BetConstruct AI Assesses Lasting Industry Scars from Brazil Online Gambling Ban

Fabio Tiberia, VP of Latin America at BetConstruct AI, outlined the regional fallout from Brazil’s abrupt regulatory reversal in an interview with SBC News. Provisional Measure No. 1,394 of 25 September 2026 prohibits the exploitation, offering, intermediation and advertising of fixed-odds betting in both physical and online formats. The measure took immediate effect and mandates the extinction of existing authorisations after a 30-day transition period.

Tiberia emphasised that the framework could still face rejection, expiration or substantial legislative changes. Yet the damage to confidence is already done. Operators, suppliers and investors now face heightened uncertainty over long-term commitments, regardless of any eventual reversal.

Scars Left by Regulatory Volatility in Brazil

Even if the regulated market returns, the scar will remain. The episode demonstrated how quickly the regulatory framework can shift, undermining planning and investment calculations. Tiberia anticipates this may accelerate moves toward physical and retail-oriented models, leveraging Brazil’s established network of points of sale for lotteries and financial services. History shows that restrictive or uncertain regulation often favours supervised, locally integrated distribution. BetConstruct AI’s position remains clear: compliance, adaptability and protection of partners come first.

Modular Platforms and Smarter Growth Across LatAm

BetConstruct AI continues to target opportunities in Mexico, Argentina, Peru and Venezuela while treating Brazil as strategically important despite the uncertainty. The company’s modular platform maintains a consistent technological core, adapting only the jurisdiction-specific elements such as KYC, payments, compliance, reporting, risk management and content. This approach avoids full rebuilds when entering regulated markets.

Local presence and account management are fundamental for understanding operators, accelerating decisions and forging partnerships. AI tools drive personalisation, real-time analysis, risk management and responsible gaming, supporting products that improve engagement and sustainable GGR. Tiberia expects 2027 to bring more regulation, deeper localisation, expanded AI use and greater consolidation, requiring partners that combine technology with genuine market expertise rather than additional product volume. LatAm retains major growth potential, but the next phase demands smarter, data-driven execution.

Reporting: SBC News

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