After a long six years since the betting market became permitted in Brazil, still under the Temer government in 2018, the sector's regulation is finally close. With exactly 50 days left until the start of the regulated industry, on January 1, 2025, we have reached the final stretch.

The importance that regulation will have been nothing new to anyone, creating a safer, regulated and beneficial market for everyone, generating jobs and revenue collection by the Brazilian State, as well as mechanisms to protect both bettors and companies. It was more than obvious that regulation was essential, amid a large industry that for a long time had no clear rules about how it operated.

Now, however, after Law 14,790 and a series of ordinances published by the Secretariat of Prizes and Bets of the Ministry of Finance, the situation will be different. Among the various measures established, some already in practice and others not, what we are witnessing is the creation of a system that addresses issues for the proper functioning of this gigantic industry, such as sector taxation, advertising standards, guidelines to provide support and all psychological assistance to bettors, institutionalize practices that must be followed in favor of responsible gambling and several other points. In this aspect, bookmakers must comply with strict regulations, as determined by the new Brazilian legislation.

One of the main requirements, for example, is that bets include strict KYC and transaction monitoring processes to prevent illicit activities, such as money laundering.

Another of the main issues to be explored is the need for players to create new registrations to access betting houses. In each of them, bettors will have to carry out the identity verification process, including facial recognition. This whole know-your-customer procedure will be much more demanding for these players, with bookmakers carrying out facial and document validation to ensure that the person is themselves.

There are a series of new possible solutions for the adjustments that bookmakers will have to make as quickly as possible. Some of them, of course, are already mostly followed within the sector, such as the prohibition on paying bets via credit card, something that was no longer allowed in our system, as well as in the main betting houses in the country.

Others still deserve a little more attention, such as the issue of different betting accounts that must be created, as determined by the government. The bets, which are outside Brazil, will enter the country and become Brazilian companies, having to rely on a financial structure to be able to operate the bets in the best possible way and send the information that will be necessary to the government about the operation.

Because of this, there must be three different accounts – the financial, transnational and operational reserves – which will be transacted, in a process that is simple but will also require adjustments and technology. What we will see in the coming weeks, until the beginning of 2025, are the last adjustments so that the market is functioning at its best.