Ten betting sites have a strong presence in 19 of the 20 clubs in Série A of the Brazilian Championship, through sponsorship agreements. So far, these platforms are not regulated in Brazil and operate from Curaçao and Malta.
Seven of the ten bookmakers are registered in Curaçao, an island in the Caribbean, while the other three are registered in Malta, an island in Europe. Both countries are known for offering tax benefits to companies in the sector.
In 12 of the Serie A teams, the websites assume the role of main sponsor, that is, they are the main source of revenue in terms of sponsorship. Cuiabá is the only club that currently does not have a sponsorship contract with any platform in the industry. The previous contract expired last year and the board is looking for a new partner.
Although Palmeiras has a contract with Betfair, this only applies to the women’s team, as Crefisa and FAM dominate the spaces in the men’s team’s uniform.
Why do betting sites choose Malta or Curacao?
Lawyer Eduardo Diamante Teixeira, partner at Carlezzo Advogados, explained to the UOL portal the reason for this choice by betting sites: “All the major bookmakers that explore the Brazilian market operate from abroad, in countries where the practice is duly regulated, like Malta and Curaçao, for example. Where, including, operational costs and government fees are considered low”
The lawyer also added the reason for the lack of a base in Brazil: “Although legalized since 2018 by the Temer government, the absence of regulation to date prevents the existence of 100% Brazilian bookmakers, since it is not yet possible to set up and operate regularly a betting company in Brazil”.
Eduardo also mentioned a major gap in the legislation: “It is a gap in the legislation that makes room for this gray area, allowing the full exploitation of the betting market in Brazil by companies based abroad, since the bettor can normally place his bets online, through websites completely translated into Portuguese and digital means of payment, such as credit card”.
Brazil should regulate the sector later this year
In recent months, we have seen a great deal of movement on the part of the Ministry of Finance, which intends to regulate sports betting in Brazil and is already moving towards the final details of a Provisional Measure.
One of the important issues is that the legislation indicates that betting sites must establish headquarters in Brazil to maintain their legal activities. Brands that do not comply with this requirement will not be allowed to sponsor clubs, competitions and entities.
Check the sponsorships of betting sites and where they operate
- Beta – Atlético-MG and Fluminense (Malta)
- Sportsbet.io – São Paulo (Curaçao/ with payments in Cyprus)
- Betfair – Cruise and Palm Trees (Malta)
- Newbies – Fortress (Malta)
- EstrelaBet – América-MG and Internacional (Curaçao)
- Dafabet – Coritiba (Curacao)
- Parimatch – Botafogo (Curaçao/ with payments in Cyprus)
- MrJack.Bet – Red Bull Bragantino (Curaçao/UK)
- Pixbet – Corinthians, Flamengo, Santos and Vasco (Curacao)
- lucky sports – Athletico, Bahia, Goiás and Grêmio (Curaçao)
