Brazil’s online gambling market has recorded a sharp decline in consumer interest following the introduction of a nationwide ban on fixed-odds betting and online gaming, according to new data from Blask.
The Brazil Blask Index, which tracks engagement and search interest across iGaming brands, fell 20.1% week on week after President Luiz Inácio Lula da Silva signed Provisional Measure No. 1,394 on September 25. The measure prohibits the operation, offering, intermediation and advertising of fixed-odds sports betting and online games through both digital and physical channels.
The decline followed an unusual surge in attention immediately after the prohibition was announced. Blask recorded a 41.45% day-on-day increase in its Brazilian index on September 26 as news of the government decision spread. Demand subsequently fell sharply as operators and players began responding to the practical consequences of the shutdown.
Blask describes its index as a real-time indicator of consumer demand based on normalised online search activity across gambling brands. Its latest data therefore suggests that the initial burst of public interest around the announcement quickly gave way to substantially lower engagement with betting operators.
The restrictions took effect immediately. Operators were required to stop accepting new deposits from September 25, while customers have until 23:59 on October 5 to withdraw existing account balances. Betting websites and applications covered by the measure are due to become unavailable from October 6. Other legally permitted lottery products are not included in the prohibition.
Brazil’s government has also submitted separate legislation that would introduce criminal penalties for a number of betting-related activities, including potential prison terms of between two and six years.
The industry is meanwhile challenging the measure in court. On September 28, the National Association of Games and Lotteries and the Brazilian Institute for Responsible Gaming asked the Supreme Federal Court to suspend the restrictions while Congress considers the measure and existing legal challenges to Brazil’s betting framework remain unresolved.
The groups have argued that immediate enforcement could cause irreversible damage to licensed operators. As alternatives to a complete suspension, they have sought protection specifically for regulated companies or a transition period of at least six months.
Brazilian provisional measures take effect immediately but require congressional approval within 120 days, excluding parliamentary recesses, to remain in force permanently. The dispute represents a major change in direction for Brazil, whose nationally regulated fixed-odds betting market only formally launched in January 2025.
The restrictions are already affecting international operators. Flutter Entertainment has suspended its Brazilian operations and estimated that continued enforcement through the end of 2026 could reduce revenue by about $70 million and adjusted EBITDA by approximately $20 million. Entain has also warned that the measure will weigh on its Brazilian business while maintaining its broader full-year earnings guidance.