The digital gaming sector in Brazil is on the verge of a boom, with the potential to rake in over US$2 billion each year if legalized. A recent study commissioned by the Remote Gambling Association suggests that transitioning the industry from an unregulated to a regulated environment could unlock a significant source of income for the nation. This development coincides with the Brazilian government’s increasing seriousness about legalizing specific forms of gaming, making it an attractive prospect for businesses eager to capitalize on this profitable market.
The analysis, carried out by the consulting giant KPMG, proposes a “practical and efficient” system for licensing, a taxation model based on gross gaming revenue (GGR) instead of turnover (a point of debate in several recently legalized markets), and robust safeguards to promote responsible gaming habits.
To illustrate the potential, it’s worth noting that illicit and unregulated gaming operations in Brazil already generate an estimated US$6.2 billion annually, as per the Brazilian Legal Gaming Institute. This underscores the vast size of the potential market and the pressing need for a transparent regulatory structure.
Although discussions surrounding the legalization of gaming services have been circulating within the Brazilian National Congress for some time, progress has been painfully sluggish. Despite the introduction of numerous bills, staunch resistance from certain legislators has hindered their advancement. Nevertheless, with this new study emphasizing the potential economic advantages, the pressure is building for Brazil to finally capitalize on its gaming sector.
The question of whether this fresh evidence will genuinely impact the ongoing political discourse and provide closure to this persistent enigma is still open.
