Company
Date Published
Author
Evelyn Chea
Word count
1082
Language
English
Hacker News points
None

Summary

In January 2025, Brazil introduced new online gambling regulations aimed at combating fraud, tax evasion, money laundering, and harmful advertising, requiring betting companies to implement strict anti-fraud measures such as verifying users' physical locations and blocking those using VPNs or proxy servers. These regulations emerged due to concerns about the unregulated nature of the market since its legalization in 2018, which led to illegal activities and exploitative practices. The new compliance regime includes Know Your Customer (KYC) requirements, mandating identity verification through facial recognition and ID checks, along with real-time location verification every 30 minutes to ensure tax compliance and prevent unauthorized access. Companies must also detect and block jailbroken or rooted devices to curb fraud, with device intelligence platforms like Fingerprint offering tools for IP geolocation and VPN detection to comply with the new laws. Despite the complexity of these regulations, the Brazilian online betting market remains lucrative, with projections of reaching $34 billion by 2028, and companies that adopt robust anti-fraud systems will gain a competitive edge in this and other emerging markets.