Gambling companies have reportedly asked regulators to suspend operations of prediction market platforms such as Polimarket and Calci in Brazil. The gambling lobby argues that prediction market contracts constitute betting and that these platforms are not licensed in the country and should be blocked.
Brazilian gambling lobby attacks prediction markets
The gambling company has taken steps to suspend its prediction market platform operating in Brazil.
According to Folha de São Paulo, gambling companies have met with Brazil’s gambling watchdog, the Secretariat of Prizes and Gambling, to ask them to stop betting markets such as Polimarket and Calci from operating in Brazil.
These companies complained of the unauthorized participation of these platforms in the Brazilian market, as each local gambling operator must pay more than $5.7 million in license fees and comply with local regulations.
The Brazilian Securities and Exchange Commission (CVM) considers that some of these markets related to economic and financial outcomes are similar to securities and has approved the introduction of such contracts into the market.
Nevertheless, prediction markets still operate in a gray area due to the lack of regulations directly addressing the industry. For this reason, it is legally restricted in certain countries.
Analysts are divided on whether these platforms should be subject to oversight by the Treasury Department’s Winnings and Gaming Secretariat, or whether they should be placed under the CVM and treated as derivatives.
Although Polymarket does not operate directly in Brazil, it allows Brazilian customers to access its infrastructure and invest in a variety of prediction market contracts. Meanwhile, a portion of Kalsi’s contract will be available through Clear, a subsidiary of XP Group. The company recently announced that it will give international investors access to contracts focused on financial and economic events.
Analysts agree that each contract needs to be examined individually to assess its classification, but the Prize and Gambling Office is currently monitoring the situation and “seeks to ensure consistency with the legal framework and prevent regulatory gaps.”
Brazil’s online gambling market is large, with more than 25 million participants in 2025, and the industry generating total revenue of $6.68 billion. President Lula recently vowed to ban online gambling due to its impact on Brazilian families.
FAQ
- What actions have gambling companies taken regarding Brazilian prediction market platforms?
The gambling company Prizes and Gambling Office Block the operation of prediction markets such as Polymarket and Calcifor unauthorized participation. - What are the licensing requirements for local gambling operations in Brazil?
Local gambling companies License fee is over $5.7 million And adhere to strict regulations, which they claim should apply to all betting platforms. - How does the Brazilian Securities and Exchange Commission view these prediction markets?
of CVM It approves the introduction of contracts related to economic and financial outcomes and is considering several prediction markets similar to securities. - What is the current state of regulation for prediction markets in Brazil?
Prediction markets operate as follows. gray zone In the absence of direct regulation, there is disagreement over whether it should be supervised by the government. Prizes and Gambling Office Or CVM.
