The history of Palau dates back thousands of years, with the first settlers believed to have arrived around 3,000 years ago. These early inhabitants developed a rich culture, forming distinct clans and practicing traditional agriculture and fishing. Over time, Palau became known for its unique stone money and elaborate navigation skills. In the 19th century, Palau encountered European explorers and missionaries, which led to significant cultural changes. After World War II, Palau became a part of the Trust Territory of the Pacific Islands under U.S. administration. In 1994, Palau gained independence, establishing itself as a sovereign nation with a democratic government.