In a bold move that is set to shake up the online poker industry, Flutter Entertainment has announced that its online poker brand PokerStars will stop offering online casino games and sports betting in Brazil but will continue to offer online poker. The move to cease its online casino games and betting operations comes as a response to new regulatory shift in online sports betting and iGaming.
PokerStars is one of the world’s leading online poker platforms with its strong presence in Brazil where the brand also offers online sports betting and casino games in addition to its core service – online poker. With the Brazilian government introducing stricter regulation for online gambling, the online poker giant is going to cease its casino and sports betting operations for its Brazilian users by December 16, just weeks before Brazil’s new regulatory regime comes into effect in January, 2025.
That means Brazilians will no longer be able to access casino games and sports betting on the platform. However, online poker will continue unabated on the platform as poker is classified as a skill game in Brazil and is set to be exempt from the upcoming new rules and regulations in the country.
Flutter Gears Up To Deal With Upcoming Regulatory Shift With NSX Group Acquisition
While Flutter, the parent company of PokerStars, ceases sports betting and casinos games on Stars, it is not stepping away from these segments as its Star Customers will be shifted to other Flutter brands that have already applied for licensing to run operations for these segments. Among these brands, Betnacional is expected to be the leading brand, which will be offering Flutter’s sports betting services.
Last month, Flutter inked a $350 million deal to acquire Betnacional’s parent company, NSX Group. The decision was taken to deal with the upcoming regulatory shift in the country. Betnacional is said to be Brazil’s fourth-largest online sports betting brand and currently holds a 12% share of Brazil’s online sports betting market, according to Reuters. This move aligns with Flutter’s strategy of acquiring big brands and operators in their respective regions and the company terms it as ‘local hero’ approach.
Flutter is also launching ‘Flutter Brazil’, a new division which will oversee NSX Group operations, including Betnacional. This aims to strengthen their combined business and capitalize on the opportunity in the lucrative Brazilian market. Stripping down the PokerStars offerings in the country will also help Flutter to reduce its costs as well as eliminate redundancy in licensing fees.
Apart from announcing its poker-only shift, PokerStars has also announced that their online poker platform will be offering exclusive tournaments and promotions to keep Brazilian players engaged.
This decision is a testament to PokerStars’ commitment of providing superlative poker experience for its loyal players. So, players can look forward to a new and improved experience on the platform with a host of exciting online tournaments and promotions coming their way in December this year.
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