Crowd - Why the world is ready for the crowdlottery

CROWD! Why the world is ready for the crowd lottery

Jasper Versteege

Everybody deserves a fair chance in life

Technology reduces overhead

costs, connects the world and

makes it possible to challenge the

status quo in traditional markets.

The power of crowds can be used

to democratize the current lottery

systems. Together we can create

better chances for everyone.

01 Time for the Crowd Lottery

Pages 7-12

02 The Power of Crowds

Pages 13-18

03 Crossing Boundaries

Pages 19-29

INTRO

Pages 4-6

A Brief History...

TABLE OF CONTENTS

What is a crowd

lottery?

The world’s first crowd

lottery

An improvement on all

levels

Everybody wins

The time is now

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New ways to get

organized

Purchasing power

The crowd as a source

Power to the crowd

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A connected world

Forces shaping the

future

Speed of development

Double moral

standards

Gamblers vs. chance

takers

Economic fears

Auditability and

accountability

Into the future

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A BRIEF HISTORY...

They built wonders of the world

The first recorded signs of a

lottery are keno slips from the

Chinese Han Dynasty between

205 and 187 B.C. A spurious legend has it that the invention of

the game saved an ancient city in time of

war, and its widespread popularity helped

raise funds to build the Great Wall of China.

Lotteries are as old as we are

The lottery is one of the oldest

games in the world. They even

refer to it in the Old Testament

more than once, for example; .”..and the lot puts even contentions to rest,

and it separates even the mighty from one

another” (Proverbs, XVIII, 18).

They are a fair tool

Ancient Athens is one of the first

known democracies and they used

lotteries (via a kleroterion, seen on

the right) to select citizens for most

state offices and court juries as it

was regarded as fairer and less

subject to corruption.

4000 B.C.

550 B.C.

200 B.C.

© WTA Gaming Ltd. 2014 4

http://en.wikipedia.org/wiki/Keno

http://willmann.com/~gerald/history.pdf

http://en.wikipedia.org/wiki/Athenian_democracy

They aided the poor

The first lotteries with monetary

prizes were held in the Low

Countries in the 15th century to

raise money to aid the poor and

fund fortifications of the towns. In fact, the English word lottery is derived

from the Dutch word loterij which stems

from the Dutch noun lot meaning "fate".

They have been running for a

long time

The Dutch state-owned

Staatsloterij is the oldest running

lottery in the world.

They funded revolutions

The world famous universities

Princeton and Columbia were

funded by lotteries and at the

outset of the Revolutionary War,

the Continental Congress used

lotteries to raise money to

support the Colonial Army. We might say the United States of America

are not only founded by its fathers, but also

funded by its lotteries.


1445 A.D.

1726 A.D.

1740 A.D.

http://en.wikipedia.org/wiki/Lottery




http://historyoflottery.com/american_lotteries.html

THE PRESENT Nowadays lotteries have grown

into large corporations which

come up with complicated prize

schemes that result in ridiculous

jackpots but actually diminish

someone’s chance to win.

And large parts of their income go

straight into immense marketing

budgets aimed at maximizing the

amount of money people spend

on lotteries.

Time for change.


TIME FOR THE CROWD LOTTERY

WHAT IS A CROWD LOTTERY?

Every player counts as one

All stakes are paid out

Admin fee on top of stakes

Every player counts as one; this

determines the structure of the

lottery. It limits gambling and

creates equal chances for

everyone.

All stakes are paid out; this

removes the ‘house’ from the

game. It guarantees payouts and

winners.

Admin fee on top of stakes; this

adds a layer of transparency. It

makes sure all overhead costs are

clearly communicated by the

operator so players know exactly

what they are paying.

Crowd lotteries are social and

more transparent than traditional

lotteries. They lead to better

odds, higher payouts, lower costs

and still act as fundraiser for

charity.

A crowd lottery is built on three very simple principles.


THE WORLD’S FIRST CROWD LOTTERY


Here’s how the world’s first crowd

lottery works;

• 1 euro per ticket

• 1 ticket per draw

• 1 draw per week

• 1 winner takes all

This means the jackpot equals the

number of players, and the size of

the crowd determines your odds.

