Betano: Betting bill compromises legal security and R$ 10 billion in revenue.
In a public statement released this Friday (October 2nd), Betano declared that it fully complies with the provisions of Provisional Measure 1.394/2026, published on September 25th, but strongly criticized the measure, classifying it as a disruption in the process of consolidating the regulated online betting market in Brazil.
The company stated that the provisional measure jeopardizes achievements built over the last two years: the implementation of self-exclusion, the creation of betting limits, and the protection of beneficiaries of the Bolsa Família program. According to Betano, these measures were only possible thanks to the regulation of the sector, and any setback would put them at risk.
The thesis of prohibition as a risk
The central argument of the statement is that prohibition is not the same as protection. According to the company, banning online betting does not eliminate demand, but redirects it to clandestine operators who operate outside the reach of Brazilian regulation and do not offer the same guarantees to consumers. Furthermore, these illegal agents do not contribute to the sector's tax revenue, estimated at nearly R$ 10 billion.
Betano argues that the economic impacts of the measure go beyond the betting companies directly affected. The sector supports an ecosystem of small and medium-sized enterprises in areas such as technology, telecommunications, media, services, education, and the entire sports-related supply chain. According to the company, the tax revenue generated also finances areas such as health, tourism, and public safety.
Suspension of initiatives and next steps
In the immediate future, the company announced that it will prioritize retaining its employees and fulfilling its existing social investment commitments. Other initiatives that depend on the continuity of regulated activity will be suspended in compliance with the new legal reality, until there is clarity regarding the regulatory landscape, according to the statement.
Betano stated its belief in the justice system, Brazilian institutions, and dialogue, and expressed its expectation that, during the Congressional review of the Provisional Measure, its impacts will be assessed in a comprehensive and responsible manner. The company requested that a solution be found that preserves the advances in regulation, strengthens consumer protection, and combats the illegal market.
What remains open is precisely the legislative outcome of Provisional Measure 1.394/2026. While Congress has not yet made a decision, companies like Betano operate in a regulatory limbo that, according to the operator itself, compromises long-term investments and the legal certainty that the sector has built up over the last few years.
Public Notice | Betano
Since the publication of Provisional Measure 1.394/2026 on September 25.09th, Betano has been fully complying with the established regulations, as it always does in all markets in which it operates.
However, we believe that this measure represents an abrupt interruption in the path of building and evolving the regulated online betting market in Brazil and jeopardizes important advances made in recent years, especially in consumer protection, combating the illegal market, generating tax revenue for the country, and providing the legal security necessary for long-term investments.
Banning is not the same as protecting. Rules, enforcement, and education are the answer.
Brazil has taken important steps in the last two years, implementing self-exclusion, betting limits, and protection for beneficiaries of the Bolsa Família program, thanks to market regulation. By incorporating the lessons learned from this period and maintaining an ongoing dialogue, the country can build on this progress and further improve its tools.
The ban does not eliminate demand. It shifts consumers to illegal operators who do not comply with Brazilian regulations, do not offer the same consumer protections, and do not contribute to the nearly R$10 billion in revenue.
The consequences for the economy go far beyond the impact on betting companies. They affect a complex ecosystem with small and medium-sized enterprises in the areas of technology, telecommunications, media, services, education, as well as the entire chain linked to sports. The tax revenues generated by the regulated sector have also contributed to various areas of Brazilian society, including health, tourism, and public safety.
Betano believes in justice, in Brazilian institutions, and in dialogue.
We hope that, during the analysis of the Provisional Measure, its impacts will be considered in a broad and responsible manner, and that a solution will be found that preserves the progress achieved with the regulation, strengthens consumer protection, and effectively combats the illegal market.
Right now, our priority will be to retain our employees and fully meet the commitments already made regarding our social investments.
Other initiatives that depend on the continuity of regulated activity will unfortunately need to be suspended in compliance with the new legal reality, until there is clarity on the regulatory landscape.
We thank our customers, employees, suppliers, partners, and everyone who has participated in building this industry so far.
We remain committed to Brazil and to building a responsible, regulated, and safe market.
