Online gambling (or Internet gambling) includes poker, casinos and sports betting. Many countries restrict or ban online gambling, but it is legal in some provinces in Canada, most countries of the European Union and several nations in the Caribbean.
Before online casinos, the first fully functional gambling software was developed by Microgaming, an Isle of Man-based software company.
This was secured with software developed by Crypto Logic, an online security software company.
Safe transactions became viable and led to the first online casinos in 1994.
1996 saw the establishment of the Kahnawake Gaming Commission, which regulated online gaming activity from the Mohawk Territory of Kahnawake and issues gaming licences to many of the world's online casinos and poker rooms.
This is an attempt to keep the operations of licensed online gambling organisations fair and transparent.
In the late 1990s, online gambling gained popularity.
Internet gambling websites had increased from just 15 websites in 1996, to 200 websites in 1997.
A report published by Frost & Sullivan revealed that online gambling revenues had exceeded $830 million in 1998 alone.
In the same year the first online poker rooms were introduced.
In 2000, the first Australian Federal Government passed the Interactive Gambling Moratorium Act, making it illegal for any online casino not licensed and operating before May 2000 to operate.
The new legislation meant Lasseter's Online became the only online casino able to legally operate in Australia; however, they cannot take bets from Australian citizens.