However, there is always

someone within that crowd that

takes home the jackpot.

Guaranteed.

CrowdLottery.com uses the certified Random Number Generator ISAAC to

randomly select the Lucky Ones. There is still a challenge and small reward

associated with breaking ISAAC.

CrowdLottery.com gives you the best possible chance

to hit the jackpot for the least amount of money.

CrowdLottery.com uses the

winner-takes-all-principle and the

power of crowds to create the

best possible chance to hit the

jackpot for the least amount of

money.

As a crowd, we can unite the

world in one game while

spreading happiness and creating

better chances for everyone in a

social & transparent way.

http://en.wikipedia.org/wiki/ISAAC_(cipher)

https://crowdlottery.com/

Lower costs

Limiting the number of tickets

people can buy per draw limits

the amount of money people can

spend on crowd lotteries.

AN IMPROVEMENT ON ALL LEVELS

The simplicity of the crowd lottery underlines the unnecessary complexity of

other lotteries. Simplicity gives players a better chance, a higher payout

percentage, and it lowers their costs. An improvement on all levels.

100%

Higher payouts

Seperating the operating costs

from the stakes improves

transparency and dramatically

increases the payout ratio.

Better odds

Odds increase significantly thanks

to the direct link between the size

of the crowd (no. of players) and

the prize money.

© WTA Gaming Ltd. 2014 10 Visit crowdlottery.com for more info.


THE LOTTERY OF THE 21st CENTURY


Lotteries should be about realizing people’s hopes and dreams, not about

maximizing the company’s profit.

4%

9%

87%

Transaction fee Admin fee Prize money

We live in a connected word an

the sharing economy is in full

swing, yet there is no such thing

as a digital lottery for the world.

Together, as a crowd, we can cut

out the middleman, minimize

administration fees and marketing

costs, maximize payouts and

generate the best possible odds

while sharing happiness on a

global scale.

The crowd lottery concept is an

improvement on all levels: it truly

is the lottery of the 21st century.

Power to the crowd!

DISTRIBUTION

OF FUNDS Including administration

and transaction fee

THE TIME IS NOW


The crowd lottery is a new

concept that only works when the

volumes are big enough to profit

from economies of scale.

The only thing a

crowd lottery needs

is a crowd.

Thanks to the internet and social

media it is possible to target a

global crowd and connect with

people from all over the world.

Technology keeps overhead costs

low and makes it possible to

accept online payments from

around the globe.

The conditions are right, all it

takes now is people who join the

crowd and become Ambassadors

of Happiness.


THE POWER OF CROWDS

NEW WAYS TO GET ORGANIZED

The power of the masses has

always been an important force

that helped shape the world.

Crowds are online versions of the

masses, only crowds do not need

to be in the same place physically.

This gives people new ways to get

organized and use the power of

crowds.

The internet already played an

important organizational role

during the Arab Spring and

continues to create new

opportunities.

Time to get organized.


PURCHASING POWER


Thanks to the internet it is now

possible for individual consumers,

as part of a crowd, to leverage

their purchasing power in order

to get better deals or easier

access to certain products.

Group-buying sites like Groupon

work by negotiating better deals

with local merchants and in turn

promise to deliver crowds in

exchange for those discounts.

http://www.groupon.com/

THE CROWD AS A SOURCE

Crowdfunding sites like

Kickstarter create a market for

new products or projects that are

not necesserily for the masses. In

reaturn it gives people rewards

and a chance to directly support

initiatives or products they like.

Crowdfinancing sites like Funded

By Me offer easier access to

capital for businesses and

startups. The crowd has the

possibility to invest into

companies directly and in return it

gets interest or share capital.

Crowdsourcing websites like

99designs offer businesses easier

access to a large group of people

with the needed skill set. In return

it provides those people with a

potentially global market and an

easier way to get new jobs.

Crowds cannot only get better deals, but they also provide easier access to

resources. Whether it is services, designs, ideas, content or capital; the

crowd has it. New platforms are built everyday to link people, projects,

businesses and organizations directly in a mutual beneficial way.


https://www.kickstarter.com/

https://www.fundedbyme.com/en/

https://www.fundedbyme.com/en/

http://99designs.com/

POWER TO THE CROWD


A crowd lottery uses the

purchasing power of crowds to

create the best possible odds for

the least amount of money and in

a fair and transparent way.

