New Brazil bill seeks to ban cashback, rewards and gamification
- Senator Eduardo Girão has introduced PL 1018/2026, seeking to amend Brazil’s core betting law to ban loyalty programs, cashback, and gamification.
- The bill would also prohibit personalized marketing communications and operator promotions tied to deposit activity.
- Operators would have 90 days to comply if the legislation passes Brazil’s National Congress.
Brazil’s regulated betting sector is facing fresh political pressure less than 15 months after its launch. Senator Eduardo Girão has presented PL 1018/2026, which seeks to amend Law No. 14,790/2023, the legislation that legalised betting in Brazil in December 2023.
The bill targets common incentive mechanisms used by fixed-odds betting operators and could force companies to rethink key elements of their customer relationship management strategies if approved.
What the bill proposes
The bill would make it forbidden for licensed operators to “establish, maintain or disclose mechanisms to incentivise, retain or stimulate” gambling. It would prohibit loyalty, rewards, or points programs, as well as the granting of cashback to bettors.
The legislation would also ban gamification elements aimed at increasing user engagement within betting platforms, including goals, missions, challenges, leaderboards, and tiered progression systems such as levels or badges.
Promotions conditioned on deposit, balance maintenance, or a continuity of activity on the platform would also be banned. Only communication with players that is “informative, institutional or educational” would be permitted, under a proposed prohibition on targeted messaging based on a player’s previous betting history.
If the bill passes into law, licensed operators will have 90 days from its publication to adapt their platforms and contracts.
Girão’s anti-gambling stance
Girão has maintained a consistent anti-gambling position since Brazil’s regulated market launched on January 1, 2025.
In his justifications for PL 1018/2026, he claimed legalisation has “ushered in a scenario of profound social, economic and institutional concern.” Although welcome bonuses are already prohibited in Brazil, Girão believes further restrictions are necessary to prevent operators from retaining players based on their previous betting behaviour.
Girão asserts that betting companies in Brazil have shifted from previously prohibited welcome bonuses to indirect incentives that promote continuous stimulation of users, creating a permanent system of behavioral induction.
Eduardo Girão, Senator, commented:
“This is an activity whose very economic logic depends on the repeated loss of the user, which imposes on the State the duty to act firmly to mitigate its harmful effects.
“Given this scenario, the approval of this proposal represents a necessary measure to mitigate the socially adverse effects of the activity, preserve the economic dignity of the Brazilian population, and improve the regulatory balance of the sector.”
Growing regulatory tensions
The bill arrives at a notably tense moment for Brazil’s regulated sector. Just over a year after the market launched, political pressure on licensed operators is intensifying on multiple fronts despite the industry generating record tax revenues in its first full regulated year.
Brazil’s regulated platforms registered 25 million unique bettors in 2025, with gross gaming revenue reaching approximately $6.6bn during the first year of regulation. The country already scrapped plans for an 18% GGR tax hike following industry pushback.
Yet the political climate has only grown more hostile. Earlier this month, President Luiz Inácio Lula da Silva faced an industry backlash after he urged the government to unite to ban online betting, describing gambling addiction as a “tragedy” for the nation. Lula’s government was itself responsible for legalising online gambling in December 2023.
For international operators and investors navigating an increasingly uncertain political environment, PL 1018/2026 adds further pressure on CRM strategies and long-term Brazil plans.
If it advances through the National Congress alongside new advertising restrictions already under discussion, the commercial conditions for licensed operators in Brazil could look considerably different by the end of the year.
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