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Depends on where the offshore hosting is. Everyone thinks that "Offshore" means they can do what they want. But infact it don't. Offsore to me just means "not USA". So UK would be offshore and they aren't going to allow illegal things.

Try to find a "REAL" company, NOT anyone on NGU. they are all overselling $3 a month reseller accounts.

Fine a "real" one that is based in "Canada" that is the best place for your server to be.

Look, most of these people that run these servers do not live in a country where this is illegal. As long as they live in a country where there is no laws then it is safe. These people who run servers on islands live on them for the most part and are considered their own country, the united states and corporations cannot touch these people. That is why the United States wanted to regulate the internet and everything about it, it would have given them the ability to bring these guys into our courts.

Either:
1) Find a country that doesn't have laws against this and set it up there
2) Buy an Island to host on

... Warning if they find you own it and are living here in the US or places that it is illegal they can arrest you. If you are land where it isn't illegal, they can't touch you.