Illegal betting operations in Brazil cost less than R$1 to set up and are proliferating.
Setting up a website that offers it can cost less than R$1. This disproportion summarizes the business model of illegal online betting platforms in Brazil, investigated by Agência Pública : cheap digital structures, easy to replicate and almost impossible to permanently eliminate. The survey shows that the cost of entry into this criminal market is so low that law enforcement cannot keep up with the rate of proliferation.
The cost of setting up an illegal bet
Felix Elmada, an expert with 12 years of experience in the iGaming market and founder of BetFiscal, calculated the minimum amount needed to launch an illegal platform: less than R$1 in total. The components are:
⇒ Script (code that runs the platform): approximately R$ 300;
⇒ Gaming API, which allows you to manipulate results: between R$300 and R$350;
⇒ Internet domain: around R$ 100;
⇒ Hosting on a virtual private server (VPS): approximately R$ 120 per month;
⇒ Payment gateway integration: usually free, with a fee deducted per transaction.
Pública identified scripts being offered for R$9,90 and even for free in piracy groups on WhatsApp and Telegram. The contrast with regulated platforms is striking: systems ready for licensed operators cost between 25 and 50 dollars, according to quotes obtained by the publication itself. The suppliers are based in countries such as Malta, Curaçao, and Switzerland.
Bruno, a 33-year-old designer from São Paulo who preferred not to be identified, experienced this world in 2024. He joined a partnership spending only R$100 on a domain name, created the logo, and advertised it by paying $200 for ads on adult websites. The platform's code cost R$40, paid by another partner with funds reimbursed from initial revenue. In the first few weeks, the operation had already yielded around R$10. Three months later, Bruno left the business for fear of criminal charges. "Regarding the cost, I think it's free. Considering the potential return, it's very cheap," he stated.
Ridiculous games and hidden payments
In addition to the low cost of entry, illegal platforms operate with structural advantages that regulated ones do not have. They do not pay taxes, do not undergo audits, have no legal obligation to pay prizes, and frequently manipulate the results of the games.
Licensed platforms are required to maintain an auditable return to player (RTP) rate. Sites authorized by the Securities and Exchange Commission (SPA) must return at least 85% of the wagered amount in prizes. Illegal operators use APIs to clone and falsify games, controlling how much will be distributed. These tools also circulate in online forums, some for free, according to Elmada.
To receive bets, irregular platforms resort to payment intermediaries not accredited by the Central Bank (BC), which makes it difficult to trace the funds. A survey by BetFiscal of 358 irregular platforms identified 13 intermediaries that alternated between them.
The machinery of illegal disclosure
The investigation by Agência Pública details how these platforms reach bettors. In March 2025, the Civil Police of Ceará arrested a group of digital influencers who promoted clandestine betting websites. Their profiles had thousands of followers on Instagram and were paid to promote games like Fortune Tiger, aware of the platforms' illegality.
The scheme used at least three methods to deceive followers. Dialogues between Victória Haparecida de Oliveira and Milena Peixoto, two of the influencers under investigation, reveal promises of Pix giveaways for those who accessed the platforms through the links provided. The giveaways either did not take place or were accompanied by fake receipts. WhatsApp groups distributed supposed "tips" with times when the "tiger game" would "release the card," as if there were scheduled moments to distribute profits. The main tactic was pre-configured "demo" accounts to display fictitious winnings during live streams, inaccessible to the general public.
At their peak, some influencers earned up to R$15 per week per platform promoted. Victória Oliveira attracted nearly 3 depositors on a single website; considering the minimum deposit of R$20, the potential revenue of this platform reached approximately R$60. One of the accused stated that he promoted more than 100 platforms in nine months. The money funded trips to Dubai, real estate, and cars worth up to R$500, flaunted on social media.
The 13 individuals involved were charged with organized crime, fraud, crimes against the public economy, and illegal gambling. Seven also face charges of money laundering. Some are under house arrest; others are on probation with electronic monitoring and a ban on using Instagram and WhatsApp, although their profiles remain active. The charges were accepted by the Ceará state court in May 2025 and are still awaiting trial.
Why can't the authorities handle it?
The Brazilian Federal Court of Accounts (TCU) concluded, in an audit made public this Thursday (May 19), that the capacity of the responsible bodies “has fallen short of the speed at which they operate.” The document points to a lack of institutional coordination and states that the SPA-MF presents “structural deficiencies that substantially compromise the effectiveness of the oversight system.”
The dynamics of the platforms explain part of the difficulty. As soon as a site is taken down, the operator can relaunch it with another domain in a matter of hours. On average, the sites in the Ceará scheme were replaced every three days. In partnership with SPA, the National Telecommunications Agency (Anatel) has already taken down 44 illegal sites. Anatel acknowledges the endless nature of the task; "The digital environment presents a high level of dynamism, with the possibility of frequent creation of new domains and technological mechanisms to circumvent access restrictions."
The head of SPA-MF, Daniele Cardoso, attributed part of the proliferation to the regulatory vacuum between the legalization of betting by the Temer government and its regulation by the Lula government. She stated that the agency “has made significant progress on this front in recent months” and disputed the TCU's data that 40% of the market is controlled by illegal operators. According to H2 Gambling Capital, cited by the secretariat, 72% of Brazilian bets are placed through legalized platforms. “For us, this is a very important and encouraging figure, considering that we are talking about a year and five months of a regulated market,” declared Cardoso.
On Thursday (June 19), President Luiz Inácio Lula da Silva signed a decree that provides for the blocking of funds from illegal betting by financial institutions. Days earlier, the Central Bank had announced that it would begin tracking bettors who made deposits on unauthorized platforms and the companies that intermediate these payments. Financial institutions have until December 1st to implement the measure.
For José Francisco Manssur, former special advisor to the Executive Secretariat of the Ministry of Finance and one of the architects of the law that regulated betting, the central point lies in the means of payment. “The Central Bank has to be constantly saying, 'look, if you make a transaction for an illegal company, we will revoke the authorization. You won't be able to make any kind of transaction, neither for betting nor for anything else',” he stated. Manssur also advocates for a ban on advertising and contracts with illegal betting companies in the country.
Lawyer Pierpaolo Bottini, a professor of criminal law at USP (University of São Paulo) and specialist in financial crimes, points to two structural bottlenecks: lax rules for payment intermediaries, which operate in a legal limbo and manage to mask illegal transactions, and the lack of systematic communication between the Ministry of Finance, the Central Bank, and the Federal Revenue Service. "The digital environment doesn't require a physical structure, it doesn't require employees or real estate, so it's very easy to pass yourself off as a legal institution," he said. According to him, without this regulatory advancement, the environment will continue to be "the world of crime."
A study by the Locomotiva Institute from early 2025 showed that 78% of people who gamble online have difficulty distinguishing legal platforms from illegal ones, fueling the cycle. Illegal platforms copy the names, colors, and games of licensed ones to appear legitimate. While law enforcement chases after domains that multiply faster than they can be blocked, Bruno unintentionally summarizes what makes this market so resilient; given the potential return, the cost of entry is, in his words, very cheap.
