JUE 28 DE MARZO DE 2024 - 21:55hs.
Opinion of journalist Thiago Nogueira

Legalization of sports betting will bring billions to Brazil

In his new article in O Tempo newspaper, from Belo Horizonte, journalist Thiago Nogueira explains the ways of legalizing sports betting in Brazil by talking about the market, the sponsorships of football clubs from websites, the care with manipulation of results and the expectation that the activity moves US$ 1.57 billion in the country.

The then president Michel Temer sanctioned, at the end of last year, the Law 13.756 / 2018, that created the modality of sports betting in the Brazilian territory. Now, it is necessary to wait for the regulation by the Ministry of Economy, headed by Paulo Guedes. The body will have two years, extendable by two others, to establish rules for authorization of concession operators, but it is already believed that the criteria can be defined by the end of this year. It is a market that must move US$ 1.57 billion in the country.

The government's interest in legalizing betting is simple and clear: raising tax revenues. Currently, only foreign websites, such as SportingBet and Bet365, can play here. They have headquarters in other countries and do not leave a penny in Brazil. The law stipulated that 2.5% of the collection should be sent to the National Public Security Fund (FNSP) when they are made by physical means and 1% if carried out online.

Understanding

Sports betting are called fixed odds, when the amount that the bettor will receive is already known at the time of the bet. The modality will be exploited through competition, in physical or virtual places. Brazil already has a lot of gamblers out there, all thanks to a breach in the Criminal Offenses Act, created in the early 1940s. At that time, nobody talked about internet, and the law only prohibits betting houses hosted in Brazil.

Sponsorships

With the regulation, betting websites will be free to sponsor Brazilian football temas, something that already happens in Europe. The clubs in Brazil are already watching this new possibility. In England, Stock City and Middlesbrough are examples of teams sponsored by betting sites, selling space on their shirt. In the Spanish league, half of the teams have some benefit related to betting. Websites offering this betting modality began to popularize in the years 2000.

Segments

Sports betting is not limited to football. Horse racing and basketball are other sports that attract many players around the world. The NFL, the professional football league, has begun to allow bookmakers to sponsor teams. Last year, the United States Supreme Court voted for legalization, but with rules. You can not advertise the company explicitly, but they can offer advertising space in pre- and post-game programs.

Numbers

It is estimated that there are about 500 sports betting sites based abroad that have Brazilians as users. Some sites, even, are already in Portuguese. At the Russian World Cup, the international market handled around US$ 150 million. The Brazilian government wants to raise at least US$ 260 million with the betting tribute. Aside from resources to the security area, some of the money would be earmarked for education and sport.

Manipulation

When you have money at stake, you soon suspect manipulation. In Brazil, the most famous case is that of referee Edilson Pereira de Carvalho, who forced CBF to cancel 11 matches in 2005 whistled by him. Someone may think that bookmakers manipulate results - it may even happen - but they really need to fight so that this does not happen precisely so that gaming does not lose credibility and hence bettors.

Source: GMB/ O Tempo