People from Brazil will definitely find news methods to access those sites or the casinos will be unblocked eventually when certain deals are made with the government, that is what most governments want, they appear to protect the country but are involved in making money for themselves from the operators.
The only way to access blocked casinos is by using a VPN, but any gambler doing so should be aware of the risks. These include potential account closures and, at worst, forfeiting any winnings. I doubt most gamblers would risk that, especially in countries where there are plenty of accessible casinos. In places like this, gamblers can still find what they’re looking for without facing those dangers.
Problems like this have happened in South East Asian countries too and I am not surprised to see that Brazil is also among the group of countries that are developing at present.
Not being able to collect tax is hard on the governments, specially when political and criminal groups are involved in elections and lot of other dirty stuff.
In our country, it’s a different story. They banned certain gambling operators, like POGO, not just for unpaid taxes but because they were using their licenses to scam people and engage in non-gambling-related activities. I’m not sure how it works in other countries, but I agree with you that shady practices are common in this space. That’s a given.