Date: 24.01.2025

by Sebastian Warowny

How to Start an Online Casino in Brazil

Brazil’s online gambling market is growing rapidly, driven by regulatory changes and increasing demand from players. As the largest economy in Latin America, Brazil offers significant opportunities for entrepreneurs looking to enter the online casino industry. This guide provides an overview of the key steps to setting up an online casino, covering legal requirements, licensing procedures and operational issues.

The Evolution of Online Gambling Regulations in Brazil

The journey to regulation was long and complex, with previous attempts to regulate online gambling facing significant delays. Efforts dating back to 2018’s Law No. 13,756, which legalized sports betting, laid the foundation for today’s comprehensive regulatory framework.

For many years, gambling in Brazil was strictly limited to just two legal forms: state-run lotteries and horse race betting. The introduction of Law 14,790/2023, signed by President Lula da Silva on December 30, 2023, is considered a turning point.

This law legalizes both online casinos and sports betting, setting a clear framework for market entry and compliance. Despite the challenges, industry experts anticipate substantial market growth, driven by Brazil’s large population and cultural inclination toward gambling and entertainment.

Key regulatory updates include:

  • Licensing Requirements: Operators must obtain a five-year license at an estimated cost of €6 million. A local presence is mandatory, with at least 20% ownership by a Brazilian national.
  • Taxation: A 12% tax on gross gaming revenue (GGR) applies, in addition to a 15% tax on player winnings exceeding a certain threshold.
  • Market Access: The new regulations welcome both local and international operators.
  • Implementation Timeline: The law came into full effect on January 1, 2025, giving operators a transition period to align with the new regulatory framework.

How to Start an Online Casino in Brazil

This guide outlines the essential steps for establishing an online casino, including regulatory compliance, licensing processes, and key operational considerations.

Step 1: Acquiring a Brazilian Gambling License

Obtaining a gambling license in Brazil is a multi-step process requiring compliance with several regulatory conditions. The Brazilian Ministry of Finance oversees the licensing process, ensuring that operators meet financial, technical, and ethical standards.

Steps to obtain a license:

  1. Company registration: Establish a legal entity in Brazil or partner with a registered local entity.
  2. Submission of financial guarantees: Operators must prove financial stability to ensure payouts and operational sustainability.
  3. Implementation of responsible gaming measures: Offering self-exclusion tools, deposit limits, and gambling awareness resources.
  4. Technical certification: Platforms must meet security and fair play standards set by regulatory bodies.
  5. Tax compliance: Operators are required to adhere to the local tax framework, including paying levies on gross gaming revenue (GGR).

Failure to comply with these requirements can result in penalties, fines, or revocation of the operating license.

Step 2: Choosing the Right iGaming Software Provider

Selecting a reliable technology partner is critical to the success of an online casino. The platform should offer scalability, security, and a wide range of gaming content tailored to the preferences of Brazilian players.

Key features to look for in an iGaming platform:

  • Localization support: Portuguese language, local currencies, and cultural preferences.
  • Payment integrations: Support for popular Brazilian payment methods such as PIX, Boleto Bancário, and global e-wallets (Revolut, PayPal, Neteller, Skrill, AstroPay, and Pay4Fun).
  • Mobile compatibility: Given Brazil’s high mobile penetration, a mobile-first approach is essential.
  • Diverse gaming content: Including slots, live dealer games, bingo, and popular table games like roulette and blackjack.
  • Regulatory compliance: Built-in responsible gaming tools and fraud prevention mechanisms.

Top software providers such as SoftSwiss, Upgaming, and EGT Digital offer turnkey solutions that include customizable front-end design, back-office management, and robust security measures.

Step 3: Selecting Popular Games for Brazilian Players

Understanding player preferences is crucial for attracting and retaining customers in the Brazilian market. Players in Brazil tend to favor engaging and dynamic games with immersive features.

Popular online casino games in Brazil include:

  • Slots: Brazilians enjoy themed slot games, especially those inspired by soccer, carnival culture, and mythology.
  • Live dealer games: Blackjack, roulette, and baccarat with live dealers are gaining traction.
  • Bingo: A culturally popular game, bingo appeals to a broad demographic in Brazil.
  • Crash games: Fast-paced betting games have seen increased popularity due to their simplicity and thrill factor.

Offering a diverse and localized game portfolio can significantly enhance player engagement and satisfaction.

Step 4: Payment Processing Solutions in Brazil

Payment processing is a crucial aspect of running an online casino in Brazil. Players prefer fast, secure, and locally recognized payment methods.

Preferred payment methods include:

  • PIX: The instant payment system developed by the Central Bank of Brazil is widely used for online transactions.
  • Boleto Bancário: A traditional bank slip payment method popular among Brazilian consumers.
  • E-wallets: Such as Revolut, PayPal, Neteller, Skrill, AstroPay, and Pay4Fun, which offer secure transactions.
  • Credit and debit cards: Major providers like Visa and Mastercard are widely accepted for deposits. However, it’s important to note that while credit cards are available, there are restrictions on their use for online gambling in Brazil due to regulations aimed at preventing debt accumulation among players.

Choosing the right mix of payment methods helps cater to the diverse preferences of Brazilian players while ensuring regulatory compliance.

Step 5: Developing an Effective Marketing Strategy

A well-crafted marketing strategy is essential to penetrate the Brazilian market successfully. Since online gambling is highly competitive, operators must leverage a mix of digital marketing channels.

Effective marketing strategies include:

  • Affiliate marketing: Collaborating with local influencers and affiliate networks to reach a wider audience.
  • Social media engagement: Platforms like Instagram, TikTok, and WhatsApp are key for building brand awareness.
  • Localized promotions: Offering tailored bonuses and incentives that appeal to Brazilian players, such as cashback and free spins.
  • SEO optimization: Targeting relevant Portuguese keywords to attract organic traffic.
  • Sponsorships: Partnering with Brazilian football clubs and esports teams for visibility.

Compliance with Brazil’s advertising regulations is crucial to avoid penalties and maintain a positive brand reputation.

Step 6: Ensuring Compliance with Responsible Gaming Policies

Responsible gaming is a top priority for Brazilian regulators. Operators must implement tools and policies that promote safe gambling practices.

Essential responsible gaming measures include:

  • Offering self-exclusion options and deposit limits.
  • Providing access to gambling addiction resources.
  • Ensuring age verification to prevent underage gambling.
  • Conducting regular audits to promote transparency and fair play.

Educating players about responsible gambling helps build trust and ensures long-term business sustainability.

Step 7: Customer Support and Player Retention

Providing high-quality customer support is essential for player satisfaction and retention. Offering support in Portuguese and through multiple communication channels helps address player concerns effectively.

Best practices for customer support include:

  • 24/7 availability via live chat, email, and phone.
  • Multilingual support with a focus on Portuguese.
  • Quick response times and resolution processes.
  • FAQ sections and chatbot integration for instant assistance.

Strong customer support contributes to player loyalty and long-term success.