Gambling and online casinos in Nauru

Nauru is one of the smallest states in the world, located in Micronesia.

The country is known for its limited resources and dependence on external assistance, so the issue of diversifying the economy, including the field of online entertainment, is becoming more urgent.

Gambling in Nauru is not regulated by law -

the country has no land-based casinos, no state lotteries, and no operator licensing system.

However, the absence of a direct ban allows residents to freely use foreign online casinos and crypto services, which actually makes the market open, albeit unofficial.

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Historical context

Until the 1970s, the economy of Nauru flourished thanks to the export of phosphates, but after the depletion of natural reserves, the country faced an economic downturn.

Since then, the government has repeatedly looked for ways to attract foreign investment, including in the financial sector and offshore services.

In the early 2000s, Nauru considered creating a free business zone for online companies, including licensing online gambling, but the project was not implemented due to pressure from international regulators due to transparency and financial control issues.

Today, the country is again showing interest in the idea of ​ ​ a digital economy, and online gambling is seen as a potential export destination for services.

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Legislation and regulation

Nauru has no specific legislation governing gambling.

The legal framework is limited by the general norms of the Criminal Code, which do not provide for either a ban or a permit for gambling.

Key facts:

• there are no casino, bookmaker or online operator licenses;
• participation of citizens in offshore online games is not punished;
• advertising and promotion of gambling is unregulated;
• there is no tax system for gambling.

Government bodies such as the Ministry of Finance and the Nauru Police Force can only intervene in cases of fraud or financial crime, but do not control online gambling.

Nauru is thus in a legal vacuum -

where gambling is not legalized, but neither is it illegal.

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Online gambling and international platforms

Internet gambling has become the only form of gambling available to Nauru residents.

Despite the small size of the country (population about 12,000), many users participate in international games, especially through mobile devices and crypto casinos.

Popular destinations:

• slots and live roulette;
• football and esports betting;
• crypto gambling and NFT lotteries.

International sites available for Nauru players:

• Stake. com
• 1xBet
• 22Bet
• BC. Game
• Fairspin. io
• Roobet

Ways to pay:

• cryptocurrencies (Bitcoin, Tron, Tether, Ethereum);
• e-wallets (Perfect Money, Skrill);
• replenishment through international cards, with the support of partner processors.

Internet on the island is developing slowly, but with the launch of satellite internet (Starlink and Kacific Broadband)

access to online games has become much more stable.

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Economic context

The country has virtually no private business, and the economy depends on foreign subsidies and fishing.

Against this background, gambling and the fintech sector are seen as an opportunity to attract offshore investment and create jobs.

Development potential of eGaming:

• the creation of an offshore licence similar to the Vanuatu model;
• registration of foreign operators with a minimum tax;
• development of iGaming zones based on digital companies without physical presence.

Pacific Economic Forum 2024 estimates that if online gambling is legalized

Nauru can receive up to $5 million a year in tax revenue and create hundreds of jobs in support and licensing.

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Social and cultural context

Nauru is a country with a strong Christian tradition and low population density.

The society is conservative, but not fanatically religious, so the attitude towards gambling is neutral.

Most residents perceive online gambling as a form of entertainment and a way to earn money with limited employment opportunities.

Local churches and community organizations are urging caution, but not a total ban.

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Prospects

In recent years, the Nauru government has shown interest in creating a "digital services hub" involving the licensing of fintech companies, crypto exchanges and online gambling.

Possible steps until 2030:

• the adoption of the Nauru eGaming Act;
• a Nauru Gaming Authority institution;
• issuance of offshore licenses for online gambling;
• participation in the Pacific Digital Economy Network regional initiative.

Forecast:

• with competent legalization, the Nauru gambling market can reach $20-25 million in turnover per year, mainly due to international operators, and not local players.

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Nauru is one of the few Pacific countries without gambling legislation, but with a growing interest in digital entertainment and cryptoeconomics.

The lack of prohibitions makes the market potentially attractive for future investment and licensing of eGaming companies.