Chile’s New Law Bans Sports Betting Advertising and Sponsorships
Chile is one of the few countries in Latin America that has not yet legalized sports betting. However, this has not stopped many online bookmakers from operating in the country and sponsoring soccer teams. According to a report by Casino.org, several clubs in the first and second divisions of Chilean soccer have agreements with sports betting operators such as Betano, Betway, and Betsson. These sponsorships provide a significant source of income for the teams, especially during the pandemic.
However, a new bill proposed by Marco Antonio Sulantay, a deputy from the Independent Democratic Union Party (UDI), aims to ban all forms of advertising and sponsorship of sports betting in sports events and clubs. Sulantay argues that sports betting is illegal in Chile and that it can cause social problems such as gambling addiction and underage gambling. He also claims that sports betting operators do not pay taxes on their profits in Chile.
The bill has been presented to the Sports Commission of the Chamber of Deputies and is awaiting discussion and approval. If passed, it would force the termination of all existing contracts between soccer teams and sports betting operators, leaving many clubs in a financial crisis.
ANFP Defends Soccer Teams’ Right to Choose Their Sponsors
The National Association of Professional Soccer (ANFP), the governing body of Chilean soccer, has come out in defense of the soccer teams and their sponsorship deals with sports betting operators. Pablo Milad, the president of the ANFP, said that these contracts are legal and that they are a private negotiation between the clubs and the operators. He added that the ANFP does not interfere in these matters and that it only sets boundaries on the participation of sponsors in soccer events.
Milad also criticized Sulantay’s bill, saying that it is wrong to blame soccer for the country’s gambling issues. He said that soccer is very diverse and that sponsors take advantage of the opportunities that they legally can. He also pointed out that sports betting operators are a significant support for the clubs, contributing to their economic stability.
Milad suggested that instead of banning sports betting advertising and sponsorships, Chile should introduce smart regulations that would require the operators to pay taxes and comply with social responsibility measures. He said that this would benefit both the state and soccer, as well as protect consumers from illegal and unregulated gambling.
The Future of Sports Betting in Chile Remains Uncertain
Chile is currently working on a new gambling law that would regulate online gambling, including sports betting. However, the process has been slow and complex, as there are many interests and opinions involved. The current draft of the law proposes a 25% tax on gross gaming revenue for online operators, as well as strict requirements for licensing, auditing, and consumer protection.
However, some sectors of the gambling industry have expressed their opposition to the draft, arguing that it is too restrictive and unfair. They claim that the tax rate is too high and that it would discourage investment and innovation. They also argue that the law does not address the issue of illegal gambling, which is widespread in Chile.
On the other hand, some legislators and social organizations have voiced their support for the draft, saying that it is necessary to regulate online gambling and prevent its negative impacts on society. They assert that online gambling poses risks such as money laundering, fraud, addiction, and underage gambling. They also advocate for more resources for prevention and treatment programs for problem gamblers.
The debate over sports betting in Chile is likely to continue until a consensus is reached among all stakeholders. Meanwhile, Chilean soccer teams face an uncertain future regarding their sponsorships with sports betting operators. If Sulantay’s bill is approved, they will have to look for alternative sources of funding or risk losing their competitiveness.
