The initiative gained momentum after Governor Cláudio Castro (PL) issued a decree regulating the activity, building on provisions of the federal law that legalized sports betting in 2023. According to Castro, the sector could create 65,000 jobs and significantly boost state revenues, which currently amount to just 30 million reais annually. “Gaming is an economic activity that creates jobs and drives tourism, but it must be strictly regulated,” the governor stated.

Despite official enthusiasm, the proposal faces resistance. Rio’s mayor, Eduardo Paes (PSD), blocked the issuance of operating licenses for interested companies, citing lack of control. “If we’re going to build a Las Vegas, there needs to be proper legislation for opening casinos. The way this was approved, we have no oversight,” Paes argued.

The project has also raised concerns about the ownership structures of some companies authorized by Loterj, the state lottery authority. Among them are groups tied to heirs of historic “jogo do bicho” figures and other gambling rackets. Critics argue that the migration of such capital into the legalized market highlights the urgent need for strict oversight.

According to Loterj, the VLTs function as an electronic version of scratch cards, with numbered series and predetermined prize payouts. At least 65% of revenues must be distributed as prizes, and access is restricted to adults via QR code verification.

The “Las Vegas Plan” emerges at a time when full legalization of casinos in Brazil remains pending in Congress. Until then, the clash between the state government, city hall, and industry players is expected to intensify debate over the future of gambling in the country.