It is spreading as a cancer. This month the central bank published a report saying that in August 20% of the Bolsa Família, the largest money transfer program for very poor Brazilians, was spent on these bets.
Out of the 20 million people that receive it, 5 million made bets during that month. This is 2 billion reais (about $450M) spent in a single month by the poorest Brazilians.
It's a cancer. Everywhere you go there are ads. The influencers, the biggest athletes and musicians are marketing it.
Although I tend to be liberal, this needs to be heavily regulated.
For example, maybe gamling can continue being legal but advertising for it be outlawed or severely restricted? Can gambling have the same sort of warnings as on cigarettes, maybe with children going hungry because the parent gambled away all the money for the month? Another way is that some part of the revenue from gambling could go to programs such as Bolsa Família that you bring up? Or to fight gambling addiction in some way?
That's my pragmatic view of these types of thing: try to find what actually works and hurts society the least. You'll never find any perfect system with no harm anyway.
IMO there’s plenty of room for hardline stances. Who cares if gambling goes to the black market? There’s a black market for every serious crime - doesn’t mean we should just okay it. And I’m not sure the USA’s halfhearted only-for-the-poor prohibition is proof that the concept of banning things is broken; if it proves anything unrelated to capitalism, it proves that you need societal buy-in and continued, consistent government pressure.
Alcohol consumption is currently dropping in many (not all places) in Europe (some ref: https://www.euronews.com/health/2024/08/21/dry-january-where...), without any bans, so compared to the prohibition episode I would claim that it would be better to insist on finding and implementing "efficient stances".