STF will analyze betting regulation in the 1st half of 2025

by Andrea
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Minister Luiz Fux, of the Federal Supreme Court (STF), rapporteur of the Direct Action of Unconstitutionality (ADI) 7721 which questions the constitutionality of the Bets Law (Law 14,790/2023), stated this Monday (11) that the judgment of action should take place in the first half of 2025.

According to Fux, the STF may even determine protective measures for the most vulnerable population even before the trial, since the impact of online betting, so-called bets, on part of the population, especially the most vulnerable, highlights the urgency of regulatory actions.

The statements were made during a public hearing at the STF to address the impacts of online betting. The event, called by Fux, began this Monday (11) and brought together academics, representatives of the federal government and civil organizations. The discussion, which continues until Tuesday (12), addresses topics such as mental health, transparency, advertising, money laundering and the financial rights of bettors.

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Public hearing on online betting brings together experts at the STF

At the public hearing, the Minister of Human Rights and Citizenship, Macaé Evaristo, addressed the issue of gambling addiction, which has worsened with the easy access provided by the internet. She warned that online games, by exploiting psychological vulnerabilities, end up becoming a “casino in your pocket”, impacting entire families.

The Minister of General Advocacy of the Union (AGU), Jorge Messias, also highlighted the relevance of widely discussing the consequences of bets. He mentioned data from the Central Bank that estimates monthly transfers of up to R$21 billion to betting platforms. He said that around 40% of bettors belong to the lowest classes, such as classes D and E, which directly affects the family budget, especially for beneficiaries of programs such as Bolsa Família.

The deputy attorney of the Republic, Luiz Augusto Lima, representing the Attorney General’s Office (PGR), suggested that the Central Bank and the Federal Public Ministry implement restrictions to prevent the use of social assistance resources in betting. For him, immediate action is needed to protect consumers from possible financial damage.

At the end of the first stage of the hearing, Fux stated that he intends to dialogue with representatives of the Executive and Legislative branches before making any early decision on the topic.

Hasty regulation of betting

Matter of People’s Gazette showed that the regulation of betting in Brazil was approved at the drop of a hat and gave little emphasis to the discussion and definition of issues linked to public health.

In Brazil, a bill from the government of Luiz Inácio Lula da Silva (PT) was sent to Congress in the second half of last year. The measure, aimed at increasing tax collection amid the fiscal crisis, was quickly approved by the Chamber and the Senate and sanctioned by the President of the Republic on December 30, 2023. In 2024, the Ministry of Finance issued a series of ordinances to regulate this legislation.

This process took place amidst a lot of dialogue with the betting sector and little conversation with the health sector. Between March 2023 and July 2024, high-ranking officials from the Ministry of Finance participated in 251 meetings with representatives of betting companies or entities linked to the sector, according to a survey by the Folha de S.Paulo. In contrast, only five meetings were held with health professionals in the period.

Bets had already been allowed in Brazil since 2018, when a law sanctioned by then president Michel Temer (MDB) classified them as lottery games, which were already legal. The legislation defined a period of two years, extendable for another two years, for the regulation of the new modality, but Jair Bolsonaro (PL) ended his mandate without signing it.

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