Brazil records 113 license applications on deadline day
Date: 2024-08-21 Author: Leon Pierce Categories: EVENTS
Amid the rapid process of regulating online sports betting in Brazil, dozens of companies have applied for licenses. More than 50 new applications were registered on the last day alone.
Expectations were not met: fewer companies applied than expected
The deadline for applications was August 20, and by that time 113 companies had already submitted their documents, including many well-known operators. Although this figure is impressive, it is still lower than expected - 134 gambling companies had initially expressed their intention.
The application period opened on May 21, and one of the first, five days later, was Greek company Kaizen Gaming. A number of Brazilian gaming companies subsequently followed suit.
Some of the more prominent operators that have applied include Betfair, Betsson, Stake.com, Caesars Entertainment, Sportingbet and bet365, among other major players in the market.
While some companies chose to submit their applications as early as possible, many operators waited until the end of the licensing period to ensure that their documents were fully compliant with the new rules published in Brazil.
Companies that delayed their applications until August 20th were given a slight advantage as they were able to review the final set of rules approved earlier this month.
Priority by submission time
Bookmakers that fail to submit their applications by the deadline can still apply for a license. However, the review process for such applications will take longer, which may result in them missing the opening of the market.
Applicants are required to comply with Brazilian regulations and meet a number of conditions. In particular, international companies must open a local representative office and create a subsidiary in which more than 20% of the shares are owned by a Brazilian citizen. In addition, companies are required to pay a license fee and maintain a financial reserve of at least R$5 million.
The regulated gambling market in Brazil is expected to launch on January 1, 2025. Companies that submit applications within the established deadline will be able to begin offering their services from the moment the market opens.
Brazil has long been one of the largest unregulated gambling markets. According to analysts, the volume of bets in the regulated market could reach $34 billion by 2028.
