Illegal betting market share falls in Brazil in the first half of 2026

Brazil’s illegal betting market shrank in the first half of 2026, according to a study by LCA Consultores, which says the estimated share of irregular wagering fell versus the survey published in June 2025. For regulated operators and PSPs, the point is not just the direction of travel: enforcement and clearer market rules are starting to make authorized platforms easier for bettors to distinguish from clandestine ones.

1. The study, Dimensionamento y combate del mercado ilegal de apuestas en Brasil, says the estimated share of the illegal market declined in the first half of 2026 compared with the research published in June 2025. It also found that the gap between the most optimistic and most pessimistic scenarios narrowed from 10 percentage points to 6 percentage points.
2. The analysis was based on data from Incidencia de las apuestas ilegales en Brasil, a study carried out by Instituto Locomotiva at the request of the Brazilian Institute for Responsible Gambling (IBJR).
3. Researchers said the decline over the semester is linked to the progress of regulation and enforcement actions in the sector. They also said these measures are helping bettors identify authorized platforms more clearly and distinguish them from illegal operators.
4. Even with the improvement, Brazil still has a high level of irregular activity compared with other regulated markets. Eric Brasil, director of Regulation and Public Policy at LCA Consultores, said the illegal market remains very large by international standards.
5. Among the markets analyzed, the Netherlands was the only one with a higher share of irregular betting than Brazil, at 51%. At the other end of the table, Ireland, Sweden and the United Kingdom recorded the lowest shares of irregular betting, at 3%, 6% and 8%, respectively. Eric Brasil also said the regulated betting sector generated approximately R$37.000 millones last year.

Carlos Lima, executive president of IBJR, said the figures indicate that regulation and the federal government’s measures against illegal platforms are beginning to produce concrete results. He added that the decline should be paired with continued action against clandestine operators and stronger enforcement.