The betting regulator in Brazil has released the first year’s figures in full, with the country’s gross gaming revenue coming in at BRL37 billion ($7 billion).
The Secretariat of Prizes and Bets (SPA) revealed the numbers on the first anniversary of market legalization in the South American country, far out-performing the $5.6 billion projections of some analysts.
Data will be used to reinforce bettor protection in the future, says SPA chief
The SPA is using the figures from licensed operators to monitor compliance, detect risky betting behavior, and prevent gambling problems, according to its chief Regis Dudena. This information also allows the government to coordinate with health, sports, and justice agencies, ensuring bettors are protected and the market stays fair and transparent.
He said in a statement: “The year 2025 marked the first time the state was fully present in this market. Data was received, allowing for an objective understanding of the sector, in addition to monitoring tools to track compliance with the established rules.
“We have economic data and information on individuals, which helps us prevent gambling problems and allows us to act in coordination with other bodies, such as the Ministries of Health, Sports, and Justice.”
Gambling in Brazil was officially legalized on December 29, 2022, when the federal government passed the law regulating games of chance and sports betting. The law legalized sports betting, along with other forms of betting, but the regulated online market officially launched on January 1, 2025, once the licensing and regulatory framework was fully in place.
Healthy tax contributions to the state coffers in opening year
Licensed operators contributed significantly to Brazil’s public coffers in 2025, paying around BRL2.5 billion in licence fees (BRL30 million each) and an additional BR 95.5 million in inspection fees.
The impact on national tax revenue was even more substantial, with the Federal Revenue Service reporting nearly BRL10 billion collected from the licensed betting sector, including BRL1.1 billion in December, highlighting the boost to government finances.
In Brazil, funding public health programs, sports development, and regulatory oversight. They also contribute to the federal budget, supporting other government priorities like education and social welfare, though it remains to be seen how effectively these funds will be spent.
Last year, projections by global strategic advisory business Regulus Partners suggest the Brazilian gambling market would become the fifth-biggest in the world.
Fears persist in Brazilian illegal gambling market explosion after rule changes
A recent tax hike focused on the gambling industry recently passed in the country’s senate has led some to fear the cost will be passed onto the customer. Complementary Law No. 224 will reduce federal tax benefits across several sectors by 10% and gradually increase the tax rate on gambling licensees. The levy will rise from 12% of gross gaming revenue in 2025 to 13% in 2026, 14% in 2027, and finally 15% from 2028 onward.
If operators decide to pass on the extra tax burden to its bettors, there’s a real concern among some observers that that will fuel an exodus to illegal bookmakers.
Plínio Lemos Jorge, President of the National Association of Games and Lotteries (ANJL), said: “Excessive taxation produces exactly the opposite effect to that intended: it encourages bettors to migrate to illegal platforms, many of them operated by criminal organisations with international reach, reduces revenue and weakens companies that have opted for legality.
Dudena reiterated the importance for all operators to stick within the boundaries of the SPA authority. He said: “It is important to make it clear that regulation exists to be observed. The SPA will be attentive to its compliance, and those who do not comply will be subject to the penalties provided for by law and regulation.”
Figures reveal the age groups who in enjoy betting most in Brazil
In 2025, 25.2 million Brazilians placed bets with the country’s 79 licensed operators. Of these bettors, 68.3% were men and 31.7% were women.
By age, betting was most popular among those 31 to 40 years old (28.6%), followed closely by the 18–24 and 25–30 age groups (each 22.7%). Older adults over 61 accounted for just 2.7% of all bettors.
