Despite the upcoming launch of the Brazilian sports betting market on the horizon, the Brazilian Football Confederation (CBF) has warned clubs a sponsorship ban will take effect this week on unlicensed betting operators.
On Friday 11 October, betting and gaming companies that have failed to licence as an operator in Brazil will gain no exposure on club shirts for national competitions, such as the Campeonato Brasileiro Série A.
The CBF issued a statement to relevant clubs and federations providing more clarity on the matter. This is in accordance with guidelines laid out by Brazil’s Ministry of Finance, which states that an article was implemented to its regulation that conditions advertisements to “unrestricted compliance”.
According to the regulatory body, bookmakers without authorization from the Ministry of Finance are “prohibited from publicity or commercial propaganda, under penalty of applying the penalties provided for in current legislation and the sports sanctions provided for in the General Regulation of Competitions (RGC)”.
For betting and gaming companies that are licensed, such as Betano, Betfair and Stake, business will continue as usual and be able to profit and garner exposure in one of football’s historically enriched nations.
Clubs like Atlético Mineiro and the Campeonato Brasileiro Série A will also be able to profit and bring additional revenue from their sponsorship agreements with Betano.
However, SBC Noticias Brasil highlighted that up to six Brazilian clubs, Atlético Paranaense, Grêmio, Corinthians, Bahia and Palmeires, have an active sponsorship deal in place with unlicensed operator Esportes da Sorte.
Atlético Paranaense were the first club to suspend its deal with Esportes da Sorte and the other five clubs will also have to swiftly make a decision before the 11 October ban comes into effect.
