HomeBlogBlogNewsBrazil Launches Public Consultation on Draft Regulation for Online Gaming Suppliers

Brazil Launches Public Consultation on Draft Regulation for Online Gaming Suppliers

On 4 February 2026, the Secretariat of Prizes and Betting of the Ministry of Finance launched a public consultation on a Draft Ordinance that introduces a formal recognition regime for suppliers servicing licensed fixed odds betting operators in Brazil.

The proposal sets out minimum regulatory and operational requirements for a broad range of service providers active in the Brazilian market. The consultation is open for comments until 23 March 2026.

Below is an overview of the main elements of the Draft Ordinance and the framework it seeks to implement.

Scope and applicability

The Draft Ordinance applies to both licensed operators and suppliers whose operational capacity has been formally recognized by the Ministry of Finance to provide the following services:

  1. Betting systems
  2. Betting platforms
  3. Online game providers, including game aggregators and live game studios
  4. Customer identification service providers, including identification, qualification, risk classification, facial biometrics and geolocation services
  5. Sports betting data and statistics service providers

Importantly, the regulation makes clear that contractual terminology will not determine whether recognition is required. The actual nature of the services provided will prevail over how they are described in agreements.

The regime does not apply where an operator provides any of the above services exclusively in house and for its own benefit.

Mandatory recognition and core obligations

Suppliers intending to provide services to authorized fixed odds betting operators must obtain formal recognition of their operational capacity from the Ministry of Finance.

Key obligations include:

  • Local presence

Suppliers must establish a legal entity incorporated under Brazilian law, with headquarters and effective administration in Brazil. This entity must contract directly with authorized operators.

  • Contractual requirements

Contracts must be executed in Portuguese and entered into with the Brazilian legal entity.

  • Restricted client base

Services may be provided exclusively to operators duly authorized by the Ministry of Finance.

  • Regulatory access

Suppliers must grant the regulator access to commercial and contractual information upon request.

  • Compliance monitoring

If a supplier becomes aware that an operator is not complying with applicable laws or regulations, it must notify the regulator within forty eight hours.

  • Record keeping

Contracts and payment reports must be retained for up to five years.

The regulator may issue additional rules addressing technical requirements specific to each service category.

  • Recognition procedure

Recognition is granted following verification that the supplier satisfies four core requirements.

  • Legal qualification

Submission of corporate documents of the Brazilian entity, proof of commercial and tax address in Brazil, and disclosure of directors and controlling parties.

Foreign suppliers may submit Brazilian entity’s corporate documents and proof of commercial and tax address in Brazil within 120 days after being notified that the remaining requirements have been met.

  • Proof of suitability

Declarations of good repute, certificates confirming the absence of disciplinary sanctions, and confirmation of eligibility for public contracting. Controlling persons and legal representatives must provide criminal and integrity certificates, including equivalent documents for foreign individuals.

  • Tax and labour compliance

Certificates demonstrating regular standing with federal, state and municipal tax authorities, as well as labour and social security authorities.

  • Technical qualification

Evidence of previous service provision or a detailed description of the intended services, together with a declaration that services will be offered exclusively to authorized fixed odds operators.

Once the review and due diligence process is completed, formal recognition is granted through publication in the Official Gazette.

Validity, renewal and revocation

Recognition is valid for three years.

Renewal must be requested at least 120 days before expiry to ensure continuity of contracts. If renewal is not requested in time, operators have a 120 day transition period from the date of expiry to terminate the relationship if recognition is not renewed.

Recognition may be revoked in cases such as bankruptcy, submission of false or misleading information, or loss of qualifying conditions.

Sanctions

Failure to comply with the Draft Ordinance may result in:

  • Warning for minor infractions
  • Fines ranging from 0.1 percent to 20 percent of gross revenue after taxes, capped at BRL 2 billion per infraction
  • Partial or total suspension of activities for up to 180 days
  • Definitive cancellation of authorization to operate Additional ineligibility measures and prohibitions may also apply.

Transitional regime and deadlines

The Draft Ordinance establishes a phased transition for both existing and new suppliers.

Step 1 Registration

All suppliers must submit a registration request within six months from the entry into force of the Ordinance.

Upon valid registration, suppliers may continue operating on a provisional basis, provided existing technical certification requirements are satisfied. Operators may maintain contractual relationships during this period.

If a supplier fails to register within six months, operators must terminate the relationship within 120 days from the end of the registration deadline.

Step 2 Recognition application

Suppliers currently active in Brazil must submit their recognition application within six months following the end of the registration period. New suppliers may apply at any time.

Operators may maintain contracts with suppliers that have registered and filed their recognition application within the prescribed timeframe.

If a supplier registers but fails to apply for recognition within the six month window, operators must terminate the relationship within 120 days from the end of that deadline.

After twelve months from the entry into force of the Ordinance, operators may only engage suppliers that have obtained formal recognition. Suppliers without recognition after this date will be deemed irregular.

Key milestones

Month 6: Deadline for supplier registration

Month 10: Deadline for termination of relationships with unregistered suppliers

Month 12: Deadline for submission of full recognition applications

Month 16: Deadline for termination of relationships with suppliers that failed to apply for recognition

Technical qualification documentation

The Draft Ordinance includes an annex detailing the documents required to demonstrate technical qualification. These include:

  • Proof of at least three years of professional experience, with national or international references, in activities related to betting systems, live gaming studios and online games
  • Evidence that the assessment team includes qualified specialists in mathematics, engineering disciplines, compliance, accounting audit, communication networks, quality control, and cybersecurity
  • A detailed methodology for evaluating and certifying betting systems and gaming studios
  • Procedures and safeguards to ensure physical and cybersecurity protection of information and certification results
  • Relevant international certifications

How Helix Partners can assist

The proposed framework introduces structural, operational and contractual adjustments that may require careful planning, particularly for international suppliers entering or already active in Brazil.

Ingrid Alvarado and the team at Helix Partners regularly advise gaming operators and service providers on regulatory structuring, licensing strategy and cross border compliance in Latam and globally.

We can assist with:

  • Participating in public consultations prior to enactment of the law
  • Advising clients on implementing the final regulation, including compliance planning and risk mitigation.
  • Preparing and coordinating the registration and recognition application
  • Reviewing contractual arrangements with operators
  • Advising on transitional timelines and regulatory risk exposure

If you would like to discuss how the Draft Ordinance may impact your business or require support in preparing submissions during the consultation period, please contact Ingrid Alvarado at Helix Partners.

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