ANJL President Advocates for Clear Advertising to Distinguish Legal Gambling from Black Market

Plínio Lemos Jorge, the president of Brazil's National Association of Games and Lotteries (ANJL), has called on licensed gambling operators to adopt transparent advertising practices to help players distinguish between regulated platforms and the black market. As Brazil prepares to launch its legal online gambling market on January 1, 2025, the prolonged delays in establishing regulated betting have led to a proliferation of offshore sites in recent years.

In an opinion piece for Folha, Lemos Jorge emphasized that clear advertising is crucial for operators to drive players toward the legal market. He highlighted the need for “effective and clear communication” that underscores gambling as a form of entertainment rather than a serious means of making money. “Only advertising can make this distinction. Otherwise, bettors choose illegal platforms, which pay better prizes because they do not pay taxes and are not subject to strict rules,” Lemos Jorge stated.

The Brazilian government has already begun to implement regulations aimed at responsible gambling, with the publication of Normative Ordinance No 1,231 in July. These regulations include stringent guidelines on marketing, requiring operators to avoid portraying gambling as “socially attractive,” which has resulted in a ban on influencer marketing. This move was likely a response to investigations into several influencers who had heavily promoted the Asian-themed slot game Fortune Tiger on social media, leading many young players to lose money.

Ordinance No 1,231 also mandates that all betting advertisements display an ‘18+’ symbol and include messages warning of the risks associated with gambling. Additionally, the rules prohibit marketing that could target minors, and sponsorships must clearly identify the operators involved while avoiding any appeal to children. Operator logos are also banned from appearing on items intended for sale to minors.

Despite these measures, Lemos Jorge has expressed concerns that overly strict advertising regulations could push players toward the black market. He pointed to examples in Germany and Italy, where stringent advertising rules have led to increased black market activity. Italy, for instance, imposed a total ban on gambling advertising in January 2019, and Germany saw significant tightening of ad restrictions in June 2023.

“It is hypocritical to say ‘let’s prevent gambling advertising in Brazil,’ since such a prohibition would guarantee the operation of only illegal gambling. And this is the path that many sectors have defended, either due to lack of information or due to hidden interests,” Lemos Jorge argued.

He also referenced a recent study by the International Betting Integrity Association (IBIA) that highlighted the importance of allowing gambling advertisements to increase channelisation rates. Lemos Jorge urged Brazil to consider these findings, stating, “Brazil needs to follow this path. There is no way to educate bettors without adequate advertising.”

In conclusion, Lemos Jorge warned that ignoring or denying the presence of betting sites would leave millions of bettors uninformed. He asserted, “The only way forward is good regulation so that the correct share of the market becomes the largest part of it.”

By fLEXI tEAM