What is offshore hosting?

Hosting your website in a foreign location has a host of benefits attached to it such as greater security and substantial anonymity while availing comparatively lax legal frameworks as well.
“Offshore (Web) Hosting” refers to the assistance that permits an individual or a business to host their web site across a distant spot from their place of origin. The website is only under constraint of the laws of the country it is hosted from. Normally, many developed countries outsource their hosting requirements to underdeveloped or developing nations in order to seek financial advantages. The opposite can often be true as well as developing countries seek a high level of confidentiality as well as improved features.

Offshore hosting attracts anyone who wants to avoid the regulations in their own country. This method is immensely helpful for any website that contains controversial material and any websites comprising content banned in other countries. It has given the liberty to post material on the web sites without the fear of shut down or legal risks. Offshore hosting can also be utilized anonymously, where the identity of the host is not disclosed.

How is anonymity maintained?

There are several ways that the firms use to maintain your anonymity. Unidentified accesses for payment for offshore hosting can be used to help in achieving optimum protection. Offshore hosting provides convenience to websites to upload copyrighted entertainment shows or the movies online and other websites that are strictly prohibited by the law.

Another measure to preserve your identity that the firm takes is by discarding the personal information filed like your card number, latest used IP and the details utilized for repayment purposes. This saves a person from any potential trouble such as a law suit or an investigation. This allows a person to use copyrighted material from other sources without asking for the owner’s permission first. However, even if litigation do get involved, there is still nothing to fear. One can simply log out from that web site and escape any further issues.

Uses of Offshore Hosting

People often decide in favor of offshore hosting in order to promote things that are either illegal or banned in their own countries. For example, online betting, poker and casino is banned because it is considered illegal in many Asian countries. Hence, an Asian customer will have to opt for offshore hosting from countries that allow such activities such as the U.S. Numerous other banned products, prohibited content and other similar illegal activities are generally outsourced to providers located outside the original country.

There are benefits as well as pitfalls attached with offshore hosting. Some of the major ones are listed below:

Advantages of Offshore Hosting

  • When it comes down to offshore hosting operations, one looks for reduced infrastructure and set-up costs, expanding business operations to another nation. Offshore hosting is mainly popular as it saves a lot of money. A regular hosting operation cost 3 to 5 times higher comparatively including design and development. This is the main reason offshore hosting is favored by individuals and new businesses with financial constraints.
  • With offshore hosting, the client’s identity is not given. It keeps your data confidential, secret and safe by encryption and proper security. Confidentiality laws for protecting offshore entities reaffirm security of the user’s identity by auditing in their systems and storing your data encrypted.
  • It allows an individual or the business to stay anonymous and guarantees all the users a safe haven to publish their words without being harassed.
  • Individuals may be lured into going for offshore website hosting as there are lower government constraints and material unauthorized in one country can still be uploaded though this.
  • Another advantage that may be experienced by people investing in offshore hosting is the fact that they get multiple mirror locations. Thus, they can avoid being affected by blackouts, natural disasters or some other region centric issues that may cause data being damaged or lost. Thus, there is no interference in the business activity and the web site can easily be accessed.
  • Many people prefer offshore hosts because they tend to provide protection from restrictive censorship.
  • Along with these benefits, it offers you to reach audiences that are away from the main hosting source. They can also read the user’s content as offshore hosting delivers an international identity and coverage, which are normally liked by the clients.
  • Individuals or businesses can outsource the job contract to a cheaper economy, or set up an off-shore business development center in a growing economy to expand its operations.
  • One of the major benefits that offshore hosting offers is that you get to enjoy greater security against the hackers.
  •  Motivating taxation policies is another factor that causes people to host their sites offshore and get the maximum advantage from the policies abroad.
  •  As discussed above, offshore hosting aids in reaching larger audiences. Resultantly, increased profit chances are another great factor to opt for this.

Disadvantages of Offshore Hosting

  • Phishing and malware attacks have become extremely common, and there could be number of reasons that may force you to perform a complete back-up recovery. Hence, you cannot solely rely on the hosts with your information.
  • Furthermore, the user must be familiar with the local laws to be completely sure of not violating any of the rules and regulations, even accidently, to stay out of trouble which may lead to legal penalties.
  • Illegal activities such as sending spam or posting copyrighted material without permission are among the common misuses of offshore hosting.
  • As the offshore hosts provide relaxed laws on content, they exploit the user by charging higher than other web hosting methods.
  • In overseas hosting, one needs to be aware of the time-zone difference, area dialect and the function tradition of the country they are hosting their web site in. However, individuals do not give it much thought and end up facing barriers in effective communication with the hosts of the offshore web provider.
  • In some countries, there are additional income tax obligations from the federal and state governments where the hosting is taking place. Such countries include U.S and Australia. Hence, it is better to go with a mid-range offshore web provider first in order to grasp the regulatory framework around global hosting.


To conclude, there are benefits as well as drawbacks in deciding whether offshore hosting is beneficial for the world or not. Hence, it would be appropriate to consider thoroughly the benefits as well as the pitfalls before coming to an informed result in this regard.

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