Brazil Switched Off Betting: What Happened on October 6 and What Next

Two weeks ago we wrote that Brazil was preparing to ban online betting. On Tuesday, October 6, it happened: bookmaker and online casino sites and apps went dark across the country. Latin America's biggest betting market was switched off by a single decree.

Here is how the first days went, who lost the most, and why the story is far from over.

Timeline: from decree to blackout

September 25. President Lula signs Provisional Measure No. 1,394. It bans fixed-odds betting, online casinos and all of their advertising. Clubs and stadiums get ten days to take bookmaker logos down.

October 5, 23:59 Brasília time. The last chance to withdraw money from betting accounts. As of that day, around $267 million was still sitting in player accounts.

October 6. The blackout. The authorities requested blocks on 5,209 domains. Anyone trying to open a bookmaker's site lands on a government page saying the service has been officially blocked.

October 9–14. Operators must return remaining balances to players' bank accounts. About 23 million active users are affected.

Why the government did it

The government points to debt and health. By its estimate, Brazilian households spend around 38.8 billion reais a year on betting apps, and the health ministry calls gambling addiction a serious problem linked to unemployment. Most of the public backs the move: in a Quaest poll taken September 24–27, 62% of Brazilians supported the ban.

Who lost the most

Football clubs

14 of the 20 Série A clubs had a bookmaker as their main shirt sponsor. Together that is roughly 1.03 billion reais a year, about $201 million. Flamengo is hit hardest: its Betano deal was worth 268.5 million reais a year, and the club puts its total losses at 430 million reais.

Operators

Betano held roughly a quarter of the legal market and was the country's most downloaded sports app in 2025. The company is preparing legal action, citing its five-year licence. Flutter has shut down its Brazilian operations entirely and warned shareholders of about $70 million in lost revenue this year. Entain expects results "at the lower end" of its guidance.

The players

Millions of people lost their usual way of betting on their team overnight. They will get their money back, but where those players go next is the biggest worry for both the regulator and the industry.

What next: the deadline, the court and the forecast

120 days. A provisional measure takes effect immediately, but Congress must approve it within 120 days or it lapses. There has been no vote yet.

The Supreme Court. Industry associations have filed an urgent petition with the Supreme Federal Court (STF) asking it to suspend the measure. Flamengo has asked to join the case as a "friend of the court". The National Association of Games and Lotteries called the decision politically motivated and illegal.

5%. That is how analysts at Regulus Partners rate the chance that the ban stays forever in its current form. Their most likely scenario, at 85%, is a few months of blackout followed by a market that returns under new, stricter rules.

The lesson

Brazil's licensed betting market only opened at the start of 2025. The country issued licences, collected taxes, and then switched everything off in under two weeks. For players the takeaway is simple: keeping large sums in a betting account is risky even on a fully licensed site. The rules can be changed by the state, and very quickly.

How it all started is in our earlier piece, Brazil Bans Online Betting: What Happens on October 6. And for how courts handle disputes between players and casinos, read $42 Million on Screen, $2.25 at the Cashier: Three Jackpot Court Cases.