History of Macau, capital of modern gambling

Macau is a name that flashes like a neon light in the night: megaresorts, spectacular architecture, colossal revenues, and a solid global reputation. Today, the city is often described as the capital of modern gambling, to the point of surpassing Las Vegas on a key indicator: casino revenues.
But this rise didn’t come out of nowhere. Macau builds on a unique history, a distinctive political status, and an impressive urban transformation. Here’s how this small region became a giant of entertainment.

An exception in China, a unique status

Macau is a special administrative region of China, and it stands out for one major reason: it’s the only place in China where casinos are legal. Since 1999, the year the territory was handed back from Portugal to China, Macau has operated under the principle of “one country, two systems.” This framework ensures, among other things, that the existing economic system and way of life are maintained for 50 years after the handover. This special status allowed Macau to keep its own regulations, including those governing games of chance. As a result, the city was able to develop a large-scale casino industry while remaining closely connected to the Asian tourism market.

1849: the legalization that changed everything

The starting point of modern gambling in Macau dates back to the 19th century. In 1849, the Portuguese administration officially legalized gambling, notably to strengthen public finances. Very quickly, the activity became embedded in everyday local life. In the decades that followed, traditional forms of gambling multiplied, such as fan-tan stalls, a popular game at the time. Macau therefore built its identity early on: a cultural crossroads between Chinese and Portuguese influences, and a territory where gambling established itself as a lasting economic driver.

1962–2002: the monopoly era and growing momentum

Another key date is 1962. That year, a monopoly on casino operations was granted to the Sociedade de Turismo e Diversões de Macau (STDM), associated with Stanley Ho. For decades, the casino industry was structured around this model. Macau attracted visitors, expanded, and strengthened its reputation. The city’s image gradually became closely linked to casino gambling, blending Asian traditions with more “international” games. But in the early 2000s, this model shifted.

2002 and beyond: liberalization, Cotai Strip, and surpassing Las Vegas

In 2002, the end of the monopoly opened the door to a new chapter. Macau introduced new licenses and welcomed major operators, accelerating the transformation of the territory. This period also saw the emergence of an architectural and urban symbol: Cotai. This area resulted from a large-scale land reclamation project in Seac Pai Bay, between Taipa and Coloane. The term “Cotai Strip” was popularized by Las Vegas Sands, referring to the development of a dense concentration of hotel-casino complexes in the area. Megaresorts became Macau’s signature: massive scale, spectacular themes, hotels, shops, dining, and event venues. The Venetian Macao, for example, opened on Cotai in 2007. And it was also in 2007 that Macau surpassed the Las Vegas Strip in casino revenues, marking a symbolic turning point. Macau became the global benchmark in this field.

The 2010s–2020s: dependence, regulation, and recovery

With such a massive industry, balances remain fragile. The 2010s were marked by a growing push for control and regulation, particularly around certain circuits linked to the VIP segment. Several high-profile cases illustrated this tightening. Then the Covid-19 pandemic hit hard. Revenues collapsed, and tourism slowed dramatically. Recovery followed. In 2024, Macau’s gross gaming revenue (GGR) reached 226.8 billion patacas, an increase compared to the previous year.



From its unique status in China to the spectacular rise of the Cotai Strip, Macau has established itself as the capital of modern gambling, surpassing Las Vegas thanks to an exceptional casino industry. Its history blends heritage, economic power, and urban transformation. Between regulation, crises, and recovery, Macau continues to evolve and remains an essential global reference for casino gambling. In Macau’s casinos, you’ll find an immense variety of casino games: dice slots, dice games, and iconic table games such as roulette, blackjack, and baccarat, a true pillar of local gambling culture. This rich offering fully contributes to the city’s international appeal. A diversity of games that can also be found in the universe of the Casino1 online casino, extending the casino gambling experience in a different way, wherever you are.


👉 To continue the journey through iconic gambling destinations, also check out our quiz: the world’s legendary casinos. Can you place them? On the Casino1 blog.