BetConstruct AI executive says Brazil betting ban will leave lasting scars

Fabio Tiberia, recently appointed VP of Latin America at BetConstruct AI, has warned that Brazil's sudden prohibition of fixed-odds betting will have lasting consequences for the industry regardless of how the legal process unfolds, in an interview with SBC News.

Brazil's betting market was thrown into uncertainty after Provisional Measure No. 1,394, dated 25 September 2026, prohibited the exploitation, offering, intermediation and advertising of fixed-odds betting across both physical and online channels. The measure is already in force and sets out the extinction of existing authorisations after a 30-day transition period.

Tiberia told SBC News that the Provisional Measure could still be rejected, allowed to expire or substantially amended as it moves through the legislative process, meaning a return of the regulated market cannot be ruled out. He said that outcome is not guaranteed today.

He added that the episode will leave a mark on the sector however the legislation is ultimately resolved. "Even if the market comes back, the scar will remain," Tiberia said, pointing to the effect on operators, suppliers and investors who have watched the regulatory framework shift abruptly.

Tiberia said BetConstruct AI's priority through the disruption is clear: "compliance, adaptability and protection of our partners come first."

He suggested the uncertainty could push the market toward physical distribution, noting Brazil's existing retail culture and its population's familiarity with points of sale for lotteries and financial services. Citing the Latin phrase "Historia magistra vitae — history is the teacher of life," he argued that when regulation becomes more restrictive or complex, markets often gravitate toward models that are easier to supervise through established physical networks.

Beyond Brazil, Tiberia identified Mexico, Argentina, Peru and Venezuela as markets generating strong interest for BetConstruct AI in 2026, describing the company's approach as expanding in all directions while treating Brazil as strategically important despite the current disruption.

On product strategy, Tiberia said the platform's modularity lets operators enter regulated markets without rebuilding from scratch, adapting elements such as KYC, payments, compliance, reporting, risk management and content to each jurisdiction's requirements. He cited tools including Betting Mate, Lucky Boost, Power Bank and Sport Reel as examples of how AI is applied to personalisation, risk management and responsible gaming across sportsbook and casino products.

Tiberia contrasted Latin America with Europe, saying sportsbook remains a far stronger driver of player acquisition in the region because of football, whereas European markets are more mature. He said some countries, including Brazil, may see a stronger return to retail and physical distribution in their next phase of development.

He also stressed the importance of local presence, saying technology can be global but market knowledge and relationships are local, and that having staff on the ground allows faster decisions and stronger long-term partnerships with operators.

Looking ahead to 2027, Tiberia forecast further change across the region. "I expect more regulation, deeper localisation, more AI and greater consolidation," he said, adding that operators will increasingly seek partners combining technology with genuine market expertise rather than those simply offering more products.