Brazil's Youngest Bettors Are Keeping Its Illegal Market Alive

Between 38% and 44% of online bets placed in Brazil in the first half of 2026 went to unlicensed platforms, according to a study LCA Consultores released on Aug. 11 for the Brazilian Institute for Responsible Gaming (IBJR).

That is down from the 41% to 51% range the same researchers estimated in June 2025.

Licensed operators generated R$20.07 billion (almost $3.9 billion) in gross gaming revenue, the money kept after paying winnings, in the six months to June 30, on Finance Ministry data released under Brazil's freedom of information law. Offshore wagers generate no Brazilian tax; the licensed sector paid R$9.95 billion (more than $1.9 billion) in 2025.

Survey Tests Bettors for Markers of Unlicensed Play

The estimate rests on an Instituto Locomotiva survey of 2,291 bettors across Brazil in May 2026.

It looked for signs of an unlicensed site: 53% had bet in the previous three months where no facial recognition was required, a check licensed operators must run, and 48% used domains outside the mandatory .bet.br suffix.

"The study reveals a slight reduction in illegal betting share, but it remains at high levels, with half of Brazilian bettors participating in the unlicensed market."

Renato Meirelles, the Instituto Locomotiva's president, was marking a distinction. The share of money is 38% to 44%; the share of bettors who touch an unlicensed site is closer to half.

They skew young and poor: 54% are aged 18 to 29 and 51% earn up to two minimum wages.

Enforcement Keeps Moving Faster Than the Estimate

A Federal Police operation on July 15 froze up to R$951.1 million ($183 million) in a suspected laundering scheme, the third that month backed by the Finance Ministry's betting secretariat.

FairGambling covered Türkiye's naming of Curaçao and Malta as offshore licensing hubs in July.

The IBJR represents licensed operators and paid for the research. Its executive president, Carlos Lima, said the numbers show federal measures "beginning to produce concrete results." The study credits no single measure, and neither it nor the Finance Ministry has published a figure for what unlicensed operators earn in Brazil.