Brazil’s New Bill Looks to Limit Gambling Ads, Social Media Influencers
Posted on: December 8, 2023, 06:45h.
Last updated on: December 9, 2023, 12:48h.
Brazil could soon add its name to a growing list of countries that will marginalize gambling-linked social media influencers.
The Communication Committee of Brazil’s Chamber of Deputies approved Bill 3915/2023 on Wednesday. The legislative proposal seeks to impose stringent restrictions on digital influencers involved in the promotion of unregulated gambling.
This move, like a similar but more restrictive decision in France, comes as a response to the escalating concerns surrounding the adverse effects of gambling advertisements on social media platforms. It focuses primarily on the activity’s potential to negatively impact followers, especially the younger demographic.
The fear is that such promotions may lead to substantial financial losses and an inability for players to recover that money. There’s also increasing concern that, in extreme cases, this could result in compromised mental health and even suicides.
Shifting Responsibilities
The bill outlines explicit guidelines for the placement of advertising. It emphasizes the responsibility of digital influencers to ensure that their content doesn’t endorse or promote unregulated gambling activities.
The bill also mandates that all advertising by entities based abroad adheres to Brazilian law regarding billing and recognition. The measure’s scope encompasses all forms of publication on social networks, including videos, live streams, stories, and other formats.
Internet application providers (Twitch, YouTube, TikTok, and others) will also need to collaborate with authorities to monitor and promptly remove content violating the stipulations of the proposed law. They must establish channels for receiving complaints and respond promptly to infringement cases.
What’s Next
This legislative initiative holds significant implications for the regulation of content disseminated by digital influencers, serving as a potential safeguard for social media users against potentially harmful advertising practices. The emphasis here is on the need for responsible propagation of content.
In cases of non-compliance with the proposed regulations, the bill outlines a range of sanctions. Among the possibilities are warnings and substantial fines amounting to 2% of the legal entity’s revenue, capped at BRL50 million (US$10.18 million). A violation could also lead to a permanent ban as an influencer.
The next phase involves the bill advancing to the Finance and Taxation Commission (CFT) and, subsequently, to the Constitution and Justice Commission (CCJ). There, the measure will undergo further scrutiny before reaching a plenary vote.
Source: casino.org
