One on One: Lottery or bitcoin?

 One-on-One: Lottery or Bitcoin?

Yes.

Not because bitcoins are a good investment but because lottery tickets are a poor deal for the buyer. There are only a few chances that you will win a major lottery prize.

When the North Carolina Lottery was proposed to the legislature in 2005, I protested.

However, the legislature was still controlled by Democrats and established a lottery at Mike Easley’s request. Easley, whose prolottery positions were his major campaign platform, encouraged the legislature to do so. He stated that the money was needed by schools. People wanted to participate in the games, so they traveled from one state to another to purchase lottery tickets. A lottery would be considered a voluntary tax. No cost money.

Many Republicans opposed the lottery. Liberal Democrats also voted against the lottery. They agreed with libertarian Republicans in that running a gambling company is an improper function of government.

We, the opposition, said that the government should encourage its citizens work and save for the future, not on encouraging dreams of becoming rich by winning the lottery.

Today, the lottery is an established part state government.

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Every year, the lottery earns billions of dollars. About 65 percent goes towards paying for prizes. About 7 percent goes towards the 7,000 retailers that sell lottery tickets to people. The remaining 4 percent is used to pay administrative expenses and for the advertising costs that drive more people to play the lottery.

Funding public schools can be done with the remaining 25 percent.

So, what's the problem? Two big problems are actually the problem. Opponents pointed out 2005 that the government should not be managing a business that private entrepreneurs can manage. It should instead encourage its citizens to save and spend money, particularly for those with limited financial resources, rather than chasing after dreams that are almost never realized.

The purchase of lottery tickets is almost never a good idea.

You might consider bitcoin as an investment. Although not as good as a lottery ticket, it is still a viable investment option. There is a 50 percent chance that you will win or lose a bitcoin.

Even though bitcoin can be used as a speculation tool, it is not a good investment for the long-term. Kevin Roose, in The New York Times Feb. 6, 2022, wrote that "One of the most frequently asked questions by crypto skeptics" is "What can you do with crypto other than financial speculation or crimes?"

His cautionary reply: "It is a difficult question to answer, partly because most of the successful and legal uses of cryptocurrency thus far have been within finance or financial-adjacent industries." There are many cryptocurrency exchanges, NFT trading platforms, and games that involve the purchase and sale of crypto tokens.

Roose argues that crypto activities that don't involve buying or selling crypto assets aren't able to solve problems that exist outside of the crypto world.

Maybe bitcoin will one day be used to pay bills or keep money safe.

It will no longer be as appealing a speculative play for many people today if the value stabilizes. How to Be Attractive to Get a Lottery Position