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The National Consumer Secretariat (Senacon) will launch a laboratory to help identify illegal betting platforms operating in Brazil, as authorities step up efforts to combat unregulated gambling and protect consumers.
Secretary Ricardo Morishita Wada announced the initiative on April 27, which will support state and municipal consumer protection agencies (Procons) in detecting irregular operators. A technical note outlining the measure is expected in the coming days.
Cases identified by the laboratory will be referred to the Prizes and Betting Secretariat of the Ministry of Finance for enforcement action, including potential takedowns of non-compliant platforms.
“We will also work on launching a laboratory to help consumer protection agencies identify illegal bets.” Wada added that illegal activities “will require referral to the Prizes and Betting Department [of the Ministry of Finance].”
The move forms part of broader efforts to tackle illegal betting and unregulated prediction markets, including those linked to elections and cultural events.
Wada said consumers often struggle to distinguish between licensed and illegal platforms and that the government plans to expand awareness efforts, advising users to check whether betting websites end with ‘.bet.br’ to verify their legality.
“We know the need to increase clarification for the consumer. Today, there is a challenge for consumers to identify a legalized bet. When they are playing an absolutely illegal one, without any type of compliance with rules, regulations, or collection of taxes, there is no guarantee that the consumer will be playing in a system with integrity, and that they will receive their money if they win,” he said.
Officials warned that illegal operators may not comply with regulations, fail to pay taxes and do not guarantee payouts to users.
“They could be stealing your data, manipulating algorithms, opening it up to minors, and could even be linked to organized crime. So it’s an individual risk, but also a collective risk for the whole of society,” Wada said.
The government has also raised concerns about the promotion of betting as an investment, particularly by online influencers.
“The name ‘gambling’ has a reason for that; you lose more than you win, and the influencer who says it’s a form of investment, a form of income, is deceiving the consumer,” Wada added.
The laboratory is in its final adjustment phase and is expected to involve consumer protection agencies across the country.