Brazil: Provisional Measure 1,394/2026 bans fixed-odds betting, online games and related advertising

Brazil has moved from a regulated fixed-odds betting model to an outright prohibition. Provisional Measure 1,394/2026, published on September 25, 2026, covers operation, offering, intermediation and advertising, which means PSPs, acquirers, banks and media partners are now dealing with shutdown mechanics rather than licence applications.

1. Provisional Measure 1,394/2026 prohibits fixed-odds betting lotteries, including sports betting and online games, through both physical and online channels. The ban also applies to operations offered from abroad to individuals located in Brazil, so the scope is not limited to domestically hosted websites.
2. The measure says authorisations, permits and concessions granted by states and the Federal District for fixed-odds betting will be terminated within the timeframe established by the measure. That is a direct reversal from the framework Brazil started building in 2025, when operators authorised by the Secretaria de Prêmios e Apostas (SPA), under the Ministry of Finance, began operating under a specific licensing and regulatory regime.
3. The Government has already set a shutdown timetable. On September 25, the measure took effect and new deposits on betting platforms were prohibited. Until October 5, users may voluntarily withdraw available balances. From October 6, betting websites and applications must go offline. On October 7 and 8, companies must provide financial institutions with information on outstanding balances, identified by CPF.
4. From October 9 to 14, banks must process the return of funds to users. From October 14, if a bank transfer cannot be completed, Caixa Econômica Federal will handle the process. Platforms that remain operational after the deadlines will be treated as illegal and are subject to blocking and enforcement measures.
5. Advertising and sponsorships are also covered. The Ministry of Health said companies have until October 5 to remove advertising and sponsorship materials displayed through physical media and outdoor advertising. That affects commercial arrangements with sports clubs, competitions, media outlets, content creators and other companies tied to sports and entertainment.

For payment providers, the practical issue is simple: deposits stop first, withdrawals follow on a government timetable, and remaining balances move into a bank-coordinated return process. For anyone underwriting Brazil-facing traffic, this is no longer a licensing story; it is a closure and funds-return story.