Giovani Rocco stressed that the sports betting market has only been regulated for 11 months. “It is yet another market that was authorized to operate in December 2018, through a law approved by this Chamber and the Federal Senate, which would allow fixed-odds betting in Brazil, with a provision in the original law that the government should regulate it within four years — two years, extendable for another two — and that was not done.”
“What did this lead to? The creation of more than 20,000 betting websites in Brazil, an alarming number, as this is a public service concession. The Ministry of Finance, the agency leading the regulation, has already blocked more than 23,000 illegal betting sites in Brazil. I brought this background to highlight the vulnerability faced by Brazilian consumers,” he said during a hearing in the Chamber of Deputies.
According to the secretary, in this regulatory process implemented at the beginning of President Lula’s administration, “we had the task and mission of regulating this market, which is considered the world’s second-largest betting market. Today, we are behind the United States if we combine the legal and illegal flows.”
“This lack of regulation led to the creation of countless illegal sites, consequences of unchecked betting behavior among Brazilians, and financial dependence of football clubs on sponsorships,” he pointed out.
“I could not fail to underscore this point in defense of the allocation of resources. And that Parliament must have the sensitivity to calibrate its legislative strength and capacity regarding this specific issue, which is to assist the Executive in building the structure and conditions needed to combat illegal betting operators. This situation is the result of a very long period without proper implementation, and we are now addressing it.”
“The Legislature needs to have the composure to look at the market as a whole and make the adjustments that must be made to protect consumers, Brazilians, and this economic activity,” he concluded.
Source: GMB
