The National Consumer Secretariat has vetoed the possibility of advertising special bonuses and has suspended any advertising aimed at children or adolescents.
Brazil.- The Department of Consumer Protection and Defense of the National Consumer Secretariat (SENACON) of the Ministry of Justice issued a precautionary measure that determined the suspension, throughout the national territory, of any advertising of rewards related to an advance, anticipation, bonus, or previous advantage (bonus), even if it is simply a promotion, advertisement, or announcement, for making a bet.
SENACON also suspended any advertising of fixed-odds online gambling games for children and adolescents. It also urged that platforms submit, within ten days of becoming aware of this decision, a transparency report on the measures adopted to comply with the respective suspensions.
The precautionary measure, which is a legal act aimed at ensuring the protection of a right in a provisional and urgent manner, will focus on monitoring the market of online games and betting in terms of bonuses and advertising of gambling games to prevent and combat indebtedness. It also aims to ensure the safety of vulnerable people in consumer relationships, with special attention to highly vulnerable individuals such as children and adolescents.
The decision will apply to active companies authorized to operate counterparty betting, both national and state, according to the list published by the Secretariat of Prizes and Betting (SPA) of the Ministry of Finance. According to the order, non-compliance with any of the listed measures may result in a daily fine of R$ 50,000 (USD 8,600), which will be applied until full compliance with the measure.
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This resolution from SENACOM aims to create a framework for the advertising of cutting-edge betting platforms. In this regard, earlier this month, the secretariat had summoned 17 companies to provide detailed information on advertising, bonuses, and access restrictions for minors. The measure responded to growing concerns about the impact of these practices on vulnerable consumers, especially children, adolescents, and individuals prone to indebtedness.
SENACON requested companies to clarify their bonus, marketing, and communication policies, especially those aimed at preventing pathological gambling and protecting minors and vulnerable consumers. “It is essential that betting companies have a clear communication policy about the risks associated with gambling,” stated the director of the Consumer Protection Department, Vitor Hugo do Amaral. Consumers have the right to make informed decisions, informed about the real chances of winning and the risks. “Any practice that compromises this right will be subject to inspection,” he added.
