IBJR gains first payments processor members as four more firms join ranks

Novibet, LeoVegas, Pay4Fun and Grupo OKTO have become the latest members of the Brazilian Institute of Responsible Gaming (IBJR) as the industry awaits regulation of the market.

The four companies – comprising three European-founded betting operators in Novibet and LeoVegas and two payments firms in OKTO and Pay4Fun – seek to contribute to the public discussion on Brazilian sports betting regulation.

Consequently, the operators aim to assist the IBJR in expanding its activities and expertise to ultimately drive development of a ‘sustainable Brazilian market’. Regulation is currently within reach in Brazil, with legislation drafted by the government of Lula da Silva.

André Gelfi, CEO of the IBJR, said: “The new members are companies of great prestige in the betting sector, have international expertise in regulated markets and identify with the IBJR’s mission of collaborating with society for a regulated, fair, sustainable market that prioritises sporting integrity and player safety.”

The addition of four new members expands the IBJR’s ranks to 13. The organisation was established in March 2023 by operators bet365, Betsson Group, Betway Group, Entain, Flutter, KTO Group, Netbet Group and Yolo Group, and fantasy games developer Rei do Pitaco.

The bulk of IBJR members are international companies with interests in the developing Brazilian market. For example, Entain relaunched the Unikrn esports brand in the country earlier this year after first acquiring the company in 2022.

Of the organisation’s latest sign-ups, LeoVegas has been active in Brazil as a sports betting and online casino provider since 2019, three years prior to its acquisition by MGM Resorts.

Novibet – like LeoVegas – has a history as a European founded and focused firm, but has recently begun to expand its Latin American presence via launches in Brazil, Chile, Ecuador and Mexico.

Meanwhile, Pay4Fun and OKTO have been active in Brazil since 2018 and 2019 respectively, with the former being a locally founded and 100% owned firm based on Sao Paulo, whilst the latter has been operating in European markets such as Germany, Greece, Italy and Romania. 

The IBJR asserted: “Fintech supports responsible gaming by providing major international operators with technology that enables secure transfers, in real time, with an omnichannel approach.

It looks highly likely that regulated sports betting will become a reality in Brazil later this year, with President Lula and the Ministry of Finance proposing GGR tax of 16% as well as safer gambling, advertising and integrity provisions.