Lottery and i-lottery in Latin America: where the opportunity is in 2026
Brazil's regulated market, rising taxes and fast-growing online play are reshaping lottery and iGaming across Latin America. What operators and suppliers should know.
By Andrew Lindley · · 3 min read
If you are in lottery or iGaming and looking for growth, Latin America is the region to understand in 2026. Online betting and gaming across the region is expected to pass US$10bn in gross gaming revenue within a few years, led by Brazil, Mexico, Colombia and Peru (Atlaslive).
I have worked on lottery projects in the region, including helping a B2B gaming technology group add i-lottery to its platform, which has become a strong part of its business in Central and Latin America. Here is how I see the landscape.
Brazil: big, regulated and getting more expensive
Brazil's betting market was formally regulated on 1 January 2025 under Law 14.790/2023, with the Secretariat of Prizes and Betting (SPA) in the Ministry of Finance licensing and supervising operators.
Tax is rising. Gross gaming revenue tax goes from 12% to 13% in 2026, 14% in 2027 and 15% from 2028, with a social security contribution added on top that rises from 1% to 3% over the same period (Yogonet). The same law makes payment providers and advertisers jointly liable if they deal with unlicensed operators, which is a strong push towards the regulated market.
For lottery specifically, Brazilian states can run their own lotteries alongside the federal system. That creates opportunities for technology and content suppliers who can work with state partners.
Colombia and Peru: steady regulators
Colombia's regulator, Coljuegos, is working through a 2023 to 2026 strategic plan focused on legal play, and updated its online concession requirements in 2025. Peru has set up a dedicated directorate within MINCETUR for remote games and sports betting (Atlaslive).
Why i-lottery fits the region
Lottery is often the most trusted gambling brand in a country. Taking it online, through apps, retail-linked digital sales and new game formats, lets lotteries reach younger, mobile-first players without losing that trust.
In my experience, three things decide whether an i-lottery launch works:
- Payments that match local habits. In Brazil that means instant payment rails, not cards.
- Retail and digital working together. Agents and shops remain a key channel. A good platform supports both.
- Products built for mobile. Instant games and fast draws, not just a digital copy of the paper ticket.
Where I would focus
- Suppliers: partnerships with licensed operators and state lotteries in Brazil, Colombia and Peru, with products built for local payments.
- Operators: licensed, well-capitalised entry rather than grey-market positioning. Joint liability rules mean the grey market is getting harder to serve.
- Investors: lottery assets are often undervalued and ripe for modernisation, a point several industry advisers made in their 2026 outlooks (iGaming Business).
Lottery has been the core of my career, from Lottoland to Lot.to's SaaS platform for operators in Africa, the Caribbean and Spain. If you are planning a lottery or i-lottery move in Latin America, let's talk.
Sources
Gambling industry business adviser. Holds a solicitor's practising certificate but does not give legal advice through this business. Co-founder of Lottoland and Lot.to, former CEO of Sportech plc and former General Counsel of the Tote. More about Andrew