⚽️ Ecuador 🇪🇨: government establishes a new regulatory framework for sports prediction operators

⚽️ Ecuador 🇪🇨: government establishes a new regulatory framework for sports prediction operators

The Ecuadorian government is moving forward with amendments to the “Organic Law on Sports, Physical Education and Recreation”, establishing a new regulatory framework for companies operating in the sports prediction sector.

🟡 Only operators holding a government-issued license and demonstrating compliance with legal, financial, technical and operational requirements will be authorized to operate.

🟡 Licenses will remain valid for a maximum of 5 years, although they may be renewed for the same period upon request by the sports prediction operator.

🟡 Operators must pay, within the first 20 days of each year of the license term, an amount equivalent to 655 unified basic salaries applicable for that year. In 2026, this amount represents approximately USD 316,710, payable to the sports regulatory authority.

🔵 The amendments strengthen obligations related to minor protection, self-exclusion mechanisms, deposit limits, gaming time monitoring, personal data protection and anti-money laundering measures.

🔵 The new framework expands the regulator’s supervisory powers, including operator oversight, enforcement actions for non-compliance and the possibility of blocking unlicensed platforms.

🔴 The framework also establishes tax withholding obligations on player winnings: a unified income tax equivalent to 15% of the total amount won by the user in each event in which a prediction was placed will apply.

🔴 Key point: Ecuador’s Attorney General’s Office (PGE) issued a statement reminding the market that activities involving casinos and gaming halls remain prohibited in the country. Due to this regulatory context, legal specialists recommend that sports betting operators carefully reassess the scope, conditions and validity of their authorizations.

#news #Ecuador #betting #predictions

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