Stake one of three companies added to list of approved operators

Stake Among First Operators Approved for Brazil’s Betting Transition Period

As Brazil navigates the intricate landscape of sports betting regulation, Stake has secured its position as one of three operators newly added to the Secretariat of Prizes and Bets’ (SPA) list of federally approved companies permitted to operate during the transitional phase leading up to the full launch of a regulated market. This significant development demonstrates the growing acceptance of established brands within Brazil’s evolving betting environment.

The SPA attributed this latest round of approvals to the resolution of various issues in the authorization process, highlighting the ongoing efforts to bring clarity and structure to the regulatory framework. With Stake, Hiper Bet, and LBBR now on the list, the total number of federally approved operators in Brazil has increased to 96.

To illustrate the diversity of offerings, the expanded list allows for three brands—commonly referred to as “skins”—for each license, culminating in 213 active brands operating between October 1 and December 31. Specifically, Hiper Bet and Stake introduced one new domain each, while LBBR’s application encompasses three platforms: luck.bet, 1pra1.bet, and startbet.io.

Operators faced a critical deadline of September 30, 11:59 PM to submit their federal betting license applications. Failure to do so would have resulted in a prohibition on operating before the anticipated market launch in January 2025. This timeline aligns with the recent implementation of Normative Ordinance No 1,475, which adjusted regulations to restrict operations to companies already active in Brazil and that submitted their applications ahead of the market’s official inception.

On October 1, the SPA unveiled a preliminary list of approved operators, with 89 securing authorization. The subsequent day saw updates to the list, with additional companies such as F12, Lucky Gaming, Grove Eagle Gestão de Bens Ltda, and B3T4 International Group gaining entry.

Stake’s Commitment to Delivering a Premier User Experience

The inclusion of Stake, Hiper Bet, and LBBR means these operators can commence their activities without delay, ahead of the full regulatory rollout in January 2025. Stake has expressed its enthusiasm for this approval, revealing plans to advance a localized business model. This includes establishing an office in São Paulo and appointing a dedicated country manager, aiming to bolster its appeal among Brazilian users.

“While the Ministry of Finance continues to assess our full license application, our presence on the authorized operator list grants us the opportunity to provide a top-tier gaming and betting experience that Brazilian consumers have come to anticipate,” stated Stake. “We extend our heartfelt thanks to our customers, partners, and Brazilian regulatory authorities for their unwavering support throughout this journey.”

Esportes Gaming Not Among Federally Approved Operators

In contrast, the SPA’s updated list also included Esportes Gaming Brazil as part of its state approvals after the company acquired a stake in ST Soft, a platform licensed by Loterj. This decision brings the total number of operators authorized to operate within state borders to 18. Notably, the operator Esportes da Sorte and Onabet have taken the place of the rj.apostou.com domain in the state register.

Despite these developments, Esportes da Sorte remains absent from the federally approved operators list. The state regulator, Loterj, asserts that Esportes Gaming Brazil has met all legal and technical requirements to function on a national level under its license. However, a recent ruling from a Federal Regional Court clarified that Loterj’s jurisdiction is limited to the state of Rio de Janeiro, a verdict that may complicate the operational landscape for its licensees.

Loterj defends its stance, citing legislation predating the SPA’s regulations. Article 35-A of Law No 14,790 holds that licensees must adhere to the law, superseding any ordinances or injunctions that may arise.

As the Brazilian betting market continues to evolve, the journey of regulators and operators alike underscores the complexities inherent in building a robust regulatory framework that balances legality with consumer engagement. Stake’s proactive strategies and the broader industry’s adaptive strategies will be instrumental in shaping the landscape of sports betting in Brazil.