The term “lottery” might seem like something that is relatively new, especially when you think about how those games are played today. That’s actually not the case at all though. You might be shocked to find out that the lottery dates back thousands of years.
Obviously, the lottery games that we have in place today are much more complex versions of the original games, but they are still all for the same purpose. Groups and countries have been using the lottery as a way to raise money to fund certain projects. That’s as true today as it was before Christ.
The lottery system in the United States is now paying out billion-dollar rewards at times. Those early versions of the lottery were significantly smaller. Still, the current lottery system that you think about in the U.S. can trace its roots all the way back to the early days.
The First Lotteries
The Chinese Han dynasty was the first to use a lottery system back in 205 and 187 BC. At that time it was a very simple process. Keno slips were issued by the Han dynasty, and the funds that were received helped to build projects such as the Great Wall of China.
From there, the lottery was introduced in Rome. Roman leader Augustus was credited with being the first to introduce lottery ticket sales. (There were some earlier versions of a lottery introduced in Rome, but most of those lottery games didn’t require a purchase.)
The lottery system really started to catch on during the Medieval time period in the 15th century. Records show that lottery games were being played at that time. Not a lot is known about how these games were played though.
At its core, a lottery game is simply just a game of chance. The odds, in the early days, were much better than the lotteries of today. Most of the games were played in a city or between a group of friends, and not nationwide like we currently have in the U.S.
A Plan to Fund a War
It should come as no surprise to anyone living in the United States that the first major lottery games in this country were played as a way to fund the war effort. The war that required funding was actually the Revolutionary War, which is how the United States got its independence from Great Britain.
After the United States was able to win the Revolutionary War, lotteries quickly became something that was offered by the most elite in the country. By the 1830s there were more than 400 lottery games played annually in parts of the country. All of these were still relatively small by today’s standards.
During the reconstruction efforts after the Civil War, the U.S. Government started to run lotteries as a way to pay for the efforts. Things got out of control in a hurry though. Congress passed a ban on using the mail for the lottery system, which ultimately impacted the overall numbers.
You really have to go all the way until 1963-64 until you see a version of the lottery that you might recognize as something that is played today.
New Hampshire Gets it Rolling
The education system in New Hampshire was starting to struggle back in 1963. The state needed to find a way to secure funds in a hurry. The lottery looked to be the perfect solution. Initially, New Hampshire sold $3 lottery tickets. Winners were determined based on horse races taking place in the state.
New York was the first state to really launch a massive successful lottery campaign. It was begun in 1967. That New York lottery game generated over $50 million in ticket sales in one year. Consequently, other states started to explore this type of gambling as well.
The lottery still had to be approved in many states throughout the country, and that’s why the growth was so small. Even though this was something that had been around for hundreds of years, most of the constitutions in each state didn’t have rules in place for these games. (Or had explicit rules against them.)
Massachusetts started the next big trend in the lottery system back in 1974. It was the first state to offer scratch-off tickets. This brand-new style of the lottery allowed players to win games instantly. The prizes were relatively small compared to what you see today.
States Start to Combine
After the massive success by states in the Northeast, other states throughout the country started offering a lottery system. As mentioned above, the first step in most states was to legalize the lottery. The they would determine what kind of games would be offered.
It wasn’t long before states also started to realize that even more money could be made if they decided to join forces. This would lead to some massive jackpots. Small pockets of states started to work together. In 1988 the Multi-State Lottery Association was formed.
What came from the MUSL was Powerball. This game has remained one of the most popular large jackpot games in the lottery industry. With that success, six states banded together for the “Big Game” in 1996 as a way to compete with Powerball.
The “Big Game” is now known as Mega Millions. It has provided another great option for those that play the lottery in the United States. Both Powerball and Mega Millions have had jackpots of at least $1 billion at one point.
There are still five states in the U.S. that have not yet legalized a lottery system, but you should expect that to change at some point in the future. There is just so much money to be made from the lottery system in the U.S. and states are cashing in.
Even though the odds of winning the lottery continue to get worse with the more people that play, games such as Mega Millions and Powerball are selling more tickets now than ever before.