New pressure is mounting in Italy for the government to repeal the ban on betting advertising in Italian sports and allocate a percentage of revenue to event organizers.
The Minister of Sport and Youth, Andrea Abodi is reportedly already prepared to do so, and aims to include the measure in the first available decree.
The 7th Permanent Commission of the Italian Senate will vote on a document outlining prospects for reforming Italian football. Senator Marcheschi proposed the document, which provides several recommendations to the government on revitalizing struggling Italian football.
The Italian Football Federation, the Serie A League, and the Italian National Olympic Committee have all pleaded to the government for assistance with infrastructure and renovating neglected stadiums.
The Gazzetta reports that the draft “urges the government” to take several actions, given recent comments made in the football industry, especially from the Football Federation’s President Gabriele Gravina.
Can Betting Ads Revitalize Italy’s Football Economy?
One proposal that would provide almost instant financial relief is lifting the gambling advertising ban and directing revenue directly to clubs. The proposal asks the government to “consider modifying the current ban on advertising related to gambling and betting on sports events.”
The Dignity Decree, introduced in 2018 by then-Labor Minister Luigi de Mario, aimed to combat gambling addiction. According to reports, it has had the opposite effect. A lack of clarity about what was allowed and prohibited has only enriched crypto sportsbooks and the illegal betting market.
Abodi aims to include this in the first available decree, as the Minister outlines that this does not impact public finances, and has the general support of the public.
Reports dictate that he will seek to restore both direct and indirect advertising and launch a “cultural campaign” to raise awareness about betting. The Minister will further emphasize the distinction between sports betting and luck-based games.
The ban on gambling advertising is said to have cost Italian football in excess of €100 million per season in sponsorships. Thus the restoration of betting-adjacent advertising could provide Italian football with an immediate cash injection.
Italian lawmakers are also considering ringfencing tax revenue for sports betting. The proposal would see the government allocate at least 1 percent of the total value of money wagered on a sporting event to the event organizer. The funds would then be used to build new stadiums, modernize old ones, and help achieve institutional goals. Funding would also be earmarked for youth sectors, facilities, women’s football, and other social and sports projects within clubs.
Can Crypto Sponsors Hold Their Ground in Italian Football?
While removing the ban on betting advertising could be good news for crypto sportsbooks, it may also force out existing crypto sponsors – such as Bitpanda.
Bitpanda recently expanded its business partnership with AC Milan from Official Crypto Trading Partner to include back-of-the-shirt sponsorship. The logo is present in all domestic games, but not for Champions League fixtures.
Gambling sponsorships are traditionally some of the top-earning partnerships in sports marketing, and as such, it is reasonable to expect the cost to increase in coming years.
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