Brazil clampdown
Across the world concerns about the rise of illegal gambling is keeping regulators on their toes and scratching their heads. In Brazil, new laws around who is, and isn't, legally allowed to gamble is driving players to illegal sites. And social media influencers are helping them get there.
Operation Desfortuna
In Brazil, Operation Desfortuna, an initiative driven and actioned by the notoriously heavy-handed Rio de Janeiro police has seen a number of illegal gambling-related arrests coming from perhaps surprising quarters. The arrestees? 15 social media influencers in Rio, São Paulo, and Minas Gerais, for promoting illegal gambling sites.
Authorities suggest the network of influencers is even greater, leaving regulators and local media wondering if this is only the tip of the iceberg.
Killing tragedy
The impact of problem gambling, illegal or otherwise, was brought into shocking focus in July when gambling debts led a Minas Gerais man to kill his mother.
Influencers pushing millions to illegal sites
Authorities suggest the influencers’ impact led millions to visit illegal gambling sites.
One of those embroiled in the scandal is 28-year-old TV presenter and influencer Virginia Fonseca who has 50 million followers, largely among the young. Fonseca claims, however, that her ‘content’ is aimed at over 18s and thus wasn’t breaking any laws by promoting gambling websites.
Another influencer involved, Tainá Sousa, is accused of compiling a ‘hit list’ of journalists and others who had criticised her.
One of those arrested is ‘Maumau ZK’ who was found to have an unregistered gun at his São Paulo home. He claimed the gun was part of a publicity stunt and was later released on bail of around €25,000.
Part of a bigger picture
The influencer scandal in Brazil is just one outcome of the country’s regulators' initiative in determining who is and who isn’t allowed to bet. The government is looking to protect the vulnerable: young people, those on benefits, the over-65s and anyone who may be compromised – sports competitors, officials and administrators, government and public officials and those involved in the regulated gambling industry.
Estimates indicate up to a third of adults in Brazil will thus be barred from betting through regulated channels – hence the boom in activity around the illegal market.
Raising the age...?
Under consideration also is raising the legal gambling age from 18 to 21.
Tightening regulations
Again, it seems, we see another well-intentioned gambling regulator looking to tighten things up but having a negative impact. People who want to gamble won't stop because an easy-to-navigate barrier has been put in front of them. They'll find an alternative – in this instance, again, the grey sector.