Secretaria de Prêmios e Apostas (SPA) — Brasil

General Information

Name: Brazil Federal Online Betting and Gaming License

Region: LATAM

Country: Brazil

Type: B2C (operators)

Regulatory Status: Regulated – market in implementation

Regulatory Framework Start: 2023 (Law 14.790) / full implementation from 2025

Official Languages: Portuguese

Regulatory Authority

Body: Secretaria de Prêmios e Apostas (SPA) – Ministry of Finance

Main Legal Framework:

• Law 13.756/2018 (creation of fixed-odds betting modality)
• Law 14.790/2023 (comprehensive regulation of online betting and gaming)
• Complementary decrees and ordinances issued by the SPA
• Official Website: Secretaria de Prêmios e Apostas – Ministry of Finance
• Scope: National – operations exclusively targeting players within Brazilian territory

Commercial Scope

Permitted Verticals:

• Fixed-odds sports betting
• Online games (casino, slots, roulette, blackjack, instant games, etc.)
• Virtual betting
• Live games (live casino) subject to certification
• Virtual or simulated horse racing betting

Permitted Channels: 100% online

Commercial Model: Multiple operators (open model, not a monopoly)

Target Market: Players physically located in Brazil

International Recognition: Very high due to market volume and growth potential

Typical Use: International operators and local groups seeking national presence

Costs and Taxes

Application Fee: No fixed upfront fee applies.

Authorization Fee (License Cost):

• BRL 30,000,000 per concession (GRU) for a period of five years.
• The concession includes up to three commercial brands/websites under the same authorization.
• For each additional set of up to three brands, the BRL 30,000,000 fee must be paid again.

Tax Model (Revshare / Taxes):

• 12% of GGR as an effective rate for the operator (Gross Revenue Less Prizes).
• Within this 12%, contributions are distributed to sports, education, security, tourism, social funds, among others.
• 15% on the player's net winnings, withheld at the time of withdrawal.

Other Regulatory Costs:

• Mandatory financial guarantees (minimum determined by projected volume)
• Mandatory technical certifications (RNG, platform, live gaming)
• Integrations with national control, reporting, and auditing systems.
• Operational compliance costs: AML/KYC, Responsible Gaming, data protection, approved technical infrastructure.

Granting Requirements

Entity Type: Company incorporated in Brazil, or a branch of a foreign company registered according to Brazilian law.

Physical Presence: Mandatory: office or formal representation in Brazil.

Fit & Proper: Legal, tax, and financial background + information on partners, directors, and ultimate beneficial owners.

Financial Requirements: Minimum capital required by regulation (e.g., BRL 30 million minimum equity) + Financial and compliance guarantees + Solvency demonstrated to the SPA.

Technical Requirements:

• Platform certification by accredited laboratories.
• RNG and game certification.
• Integration with national control systems.
• Server infrastructure compliant with local regulations.

Mandatory Compliance:

• AML/CFT, KYC, Responsible Gaming program.
• Continuous audits.
• Information security and personal data protection.
• Transaction traceability.

Procedure for Obtaining the License

1. Incorporation of the company in Brazil or registration of the branch.
2. Submission of application and technical, legal, and financial documentation.
3. Evaluation of suitability, shareholding structure, and tax compliance.
4. Technical certifications and platform approval.
5. Payment of the authorization fee and required guarantees.
6. Integration with SPA reporting systems.
7. Issuance of federal authorization.
8. Commencement of operations and ongoing audits.

Estimated Processing Time: Depends on volume and implementation phase; estimated industry average 4 to 8 months.

Volume and Market

Licenses Expected: Multiple authorized operators under the open model.

Prominent Operators: Numerous Brazilian and international companies have been authorized or are in the process.

Market Size: One of the largest in LATAM by betting volume and number of players.

Trend: Accelerated growth of online casino, instant games, and sports betting.

Contact and How to Follow Up

Regulator: Secretaria de Prêmios e Apostas (SPA)

Official Portal: Ministry of Finance – SPA

Institutional Channels: SPA website; regulatory documentation, authorized licenses publicly listed.

Official Documentation: Ordinances, portarias, and legislation published by the SPA.