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Stake Granted Legal Right to Resume Operations in Brazil Until 25 October

By jili tutorial · October 10, 2026

Stake Granted Legal Right to Resume Operations in Brazil Until 25 October

The Federal Court of São Paulo has issued a partial injunction favoring Stake, a prominent betting platform, allowing it to resume operations in Brazil until 25 October 2023. The ruling, signed by Federal Judge Cristiane Farias Rodrigues dos Santos of the 9th Federal Civil Court of São Paulo, responds to a lawsuit filed by the law firm Bichara e Motta. The lawsuit sought to suspend Provisional Measure 1.394, which aimed to ban online gambling, and requested that Stake be permitted to operate until its operator license expires on 31 December 2029. While the judge did not grant the full request, she partially upheld it, permitting Stake to operate until 25 October and ordering the unblocking of the platform’s website. This decision effectively suspends the government’s termination of Stake’s authorization and prevents access to the gov.br website, which was created to guide users about the end of the betting process.

Background: Brazil’s Provisional Measure Banning Online Gambling

The partial injunction follows a broader move by Brazil’s President Luiz Inácio Lula da Silva to ban online gambling through Provisional Measure 1.394, enacted in late September 2023. This measure aimed to terminate operator licenses and halt all online betting activities. Prior to Stake’s legal victory, two major gambling trade bodies in Brazil petitioned the Supreme Federal Court to overturn Lula’s ban. However, the Supreme Federal Court has yet to make a ruling on the matter. The decision to allow Stake’s operations until 25 October aligns with the provisional measure’s timeline, which set this date as the expiration of operator licenses. Judge Cristiane Farias emphasized that if the authorization were legally terminated upon the provisional measure’s publication, there would be no need to specify a later end date.

Key Conditions Imposed on Stake’s Operations

The Federal Court’s ruling permits Stake to resume operations but imposes 12 stringent conditions to ensure compliance with legal and ethical standards. These conditions include:

  1. Prohibition of Betting by Legally Barred Individuals: Stake must prevent individuals barred by law, government programs, or regulatory mechanisms from placing bets.
  2. No Gambling with Social Program Funds: The platform cannot accept bets funded by government social programs.
  3. Bettor Identification Mechanisms: Stake must maintain systems to verify the identity of its users.
  4. Advertising Restrictions: Ads targeting children and teenagers are strictly prohibited.
  5. Limits on Promotional Activities: New campaigns or initiatives to expand the user base are banned.
  6. Balance Withdrawal Rights: Users must retain the ability to withdraw their balances.
  7. Financial Transparency: Stake must maintain sufficient funds to cover outstanding balances and preserve registration, financial, and transactional records.
  8. Regulatory Reporting: The platform must continue submitting required reports to regulatory bodies.
  9. Domain Restrictions: Operation through unauthorized domains is prohibited.
  10. Brand Protection: Stake cannot use the court decision to legitimize unauthorized operators misusing its brand.
  11. Fraud Prevention Measures: The platform must uphold measures against fraud, counterfeiting, trademark misuse, and unauthorized operators.

Implications of the Ruling for the Betting Industry

The decision marks a significant development in Brazil’s fixed-odds betting sector. According to Bichara e Motta, the law firm representing Stake, this is the first favorable ruling for a fixed-odds betting operator in the ongoing legal dispute surrounding Provisional Measure 1.394. The firm noted that the request to extend operations until the original license expiration date remains subject to further review. This ruling highlights the judiciary’s role in balancing government regulations with the rights of private operators, setting a precedent for future cases in Brazil’s evolving gambling landscape.

Conclusion: A Temporary Reprieve

Stake’s partial injunction provides a temporary reprieve, allowing the platform to operate until 25 October 2023. However, the broader implications of Provisional Measure 1.394 remain unresolved, pending further rulings from the Supreme Federal Court. Stake’s case underscores the complexities of regulating online gambling in Brazil, where legal, ethical, and economic considerations intersect. As the situation evolves, stakeholders across the industry will closely monitor developments.