It was abundantly clear even before Brazil opened its regulated online gambling market in 2025 that the nation would serve up a regulatory rollercoaster for companies looking to get involved. 

Despite this, the potential financial rewards were too good to turn down for most and Brazil is now a bustling online gambling market supporting a large number of iGaming brands. 

Regulatory stability has not been easy to come by however. Gambling remains a highly political issue, with several factions with entrenched views having formed themselves in the upper and lower houses of Brazil’s parliament. 

As businesses look to plan ahead for the next year, the prospect of new rules, including potential tax hikes, are weighing on hiring strategy, according to the findings of the 2025 iGB Salary Survey. 

“Brazil’s long-anticipated legalisation of iGaming has sparked rapid movement but also raised concerns,” said Alastair Cleland, managing director at Pentsia.  

“High taxation proposals risk fuelling black-market activity, while a disconnect between local talent and international leadership highlights the importance of genuine localisation,” he added. 

Tax rises just the tip of the iceberg 

Most recently, the Brazilian Senate approved a bill that would increase gambling taxes, raising effective iGaming rates to 26 percent of gross gambling revenue (GGR) in the short term and then 32 percent from 2028. 

The changes are not yet set in stone, with potential blockages in the Senate still possible, before the lower Chamber of Deputies then needs to pass the bill. 

A need to pay more taxes would already dampen hiring budgets for 2026, but Brazil’s often topsy-turvey approach to gambling politics makes it hard to be certain whether or not the changes will come into effect. 

Should iGaming companies bake a tax increase into their plans so they are ready to absorb any hikes that do take effect, or take an optimistic approach that could see them steal a march on the competition if the changes are never realised? Taking either approach is a calculated gamble. 

Other recently introduced regulatory changes include a commitment by the regulator to introduce multi-operator self-exclusion and a new mandatory requirement for all customers to set deposit limits when they open a new account. 

Potential tax increases and new safer gambling measures are stoking fears that Brazil’s black market will surge. 

Prior to regulation, the country supported a vast grey market and although many international iGaming companies chose to apply for licences once they became available, a meaningful cohort of committed offshore firms remained in the still flourishing unlicensed sector. 

In an effort to calm the nerves of its licence-holders, the Secretariat for Prizes and Bets (SPA) says it will be beefing up its enforcement measures against the black market. 

New amendments to the country’s gambling act would require internet providers and digital platforms like search engines to respond rapidly to requests from the SPA. 

The federal government would also begin to monitor the compliance of financial institutions with rules that should prevent them from allowing customers to fund the accounts of black market operators. 

Culture shock 

There are also cultural challenges that need to be navigated to ensure an iGaming company based in Brazil is effectively staffed. 

Some firms have attempted to transplant their North American team and culture into Brazil, often with limited success. 

There are also huge cultural differences in the way that Brazilians typically approach their careers. 

“Brazilians tend to switch jobs more often than European counterparts expect, making retention a challenge,” explained Robert Gray, the VP Americas for Pentasia.  

This can create opportunities, however, with experts from neighbouring industries like fintech, insurance and neobanking more willing to cross the aisle and join an iGaming firm. 

Tensions are also becoming evidence when it comes to where staff want to work. 

“Hybrid models are failing to satisfy both sides: overseas managers want staff in São Paulo offices, but local talent is resisting long commutes and office mandates,” said Gray. 

Marketing costs and hiring patterns also have to be adapted to fit Brazil’s unique landscape. 

Streamers have become a core part of iGaming promotion the world over, but in Brazil they reign supreme over every other form of marketing. Teams that fail to take this idiosyncrasy into account are doomed to failure.