Also according to the report, transactions of up to R$20 (US$3.70) accounted for 47% of total volume, indicating a pattern of recurring bettors even with relatively low amounts. The frequency of these bets reinforces the importance of secure payment methods, particularly in a scenario of increasing fraud.
According to the State of Identity Verification in the iGaming Industry 2025 study, Latin America alone recorded more than 30% growth in fraud cases in betting, the highest global increase.
For João Fraga, CEO of Paag, an efficient and secure payment system is essential to retain players in such a competitive market.
“User experience is a decisive factor in player retention. In the betting market, where multiple options are available, any difficulty in registration, deposit, withdrawal, or navigation can cause the player to abandon the platform.”
The need for more security is evidenced by the betting revenue volume, which reached R$4.73 billion (US$870m) between January and July 2025, according to Brazil’s Federal Revenue Service. Even with significant amounts — R$814 million (US$150m) in May alone — 78% of bettors still struggle to differentiate between legal and illegal sites, according to a survey by LCA Consultores in partnership with the Brazilian Institute of Responsible Gaming (IBJR). This leaves players vulnerable to fraud and, consequently, financial losses.
“Financial transaction security is a fundamental component for the development of a reliable and efficient payment system, especially with the growth of platforms such as Pix. Therefore, it is inevitable to commit to investing in protection technologies that create solutions and effectively monitor regulatory compliance,” says the Paag CEO.
Fraga notes that payment security is one of the pillars for ensuring that sports betting remains a trustworthy activity. To achieve this, he emphasizes the importance of Know Your Customer (KYC) measures, a process that involves verifying user identity and assessing risks even before establishing the customer relationship.
This precaution allows companies to anticipate and block potential fraudulent actions, strengthening transaction integrity.
Another essential aspect is Anti-Money Laundering (AML), a mechanism adopted by financial institutions to prevent the circulation of illicit funds. Paag, for instance, implemented this feature in April 2025 and has already processed more than 130 million transactions validated by the Central Bank of Brazil (Bacen).
In a rapidly expanding market, combining robust security practices is not only a regulatory requirement but also an indispensable strategy to ensure the sustainability and credibility of sports betting in Brazil’s digital environment.
“If the player finds a fluid and reliable process, the chances of them continuing to bet increase significantly. Speed, security, and efficient support are essential to ensure this experience,” concludes the specialist.
Source: GMB
