Paraíba has become the first state in Brazil to regulate fixed-quota sports betting. On January 17 Governor João Azevêdo Lins Filho signed an executive decree that authorizes Lotep – Lottery of the State of Paraíba—to create a competitive market.
Lotep will be able to grant licenses to operators for a fixed fee. The government will collect a percentage of the profits. The Lottery will also be responsible for accrediting private operators, for setting standards, supervision and inspection of the sector. Operators will be licensed for ten years, subject to extension, according to Games Magazine Brasil.
Bettors will be required to identify themselves.
First it will issue a call for bids of companies interested in exploring sports betting. Companies licensed will be financially responsible for taking sports wagers.
Taxes raised will be earmarked for operating the lottery, social welfare programs, sports, education, health, social development and public safety.
The decree stipulates that any advertising of sports betting must include warnings of the risks of addiction and noting that minors and other vulnerable groups are not allowed to participate.
