JUE 25 DE ABRIL DE 2024 - 10:29hs.
Article on Maureen Flores’ blog

Brazilian media giant O Globo calls again for advances in gaming legalization

In her new article 'Gaming and the Myth of the Cave,' published in O Globo’s blog 'Sport and Innovation”, Maureen Flores, PhD in Public Policies at UFRJ, reveals the inertia of Brazil's gaming legislation by comparing with developments in laws in countries such as the US that will also help in the growth of sports. Fortunately, the newspaper says its new stance is in favor of legalized gambling.

Check out the article "Gaming and the Myth of the Cave", published by the doctor in Public Policies by UFRJ, Maureen Flores, published on the O Globo website:

In 1949, the State of Nevada in the United States legalized the gambling activity. In the 1960s and 1970s, Congress passed several laws prohibiting sports betting on American soil. Even so, the population continued to illegally feed organized crime. In 1992, in another attempt, tougher laws were passed. Nothing worked. The population continued to play illegally. This year, in May, Supreme Court justices finally released sports bettings. Several states have already joined the legalization. What is the impact of betting on sports?

Some leagues claim that betting will increase spending to ensure the integrity of the sport (avoid games arranged for example) and therefore should receive an Integrity Rate of 1% over the estimated total gross bets of 100 billions dollars. The counter proposal is about the same percentage on net revenue, that is, the difference between bets and premiums paid; well below 100 billion, but still significant. The leagues are unanimous in one argument: you spend a lot of money to set up a season, so the requested percentage would be "a royalty" for profitable use of the championship by a third party. The strongest voices in this position are: the hockey leagues, American football and NBA; only the latter spends US$ 7.5 billion to set up a season.

The information above, taken from the PWC report, puts Brazil at the bottom of Plato's cave with regard to the negotiations for the release of gaming. In 1967, the legislation provided that only the Union would be competent to operate lottery games, but guaranteed the legality of 14 pre-existing state lotteries. Time and technology have been tasked with deepening the obsolescence of our regulatory framework. In this confusing environment, the integrity of Brazilian sport is threatened by canceled games and unpaid prizes. Meanwhile, international sites operate freely in Brazil, without taxation, control or monitoring.

Last October, lawyer Pedro Trengrouse was invited to lecture in the Senate on the subject. I sincerely hope that professionals like him can help throw light into the cave.

Source: GMB/ O Globo