Flutter Brazil CEO João Studart has called for a careful approach to regulating Brazil’s burgeoning gambling industry. Since the legal market’s inception on 1 January 2025, the sector has witnessed significant growth, with licensed gambling generating BRL17.4 billion ($3.2 billion) in gross gaming revenue over the first six months. This, in turn, contributed BRL3.8 billion in tax revenues to the country.
However, the regulatory environment remains challenging. New advertising restrictions loom, and there’s been a recent proposal for a retroactive tax on operators for the decade before regulation. Although this proposal was recently withdrawn, the atmosphere remains tense for industry players.
Studart, speaking before a critical vote, cautioned regulators against imposing excessive controls that might stifle the industry’s growth and drive consumers to the black market. A study by Instituto Locomotiva earlier in the year highlighted that 61% of Brazilian bettors engaged in illegal gambling activities in 2025.
These figures, Studart pointed out, illustrate the risks of overregulation. “High taxes, cumbersome bureaucracy, and advertising bans could push consumers towards unregulated platforms that evade user protection regulations and do not contribute to our tax base,” he noted. For him, striking the right balance between tax burden, advertising limitations, and the market’s appeal is crucial.
This period marks a pivotal opportunity for Brazil’s betting landscape. Studart described current regulations as crucial for fostering a responsible and secure licensed betting sector. “The progress we’ve made lays a foundation for a balanced ecosystem, merging innovation with accountability,” he remarked, emphasizing Flutter Brazil’s commitment to sustainable growth.
Flutter Brazil came into being last year when Flutter Entertainment acquired a 56% stake in NSX, parent to the Brazil-focused Betnacional brand. By May, Flutter had completed the acquisition, appointing Studart as CEO of Flutter Brazil. In Q2, the company reported a 144% increase in Brazil revenue, reaching $44 million, making it Flutter’s fastest-growing market.
Studart remains optimistic about Flutter’s prospects, believing the company is well-positioned to leverage new regulations. By September 2024, Flutter’s acquisition of NSX Group had secured it an 11% market share, ranking it among Brazil’s top three betting businesses.
Aiming for a podium position, Flutter Brazil has harnessed the power of localization. With a workforce of around 500, the company invests heavily in technology, marketing, and customer service to enhance user experiences. “The Brazilian market is consolidating, and this presents great opportunities for operators who prioritize consumers, invest seriously, and adhere to best practices,” Studart explained.
Emphasizing local expertise, he said, “Flutter Brazil is dedicated to maintaining a team imbued with the spirit and knowledge specifically suited to Brazil. With Betnacional as a core part of our brand, our mission is to sustain operations centered on Brazilian talent and insights.”
Through a blend of global reach and local understanding, Flutter Brazil seeks to contribute actively to the sector’s maturation. “By offering relevant and safe experiences, we aim to reinforce the trust, transparency, and Brazilian cultural pillars that support our brands,” Studart added.
Yet, not everyone shares this optimistic outlook. Critics of the current regulatory framework warn of potential pitfalls. They argue that excessive regulation could deter investment and innovation, leading to a stagnation in growth. Some industry experts suggest a more flexible regulatory approach could better accommodate the rapidly evolving market landscape.
Despite these challenges, Flutter Brazil’s strategy seems well-aligned with market demands. The company continues to adapt by integrating local cultural nuances with its operations, a move that resonates well with local consumers and stakeholders. This approach could provide a competitive edge as the industry grows more complex.
Ultimately, the future of Brazil’s gambling sector hinges on regulators’ ability to craft rules that foster growth while maintaining consumer protection. As the market continues to evolve, stakeholders like Flutter Brazil are poised to navigate these changes and seize opportunities within this dynamic environment.
For now, the focus remains on ensuring that Brazil’s gambling sector flourishes responsibly, balancing regulation with market needs to prevent an upsurge in illegal activities. As Studart and his team at Flutter Brazil continue to expand their influence, the industry’s trajectory will undoubtedly be one to watch closely in the coming years.
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