iGaming in Brazil: Key Payment Testing Requirements Under New Regulation

• Brazil's newly regulated iGaming market mandates strict compliance with KYC and AML protocols, particularly for payments.
• PIX, Boleto, debit/credit cards, e-wallets, and crypto are essential payment systems for Brazilian users.
• Operators must prove robust identity and biometric verification systems and use payment methods authorised under local laws.
• KYC, CPF verification, and fraud prevention are legally required for platform operation and user onboarding.
• TestPapas stands out by offering specialized, locally relevant payment systems testing that ensures compliance and seamless player experience.

Looking to launch an iGaming platform in Brazil? Brazil’s iGaming industry has been the talk of the global "iGaming town" especially after 2023, when the country passed the law to establish online and land-based sports betting. On 30 December 2023, the President signed Bill 3.626/23 into Law 14.790, legalizing the local sports betting and online gambling industry.

As of January 1st, 2025, Brazil officially launched its regulated iGaming and sports betting market, transforming the region into one of the most promising frontiers for online gambling. With over 210 million residents and a rapidly digitizing economy, Brazil offers unmatched growth potential for international operators. However, entering the Brazilian iGaming market is no walk in the park – especially when it comes to payment testing and compliance.

Operators must tailor their platforms to local payment preferences like PIX and Boleto but also meet rigorous regulatory requirements surrounding KYC, AML, and secure transaction processing. This is where TestPapas becomes a vital partner, providing one of the few specialized payment testing services so you can rest assured that your company is compliant with Brazil’s unique iGaming ecosystem.

Legalized iGaming in Brazil comes with certain requirements. All operators must now acquire a five-year licence, costing around €6 million, while establishing a local presence, with at least 20% Brazilian ownership.

More importantly, operators must adhere to strict licensing, operational, and technical standards, with payment systems and identity verification at the center of these requirements. The Secretariat of Prizes and Betting (SPA), Brazil’s iGaming regulator under the Ministry of Finance, oversees compliance and data localization.

To legally operate in Brazil’s iGaming market, payment testing is not just a best practice – it’s a compliance necessity. According to SPA mandates, operators must:

• Offer transactions through PIX, TED, and debit/prepaid cards only
• Ensure payment systems are hosted in Brazil or under approved international agreements
• Integrate secure and transparent payment infrastructures for deposits and withdrawals

Operators are prohibited from using unauthorised or unregulated financial tools. Every part of the payment journey – from initiating a deposit to processing winnings – must meet technical and regulatory scrutiny. Poor implementation of payment systems can result in financial penalties, revoked licences, or blacklisting by Brazil’s National Telecommunications Agency (Anatel).

• PIX: The crown jewel of Brazil’s payment ecosystem, PIX enables real-time, low-cost transactions 24/7. Operated by the Central Bank of Brazil, PIX is widely adopted, especially among mobile-first users.
• Boleto: Boleto Bancário is a voucher-based system commonly used by those without access to traditional banking. While it offers wide accessibility, its processing time (1–3 days) introduces fraud and identity risks.
• Debit/Credit Cards & E-Wallets: Acceptance of both international (Visa, Mastercard) and local cards (Hipercard, Elo) is crucial. Popular e-wallets like Pay4Fun further enhance accessibility and conversion rates.
• Cryptocurrencies: Though not explicitly endorsed by regulators, the growing trend of crypto usage in Brazil has made it a payment method to watch. Regulatory frameworks are evolving, and operators may benefit from future-proofing their platforms accordingly.

Payment testing goes hand in hand with user identity verification. Brazil’s compliance framework demands a multi-layered KYC approach:

• CPF Number Verification: The Brazilian taxpayer ID (CPF) is mandatory for registration. Verifying against Receita Federal sources is critical to avoid fake or recycled numbers.
• Biometric Verification: Facial recognition technology must be used to verify ID documents and match the player’s identity.
• Document Proofing: Only verified Brazilian IDs (RG), driver's licenses (CNH), or passports are accepted. Operators must detect worn, fake, or altered documents.
• PEP and Exclusion List Checks: Operators must screen out politically exposed persons (PEP), government officials, and individuals banned from gambling, including sports professionals.

Beyond verifying identity, operators must also prove their systems are secure enough to:

• Prevent fraudulent use of vouchers or delayed payment methods
• Detect bonus abuse through email, location, or device fingerprinting
• Monitor and report suspicious transactions to COAF (Brazil’s Financial Activities Control Council)

Navigating Brazil’s regulatory maze requires technical precision and expertise. And this is where TestPapas can help you.

TestPapas is one of the few companies globally specializing in Payment Testing for Brazil’s iGaming Market. With deep operational understanding and access to native testers within the country, TestPapas ensures that every payment system meets the region’s high compliance bar.

• Local Simulation: Payment methods are tested by Brazilian residents using real accounts, reflecting true consumer behavior.
• Comprehensive Test Coverage: Supports PIX, Boleto, credit/debit cards, and top e-wallets, as well as biometric and KYC flow testing.
• Deposits as well as Withdrawals Testing: We cover the full gaming payments cycle including withdrawals, which are imperative to the players and a key aspect for customer retention.
• Detailed Reporting: Full reports include screenshots, device metadata, and screen recordings.
• In a market where one minor flaw could mean licence rejection, TestPapas helps ensure operational reliability and peace of mind.

Brazil’s iGaming market is booming – but it also comes with rigorous compliance obligations. Payment systems, online payment methods, and user verification are at the heart of Brazil’s regulatory focus.

Operators must do more than integrate PIX and support Boleto; they must verify every element of identity, prevent fraud, and ensure transparency in every transaction.

That’s where TestPapas steps in. From precise Payment Systems Testing to localized compliance expertise, we lead the way in helping platforms enter and thrive in Brazil’s newly regulated iGaming space.

Contact us to discuss how we can help your company enter the booming Brazilian market in full compliance and confidence!

What payment methods are legal in Brazil’s iGaming market?

Operators are required to support transactions via PIX, TED, and debit or prepaid cards. Alternative methods like Boleto Bancário and approved e-wallets are also commonly used, while unauthorized tools are strictly prohibited under Brazilian gambling regulation.

What is required for KYC compliance in Brazil?

Brazil’s iGaming KYC requirements include CPF number verification, biometric ID matching, proof of legal documents, and screening against exclusion lists. Platforms must also ensure secure systems that detect fraud and prevent abuse.

How can TestPapas help with Brazil iGaming regulations?

TestPapas provides localized payment testing and regulatory compliance support for iGaming operators entering the Brazilian market. With native testers and detailed reporting, we ensure your platform meets all SPA compliance requirements and delivers a seamless user experience.