Differences Between Licensed and Offshore Casinos
Quick guide to roulette odds and bets — learn how different roulette bets work, which give better odds, which offer big payouts, and why the house always has an edge.
Quick guide to roulette odds and bets — learn how different roulette bets work, which give better odds, which offer big payouts, and why the house always has an edge.
If you have played online for a while, you have probably noticed a pattern. The big, well-known Aussie brands offer sports, racing, and maybe a few simple games. The huge casino lobbies with thousands of pokies usually sit on offshore sites.
A lot of Australian players now move between both. Local, licensed operators feel safe and familiar. Offshore online casinos can look more exciting, with bigger bonuses and more game variety, but sit outside Australian law. In 2025, around one-third of Australian online gambling is already happening offshore, which worries local regulators and betting bodies. This guide walks through licensed vs offshore casinos.
A licensed casino is a site that holds an official gambling licence and follows rules set by a government regulator. That licence can come from:
Australian state and territory regulators for onshore operators
Major overseas bodies like the UK Gambling Commission or Malta Gaming Authority
Other approved regulators, if they meet certain standards
For Australian players, true “Australian licensed online casinos” are mostly bookmakers and betting apps. Under the Interactive Gambling Act 2001, local operators cannot legally offer online casino games like virtual pokies, blackjack, or roulette to people in Australia. They can offer sports betting, racing, daily fantasy, and approved lottery products instead.
So when we talk about licensed online casinos in this context, we mean:
Sites that have strong licences and accept Australians
Or local betting brands that follow strict Australian rules, but may not offer full casino lobbies
A proper gambling licence usually requires the operator to:
Prove who owns the company and where it is based
Hold enough funds and keep player money separate from company money
Use audited Random Number Generators for games
Offer complaint channels and cooperate with dispute bodies
Run KYC and AML checks to stop fraud and underage play
Offshore casinos are sites that are owned and licensed outside Australia, but still accept Australian players. Common licence locations include Curaçao, Malta, Gibraltar, and some island states that specialise in online gambling regulation.
These casinos sit in an odd middle space:
They may be legal in the country where they are licensed
They are not authorised under Australian law to offer online casino games to Australians
They still accept Australian players anyway and often market directly to them
The Interactive Gambling Act makes it an offence for offshore casinos to target Australians with prohibited online gambling services, such as online casino and in-play sports betting. ACMA can order blocks, issue fines, and work with overseas regulators, but it does not chase individual players.
Most Australian offshore casinos do the following:
Hold a foreign licence from a body like Curaçao eGaming
Offer thousands of pokies, live dealer tables, and instant games
Accept AUD, crypto, or both
Run their own KYC and fraud checks, but with more flexible rules
Market large welcome bonuses and cashback deals that local operators cannot match
Some are very professional and genuinely care about long-term players. Others are poorly run or outright rogue. The problem is that you have to do more homework to tell the difference. You can read our guide on how to spot a scam casino if you need some help.
This is where the real licensed vs offshore casinos debate lives. Forget just the game count for a minute. Think about what happens when something goes wrong.
Licensed online casinos, especially those under “tier one” regulators like the UKGC and MGA, must follow detailed rules on:
Secure payment gateways
Data storage and access controls
Staff checks and internal controls
Strong identity checks and anti-money laundering procedures
Australian licensed sites are also under pressure from ACMA and state laws, and from local media, which makes them more cautious with how they treat players.
Offshore casinos can still be safe, but the range is wide. Some follow strict European-style rules, others barely list any security details. There are also completely unlicensed sites that claim to hold a licence but fail a quick check on the regulator’s website.
Quick tip: Always click the licence logo in the footer. A real casino usually links straight to the regulator’s verification page, not a simple image.
Australian operators face:
The Interactive Gambling Act 2001 at the federal level
State and territory gambling laws
Active enforcement from ACMA, which has already blocked more than 1,000 illegal gambling and affiliate sites since 2019.
Offshore online casinos Australia players use may face lighter or slower enforcement, depending on the licence. Some regulators focus more on business registration than on player disputes.
If your Australian licensed bookmaker behaves badly, you can go to local dispute bodies and, in the worst case, to an Australian court. If your offshore casino ignores you, you must rely on that foreign regulator and public pressure.
Licensed Australian operators:
Use bank transfer, cards, PayID, and local friendly options
Follow strict rules on chargebacks, disputes, and AML reporting
Usually process withdrawals in a defined time window
Offshore casinos often feel faster, especially with crypto payouts, but they can also:
Offer fewer mainstream banking options
Rely heavily on international cards and e-wallets
Face currency conversion fees if you play in USD or EUR instead of AUD
Some Australian offshore casinos manage payments very well, but you need to check reviews rather than assume the licence guarantees smooth cashouts.
