São Paulo – Google is facing scrutiny for hosting an illegal casino app in its online stores, highlighting a growing tension between tech companies, regulators and licensed betting operators in Brazil. The situation underscores the challenges of policing the rapidly expanding online gambling market, even after federal regulations took effect in January 2025.
The app, which promoted betting with real money, was reportedly downloaded more than 500,000 times before being removed by Google following inquiries from Brazilian news outlet UOL’s Tilt column. Although Google permits apps from licensed betting companies, numerous other applications continue to emulate casinos online, some offering systems to convert virtual chips into real money, despite officially prohibiting withdrawals.
This isn’t an isolated incident. According to a June 2025 study by the Instituto Locomotiva, 8 in 10 Brazilian gamblers report difficulty distinguishing between legal and illegal platforms. The research also found that three-quarters of those who bet online in 2025 used unregulated sites, a proportion even higher among young adults and those with lower incomes. This widespread apply of illegal platforms is costing the Brazilian government significant revenue, with estimates of tax evasion reaching as high as R$10.8 billion (approximately $2.16 billion USD) annually, according to LCA Consultoria Econômica.
The Regulatory Landscape and Big Tech’s Role
Brazil’s Law 14.790/2023 established a framework for regulating online betting, placing a responsibility on digital platforms to avoid offering illegal games. The exploitation of illegal gambling is considered a criminal offense, potentially leading to charges of money laundering and organized crime. The Special Secretariat for Prize and Support (SPA), a federal agency, is leading the effort to combat illegal online betting on four fronts: cybernetic detection and blocking, financial oversight of banks, advertising regulation, and legal refinement of the rules.
Two of these fronts directly involve cooperation with big tech companies. The SPA has agreements with the National Council for Self-Regulation of Advertising (Conar) to address illicit advertising and with the Conselho Digital, an association representing Discord, Google, Kwai, Meta, OpenAI, and TikTok. However, licensed betting operators claim that tech companies are slow to remove illegal apps and advertisements, creating an uneven playing field.
“We want – and we believe we should – pay taxes,” said an executive from a licensed betting company, speaking on condition of anonymity. “Then Google or Apple puts an illegal betting app in their store. It’s a slap in the face to those of us who are trying to do things the right way.” There are even suggestions that these tech companies profit from the illegal activity, though this remains unconfirmed.
Google and Apple’s Positions
Google stated that it removes apps that violate its policies or are not authorized by Brazilian law, and encourages users to report violations through official channels. The company began allowing apps from legalized betting sites in its store in June 2025, while Apple continues to prohibit them.
As of February 23, 2026, UOL reported locating at least 162 apps emulating casinos online in the Google Play Store and 15 in the App Store. These apps aren’t necessarily illegal in themselves, but can operate in a gray area, particularly those offering incentives or systems that skirt regulations.
Challenges in Enforcement and Consumer Protection
The difficulty consumers face in identifying legal platforms is a major concern. The Locomotiva Institute’s research found that 78% of respondents said it was tricky to determine which platforms were regulated, citing a lack of information and the impact of advertising on social media and search engines. This lack of clarity disproportionately affects young people (ages 18-29) and those with lower incomes (earning up to two minimum wages), who are more vulnerable to the risks associated with unregulated platforms, such as a lack of facial recognition and insecure payment methods.
The SPA has already suspended 25,000 illegal sites through its cybernetic efforts, and is working with banks to ensure they only open accounts for licensed betting operators. However, the sheer volume of illegal platforms and the evolving tactics employed by operators present a continuous challenge.
What’s Next?
The Brazilian government is expected to continue its efforts to regulate the online betting market and crack down on illegal operators. The SPA is refining its regulations and strengthening its cooperation with big tech companies and financial institutions. The next step will be to assess the effectiveness of the current measures and identify areas for improvement, particularly in consumer education and enforcement. The ongoing tension between regulators, tech companies, and betting operators suggests that the debate over the future of online gambling in Brazil is far from over.
Here’s a developing story. Readers can locate updates on the SPA’s website and through official government channels.
