Brazil’s National Association of Municipal and State Lotteries (ANALOME) has challenged a new rule from Brazil’s Secretariat of Prizes and Bets (SPA-MF). The rule says legal betting operations must use the “.bet.br” domain. ANALOME claims this rule breaks legal principles, limits market competition, and puts state and municipal lotteries at financial risk.

Lottery Association Says New Rule Misleads Users and Harms Legal Operators

The group argues that the rule brings legal confusion for operators who already follow local laws. Many legal betting sites work under state or city permits often using different web addresses. By making everyone use “.bet.br,” the rule might fool users into thinking non-federal operators are not real, which could hurt their name and business.

In its public statement, ANALOME slammed the order as federal overreach, hinting that it is an attempt to control the lottery business. The group stressed that this demand goes against Brazil’s laws and past decisions by the Supreme Federal Court (STF), which said state and city governments can make their own rules for lotteries.

In addition, ANALOME pointed out the wider effects of the ordinance. Many state and city lotteries give money to important public services like healthcare and schools. The new rule could mess up funding sources, which could hurt these key areas. The group said that while it is necessary to fight illegal gambling, the way the SPA-MF chose to do it does not have legal foundations and does not solve the problem.

ANALOME Urges Government to Revoke Rule and Work Toward Balanced Solutions

To fix the disagreement, ANALOME has asked to cancel Ordinance No. 566 and suggested creating a joint team. This team, made up of people from the SPA-MF and industry experts, would look at how the rule affects the sector and its stakeholders and try to find balanced answers that make sure there is legal safety and respect for regional control.

The fight between Brazil’s central government and local lottery companies keeps getting worse. Earlier this year, the Supreme Court backed a decision that stopped Rio de Janeiro’s state lottery from selling tickets outside its borders.

At the same time, Brazil’s social democratic party Solidariedade, has started a legal challenge asking if city-run lotteries are even allowed by law. As things heat up, ANALOME says that open talks and fair rules are key to keeping Brazil’s betting industry stable. The group stresses that it does not want to dodge rules, but rather to make sure any new laws fit with Brazil’s constitution and economy.