Brazil regulator issues ordinance as fix to betting certification delays
The Secretariat of Prizes and Bets (SPA) has enacted a new ordinance intended to alleviate delays in betting certifications across Brazil.
On January 1st, Brazil officially launched its regulated betting market, granting full operational licenses to 14 companies, while an additional 52 operators received provisional authorizations prior to the market’s go-live date.
Provisional licenses were awarded to operators who successfully paid the BRL 30 million (£3.9 million/€4.7 million/$4.8 million) licensing fee but encountered various challenges with their applications, particularly relating to certification delays.
These provisional licenses permit firms to operate continuously for 30 days as they finalize their application processes. However, this period may be extended by an additional 30 days if certifying laboratories indicate further time is required to complete comprehensive certification.
Only the 113 operators that filed applications before the original deadline of August 20 were eligible to receive licenses during this initial rollout. This surge of interest, coupled with rigorous standards for betting system certification, has resulted in significant strain on testing laboratories.
In response to these challenges, the SPA released Normative Instruction No. 3/2025, published in the Official Gazette of the Union on January 14. This initiative aims to streamline the certification process in Brazil, thereby expediting operations for betting companies and assisting them in adhering to the critical initial deadline of January 30.
Documentation Requirements for Betting Operators in Brazil
Normative Instruction No. 3/2025 introduces a standardized cover page model and index for the submission of technical certificates.
By January 30, operators must submit a variety of essential documents to the SPA via the Betting Management System (Sigap). These documents must include:
- Technical certificates for betting systems
- Certificates for sports betting servers or remote game servers
- A single online gaming certificate
It is important to note that operators intending to focus solely on igaming are exempt from providing certifications for sportsbook servers and integrations, and vice versa for those exclusively engaged in sports betting.
All documentation must be presented in Brazilian Portuguese, with filenames clearly identifying relevant details, such as the name of the platform.
Operators holding provisional licenses must also submit a General Index Document, along with the required templates outlined in the new instruction. Should the certification process remain incomplete by January 30, these operators must, in addition to the General Index Document, submit a request for deadline extension supported by a declaration from the certifying entity.
Furthermore, by February 1, provisionally licensed companies providing online games are required to submit certifications specific to those games and live studios alongside the Online Games Index Document, with examples provided within the instruction.
Moreover, the Normative Instruction No. 3/2025 specifies that fully licensed operators must regularly submit both the General Index Document and the Online Games Index Document, along with any updated versions of these documents on a monthly basis if new certifications have occurred.
Navigating Licensing Challenges in Brazil
Brazil’s path to establishing a legal betting landscape has faced numerous hurdles, with the licensing process proving particularly complex.
Andreas Bardun, founder and CEO of the fully licensed operator KTO, highlighted frustrations regarding communication issues with the SPA and the application portal. “The application process was overwhelmingly stressful, with numerous variables at play,” Bardun recounted. “The regulator was new to this process, and there were times when it felt like the requirements kept evolving. Each time we believed we had fulfilled all necessary criteria, new documentation requests emerged at the last minute, forcing us into a scramble.”
Despite these challenges, Bardun empathizes with the SPA’s position, acknowledging the extraordinary demands placed upon the regulator. “It was undoubtedly a stressful undertaking, but they were also working diligently throughout the holiday season to assist operators in any way possible,” he expressed.
Industry stakeholders view these early struggles as a natural part of a learning curve for the regulator. Thomas Carvalhaes, who has recently taken on the role of Brazil country manager for provisionally licensed Stake, asserts that the burden falls on the industry to guide the SPA through this developmental phase. “It’s critical to remember that no regulation or licensing process unfolds flawlessly from the outset,” Carvalhaes emphasized. “Governments are not inherently gambling specialists; we possess that expertise. Therefore, it is crucial for operators and associations to employ common sense and foster collaborative exchanges to educate regulatory bodies effectively.”