A crowd lottery also uses the

crowd as a source to fund

random people’s dreams and to

support charity. Everybody wins.

Traditional lotteries are not built

to maximize the player’s chance

or to limit the player’s costs.

Today people are finally

empowered to challenge the

status quo. Time to do something

about it.

Power to the crowd!

“I believe it is possible to have a positive

impact on this world by leveraging the

power of crowds. Leveraging works best

if you manage to keep efforts at a

minimum and rewards at a maximum.

CrowdLottery.com is the perfect format

to leverage this power; together we can

create better chances for everyone!” Jasper Versteege

Founder & Ambassador of Happiness

CrowdLottery.com


CROSSING BOUNDARIES

A CONNECTED WORLD

We are all global citizens and

thanks to internet, social media

and the smartphone everybody

has the world in its pocket.

The ever growing internet and

globalization forces us to

restructure our world. The next

step should be further integration

and cooperation, not separation

and protectionism.

Source: http://www.slideshare.net/wearesocialsg/social-digital-mobile-around-the-world-january-2014

93%

26%

35%

52%

URBAN

INTERNET PENETRATION

SOCIAL NETWORKING PENETRATION

MOBILE PENETRATION

7.095.476.818 TOTAL WORLD POPULATION

2.484.915.152 INTERNET USERS

1.856.680.860 ACTIVE SOCIAL NETWORK USERS

6.572.950.124 MOBILE SUBSCRIBERS


FORCES SHAPING THE FUTURE


The internet should open up the world, it should not be used to close it

down. Luckily the core values on which the internet was built have some

internal forces that will shape the future. It is up to the crowd to protect

them.

Openness Transparency Cooperation Trust

The open and

decentralized

nature of the

internet links the

world in a unique

way and enables

it to be a patform

for innovation

and creativity that

should be

preserved.

As long as

transparency

remains a driving

force behind

technological

developments,

accountability and

freedom of

information will be

safeguarded.

If the internet is

open and

transparent it

leaves room for

individuals to do

their part, how

insignificant it may

seem. The whole is

much more than

the sum of its

parts.

With the before

mentioned values

in place trust will

rise which in turn

will rise our trust in

its core values. A

virtuous circle that

will move this

world forward in

the right way.

SPEED OF DEVELOPMENT

When it comes to gambling

governments have a strong moral

reason to restrict market access;

addiction. Most citizens probably

agree addictions are something

that should be prevented as

much as possible.

Borders are fading, governments

are under pressure and markets

are expanding. Naturally, these

opposing forces bring in

limitations on the speed of

development.

Since 2006 the United States prohibits online gambling sites from

performing transactions with American financial institutions in order to

keep gambling profits within its own borders.

This is possible because almost all US citizens use credit cards for online

payments, and the credit card companies are American.

Governments also have a very

strong economic reason to keep

the gambling market within its

powers; taxes. This is probably

something which is of less

concern to its citizens.

The fear of losing income forces

governments to use erroneous

and hypocritical reasoning that

leads to seperation and

protectionism.


http://en.wikipedia.org/wiki/Unlawful_Internet_Gambling_Enforcement_Act_of_2006


Now back to the crowd lottery.

Lotteries are considered gambling

in most countries. This gives the

government a moral reason to

strongly regulate those markets

and tax it heavily.

This moral reason is built on the

presumption gambling is bad, a

priori. It is addictive, it is based on

chance and can have negative

social effects. But the same thing

can be said about some forms of

stock trading, and why do

governments offer lotteries

themselves?

This raises the question whether

crowd lotteries should be

considered gambling at all.

The addictive powers of a crowd

lottery are very limited.

Most addictions depend on

actions which give people a quick

and positive kick. Crowd lotteries

are infrequent and in each lottery

the losers greatly outnumber the

winners, so the kick is not that

positive.

Another dangerous part of

addiction might be the illusion of

control.

Betting on uncertain outcomes

(casino games, sports results,

selecting winning numbers) gives

players a false notion of influence;

if they had chosen something else

they would have won, so it

depends on their own actions.

