Paraíba Government Bans Influencers from Promoting Online Casinos

In a move to regulate the activities of gambling influencers, the government of Paraíba, Brazil, has enacted a law that restricts influencers residing in the state from promoting online casino games hosted on foreign platforms.

This initiative, which comes amid legal disputes concerning slot machines like the “tigrinho game,” prohibits influencers from advertising these foreign online casinos on social media or websites.

Failure to adhere to these regulations will result in fines. This article delves into the details of this Paraíba law, its motivations, and its implications for the world of gambling influencers in Brazil.

Paraíba Takes a Stand

The legislation that prohibits digital influencers residing in Paraíba from endorsing online casino games on foreign platforms was officially published in the Official Gazette of the State of Paraíba. This law, proposed by state representative Wilson Filho and subsequently sanctioned by Governor João Azevêdo, was inspired by controversies surrounding games such as Fortune Tiger, commonly referred to as the “tigrinho game.” Several other Brazilian states had already banned influencers from advertising this game on social media, leading to the creation of the Paraíba legislation. Those who breach this prohibition in Paraíba will face financial penalties.

Motivations Behind the Law

In his justification for the bill, Congressman Wilson Filho highlighted the financial risks associated with gambling, including the potential for addiction and debt. He also stressed the susceptibility of many followers to the influence of famous personalities who promote these games. The law specifically targets platforms hosted outside Brazil, as federal regulations that are currently under consideration could change the situation, compelling foreign companies to establish headquarters within Brazilian territory.

Defining Digital Influencers

The Paraíba law identifies digital influencers as natural or legal individuals who maintain social networks with over 10,000 followers or websites attracting more than 10,000 unique monthly visits. This definition is crucial in determining who falls under the scope of the legislation.

National Scope and Continued Debate

While Paraíba has taken significant steps in state-level regulation, the broader debate regarding national legislation continues in the Brazilian Congress. The discussion will resume in February when the legislative year recommences. In December 2023, the Communications Commission of the Federal Chamber of Deputies approved a bill aimed at preventing influencers from promoting unregulated gambling on social media. The proposal includes provisions such as legal warnings, fines, and even the suspension of digital influencer activities for up to one year in cases of promoting irregular gambling. Social networks will also be required to cooperate with authorities in monitoring and eliminating prohibited content. Additionally, advertising must inform about the negative consequences associated with gambling and avoid targeting minors. Agencies will need to provide a list of all influencers hired for gambling-related content on their websites.

Conclusion

The government of Paraíba’s move to restrict gambling influencers from endorsing foreign online casinos signifies a step towards regulating the advertising practices within the Brazilian gambling industry. While state-level legislation is in effect, the debate continues at the national level, with a focus on implementing regulations that promote responsible gambling and protect vulnerable individuals. This evolving landscape underscores the importance of influencers’ roles in shaping public perceptions and the need for clear guidelines and oversight.