expressing concerns about the launch of Bet da Caixa by Caixa Econômica Federal.
The document, which opposes the sale of fixed-odds betting and online games in the lottery network, was sent this Sunday (26) and presents five main points against the initiative, based on historical, social and economic aspects of the Brazilian lottery sector.
The organization, which represents lottery companies in more than 22 Brazilian states, argues that Caixa Loterias' new product could compromise the sustainability of the national lottery network. The letter was signed by the president of ALSPI, Bruno Pires Lobato.
The launch of the lottery operation for fixed-odds betting and online games by Caixa Econômica Federal, through the brands BetCaixa (bettaixa.bet.br), MegaBet (megabet.bet.br) and Xbet Caixa (xbettaixa.bet.br), is scheduled for November 26th.
History of lotteries in Brazil
The first Brazilian lottery was held in 1784 in Vila Rica (present-day Ouro Preto), Minas Gerais. The funds raised were used for the construction of public buildings, establishing from the outset a connection between lotteries and social benefits.
In 1844, Emperor Pedro II regulated the operation of lotteries through decree no. 357, of April 27. Later, in 1899, in the early years of the Republic, part of the revenue was incorporated into the Federal Budget.
A significant milestone occurred in 1961 when President Jânio Quadros decreed that lotteries would be operated by the public sector through the Caixa Econômica Federal (Federal Savings Bank). The following year, on September 15, 1962, the first Federal Lottery draw took place.
Since then, CAIXA has assumed responsibility for managing, operating, and marketing lottery games in the country, transferring a portion of the revenue to the Federal Government for investments in essential areas such as Health, Education, and Sports.
Economic and social impact
In 2024, Caixa Lotteries' social transfers exceeded R$ 12 billion in earmarked funds. The Brazilian lottery network currently employs approximately 70 people, who support their families and contribute to the national economy.
The lottery network has approximately 13,3 physical establishments located in strategic commercial areas. It is present in 99,5% of Brazilian municipalities and serves more than 100 million people monthly.
In addition to betting, lottery outlets function as essential banking correspondents for the population. During the pandemic, it was through this network that millions of Brazilians were able to access emergency social benefits. These outlets are also responsible for paying pensions, FGTS (Brazilian severance pay fund), and other government benefits.
ALSPI states that the banking services provided by lottery outlets are poorly remunerated, with an average fee of only R$ 1,00 per transaction. According to the association, revenue from games is essential for maintaining this banking service.
In recent years, following the introduction of Bets to the Brazilian market, the lottery network has already faced a decline, with the closure of approximately 25% of jobs, representing roughly 20 jobs lost.
Concerns about new games
The organization expresses agreement with the President of the Republic's statements regarding the risks of addiction (gambling disorder) associated with betting, highlighting that the traditional Caixa Lotteries have never generated similar problems.
"The Caixa Lotteries games have existed for decades, and to this day there has never been news of anyone selling their motorcycle, car, or house to pay off 'Mega Sena' debts," the document states.
ALSPI expresses specific concern regarding the possible introduction of "Tigrinho da Caixa," preemptively stating its rejection of this type of game. The association maintains that Caixa Lotteries has always been committed to responsible gaming.
The document sent to the Presidency of the Republic and Caixa Econômica Federal concludes that the launch of Bets Caixa will represent the "final nail in the coffin" for the lottery network, compromising a system they consider vital to the financial functioning of Brazil.
ALSPI differs from the Brazilian Federation of Lottery Companies (FEBRALOT) in its level of representation and geographic scope. While FEBRALOT acts as a national federation and brings together 26 unions, ALSPI specifically represents lottery sector entrepreneurs in 22 states of the Federation.
President Lula's reaction
President Luiz Inácio Lula da Silva (PT) was irritated by the announcement that Caixa Econômica Federal will launch its own online betting platform. Lula decided to summon the bank's president, Carlos Vieira, for a meeting as soon as he returns from Asia to dissuade the Caixa president from launching Bet da Caixa.
According to Lula's allies, the creation of a betting company by a federal public bank goes against the critical discourse that the government has adopted regarding sports betting. For the president's aides, the initiative weakens the government's discourse on tax justice and the taxation of BBBs (billionaires, banks, and betting companies).
In an interview, the president of Caixa stated that Caixa's betting operation should be operational by the end of November and that the bank projects to raise up to R$ 2,5 billion next year with the operation.
A potential suspension of Caixa's Bet platform could create a financial problem for the bank. In December 2024, Caixa hired Playtech – VS Technolog as an integrated provider for the development and technical support of its sports betting solution. According to sources, the penalty for breaking the contract represents the total value of the operation for five years, which would mean several million less for the state-owned bank's coffers.
The Lula government has insisted on the need to increase tax rates on betting companies and has decided to send a proposal back to Congress that expands taxation on betting and fintech companies. Surveys conducted by the government show a high level of public rejection of gambling and a consensus that addiction generates public health problems.
Official letter from ALSPI to President Lula