Participating in a crowd lottery is

a calculated decision with a very

low risk of addiction.

DOUBLE MORAL STANDARDS

GAMBLERS VS. CHANCE TAKERS

My point is not necessarily that lotteries should not be viewed as gambling,

a lottery is still a game of chance, but I do want to show governments do

not have a very strong moral reason to be against a crowd lottery. What is

wrong with taking a chance evey now and then?

Gamblers Chance takers

Want to get rich quick Want to get rich without the hassle

Are looking for a quick win Are looking for the best opportunity

Like highly repetitive games Assess their chances

Are betting on uncertain outcomes Hope fortune favors the bold

Have the illusion of control Are conscious of the consequences

Continue despite adverse consequences Quit when they don’t like the odds


ECONOMIC FEARS


However, there is no need for

national governments to close off

their online borders. Thanks to

technology a crowd lottery is

perfectly taxable.

Game tax on prize money and

income tax on profit can be

calculated based on the player’s

nationality and paid out to every

single country seperately.

The internet is a force which

pushes us forward in creating a

global market.

Governments should try to work

with instead of against this force.

When we look at the economic

reasons for governments to put

limitations on the development of

the online lottery market the fear

of losing income through taxes is

an obvious one.

On top of that most governments

run state lotteries (it is not

without reason lotteries are often

seen as a painless form of

taxation) which will need to

compete with new initiatives.

Governments can still tax the operators profit and

the player’s winnings.

AUDITABILITY AND ACCOUNTABILITY

It is impossible for companies

who trade online to know every

single law in the world.

When a company’s business

model and business practices are

transparent, trustworthy and fair

it makes a company auditable

and accountable.

Crowd lotteries are perfectly

taxable per country while

gambling addiction and money

laundering can be prevented.

From an economic perspective

governments should focus on

auditability and accountability on

an international level instead of

focussing on protecting their own

income on a national level.

The next step is further

integration and cooperation.


INTO THE FUTURE


To sum it all up; when you look at

the pros and cons on the left it is

clear it will be a matter of time

before the crowd lottery will set

the standard.

It is up to the crowd to start using

its power to challenge the status

quo. It is time to move forward.

Time to cross boundaries.

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Players get better odds while their costs are

being limited.

Charities can still get funded through

crowd lotteries.

Governments can still tax the company’s

profit and the player’s winnings.

Crowd lotteries are not addictive and

gambling is limited.

Money laundering through crowd lotteries

is impossible.

Total tax return for governments might be

lower.

TIME TO THINK GLOBAL

CrowdLottery.com already reached players in more than 50 countries.


SPREAD THE WORD

Together we can unite the world in one game while spreading happiness

and creating better chances for everyone in a social & transparent way.

Join the crowd and become an Ambassador of Happiness!


About the author

Jasper Versteege is a philosopher and

entrepreneur who believes everybody

deserves a fair chance in life. As a

global citizen living in a connected

world he sees fresh opportunities to

restructure the world in fair and

transparent ways.

He is the founder of the world’s first

crowdlottery; CrowdLottery.com.

By developing the crowd lottery he

hopes to fulfill his lifelong dream to

become a philanthropist and make a

difference in the world.

Historically lotteries have always been a

means to achieve philantropic goals.

Launching CrowdLottery.com thus feels

like a natural place to start challenging

the status quo.

We are all Ambassadors of Happiness.

nl.linkedin.com/in/jtversteege/

nl.linkedin.com/in/jtversteege/

CrowdLottery.com is the world’s first crowdlottery.

Our mission is to unite the world in one game while spreading

happiness and creating better chances for everyone in a

social & transparent way.

We believe that together we can have a positive impact on this

world by leveraging the power of the crowd.

Leveraging the power of the crowd works best if you manage to

keep efforts at a minimum and rewards at a maximum. Thanks to

internet and low ticket prices our players can effortlessly

participate in a rewarding lottery that not only makes it winners

happy but also collects money for the greater good.

Join the crowd on crowdlottery.com

We are all Ambassadors of Happiness.


LET’S SHARE HAPPINESS.