Here is a straight licensed casino vs offshore casino comparison with quick positives and negatives.
Factor | Licensed casinos | Offshore casinos |
Local legal protection | Clear complaint paths ✅ | Foreign jurisdiction only ❌ |
Game variety | Limited casino choice ❌ | Huge pokies and tables ✅ |
Bonus offers | Smaller, restricted promos ❌ | Bigger, frequent rewards ✅ |
Payment methods | Local banks and PayID ✅ | Cards, e-wallets, crypto ✅ |
Currency support | Always in AUD ✅ | Sometimes AUD, sometimes not ❌ |
Self-exclusion tools | BetStop and local help ✅ | Varies by site, not standard ❌ |
KYC checks | Stricter and slower sometimes ❌ | Often lighter at signup ✅ |
Even with all the warnings, Australian offshore casinos remain busy. A recent industry study estimated that the illegal offshore market now handles billions in wagers each year and attracts around one-third of online gambling activity linked to Australia.
So why do players still choose to play at offshore casinos in Australia?
Australian licensed platforms cannot legally offer online roulette, blackjack, or digital pokies hosted onshore. Offshore sites fill that gap with:
Thousands of slot titles from dozens of casino studios for Aussies
Live dealer blackjack, roulette, baccarat, and game shows
High volatility jackpots and feature buy games
If you want a full casino lobby, you almost always end up at an offshore site.
Offshore casinos for Australians often advertise:
Welcome bonuses worth several thousand AUD
Weekly reloads, cashback, and free spins
Tiered VIP clubs with personal managers and higher limits
Local brands operate under tight promo rules and cannot compete in raw bonus size. That matters to many players, even if the real value depends on wagering terms.
Quick tip: A smaller bonus with fair wagering is usually worth more than a giant headline matched offer that you can barely clear.
Offshore casinos with crypto payments give Aussie players:
Fast deposits and withdrawals that bypass slow bank rails
Privacy from “casino” line items on statements
Options to move larger amounts than some cards allow
This feels very attractive if you have dealt with delayed bank withdrawals in the past. The flip side is price volatility and the lack of basic bank-level protection if something goes wrong.
Some Australian friendly offshore gambling sites offer things that local rules restrict or ban. For example:
In-play sports betting during live matches
Prize draws and gamified loyalty promotions
Casino tournaments that award large prize pools
Many players simply like having those choices available, even if they do not use them every week.
Now we come to the part most players skip, then regret later.
Australian online gambling law can feel confusing, but the key idea is simple:
The law targets the companies that offer illegal gambling, not the players who place bets.
The Interactive Gambling Act 2001 (IGA):
Prohibits overseas and local operators from offering certain interactive gambling services to people in Australia, including online casino games and in-play sports betting
Allows licensed Australian operators to offer sports wagering, racing, and lotteries under strict rules
Gives ACMA power to investigate, fine, and request blocks on illegal offshore sites
Since 2019, ACMA has ordered Australian internet providers to block thousands of illegal gambling websites and affiliate sites that promote them.
There is no single answer that fits every Australian player. It really comes down to what you value most.
If you care most about:
Strong consumer protection
Clear dispute paths
Comfort with local law and regulators
Then licensed online casinos and local regulated operators come out ahead, even if the game range feels limited.
If you care more about:
Huge game libraries
Bigger bonuses and VIP deals
Crypto banking and fewer product limits
Then you will probably keep using Australian offshore casinos, but you need to accept the extra risk and do serious homework on each site.
If you remember nothing else from this guide, remember this simple rule.
Check the licence, check the payments, and check the reputation before you trust any site with your money.
Do that, and you can make your own call in the licensed casino vs offshore casino choice, with open eyes instead of marketing hype.
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Yes. Australian players are not breaking any law by playing at offshore casinos. The rules target the operators, not the players. The real risk is that offshore sites fall outside Australian consumer protection, so you must choose them carefully.
Generally, yes. Licensed casinos follow strict rules around payments, security, and dispute handling. Offshore sites can still be safe, but the range is wide. Some are solid, some are careless, and a few are outright rogue. The safer choice is always a properly licensed operator.
Most Aussies choose offshore casinos for one simple reason: they offer the full casino experience that local operators legally cannot provide. Offshore sites have thousands of pokies, live dealer tables, big bonuses, and crypto payments. The trade-off is weaker protection if something goes wrong.
Scroll to the footer and look for a licence badge from a recognised regulator, then click it. A real badge takes you to a verification page on the regulator’s website. If it is just an image, or the details do not match the casino, treat that as a red flag.
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