discuss Domain lotto or raffle idea!

[ivey]

Domain lotto or raffle

I've had this idea in my head for over 2 months. I thought I would share it before I forget or lose interest.

What do you ladies and gentlemen think if this idea? Has it been done before?

Starting with xx, xxx, and even x,xxx priced domains. A domain is revealed and participants who are interested can claim one ticket(their name) by paying just $1. In some cases $2, or $5 a ticket etc...

Let's say a name is worth $50. The seller can say raffle will start once x amount of tickets/entries are sold(as a minimum so they don't suffer a great loss). All the participants are risking is $1. They have a equal chance of winning as anybody else.

Once the date to buy tickets is closed( date could be extended if minimum ticket sale is not reached). There will always be a winner, and otherwise every participant would be refunded.

There could even be 2nd and 3rd place names(optional). So the idea has minimum risks $1. It's more like a raffle. Selecting the winning name could also look like a lottery. Another benefit is that new domainers could have a chance in the industry by winning names they couldn't just handreg... Plus it's fun. I've used draft kings before and I didn't go crazy losing $1 or $2.

As long as it's fair and honest and legit, I would test it. If you put dwzo.com for raffle. I wouldn't mind paying a dollar to be entered. Maybe make sure every participant is legitimate and public. Maybe it could start in a forum like auctions are held.

Lawful?

Are raffles gambling? Raffles seem to be held all over? But this would be the number one question; is it legal? Can it work?

I see it as a win win. Normal a marketplace takes a high commission per a sale from you. They get paid for the lead and facilitating the purchase and you get paid. A raffle , a seller wins if they reach good ticket sales and the winning participant. Everyone else lose $1. Honestly buying one handreg for $8 or more is a risk. Thy could be 8 or more raffle tickets for much better names.

But is the idea great?
And can it be legal to hold a raffle?


I think it's way better than those bidding sites that say you can get a 60 inch TV for $60. But you have to buy a bunch of credit packages to use them over and over like an auction that never ends until it reaches a lot for them.

But with a domain name raffle, once you spend a dollar you have a equal chance of winning like anyone else. You're not losing $1 once someone bids after you. Then having to spend another $1 credit to try again and again and again etc...

If you buy an extra ticket in a domain raffle that's not a guarantee if winning but it means you have an extra shot at it! Or you can set the rule and say each participant can only buy one ticket.

If that 60 inch tv for $60 popular website idea is popular then this can possibly work!

Share your thoughts?

 

[.NJ]

Online raffles in the US are only legal if they are for charitable purposes and not profit. Even getting a license for charitable contributions would be a long and difficult feat.

There are some harsh penalties if caught profiting from an illegal lottery.

I looked into the idea a while back.

Cool idea, but a no go.

 

[ivey]

Thanks for info!

Curious, What if the website is run by someone overseas? I see a ton of gambling, Sports betting, lottery and similar sites online... Are they being run by an overseas entity?

 

[equity78]

I was working on a raffle idea in 2004, they are illegal and not worth the hassle. Yes offshore gambling outfits are located offshore. Many have had big problems just entering the U.S.

Without a proper process no domainer would send anyone the cash in the first place, you need an Escrow company involved for legitimacy. 1000 tickets at $100 each for an LLL.com seems enticing. Many would take a chance, but not with an unknown offshore entity with no promise of receiving the domain. Or the domain could be stolen.

Only if things were handled properly could it work and since it's illegal in the U.S. that would rule out a large pool of ticket buyers and no Escrow company would be party to something they know illegal in the country where they are located.

 

[ivey]

I was working on a raffle idea in 2004, they are illegal and not worth the hassle. Yes offshore gambling outfits are located offshore. Many have had big problems just entering the U.S.

Without a proper process no domainer would send anyone the cash in the first place, you need an Escrow company involved for legitimacy. 1000 tickets at $100 each for an LLL.com seems enticing. Many would take a chance, but not with an unknown offshore entity with no promise of receiving the domain. Or the domain could be stolen.

Only if things were handled properly could it work and since it's illegal in the U.S. that would rule out a large pool of ticket buyers and no Escrow company would be party to something they know illegal in the country where they are located.

Good idea but illegal..
I'll stay away for sure.

Thnx

 

[Arca]

I was working on a raffle idea in 2004, they are illegal and not worth the hassle. Yes offshore gambling outfits are located offshore. Many have had big problems just entering the U.S.

Without a proper process no domainer would send anyone the cash in the first place, you need an Escrow company involved for legitimacy. 1000 tickets at $100 each for an LLL.com seems enticing. Many would take a chance, but not with an unknown offshore entity with no promise of receiving the domain. Or the domain could be stolen.

Only if things were handled properly could it work and since it's illegal in the U.S. that would rule out a large pool of ticket buyers and no Escrow company would be party to something they know illegal in the country where they are located.

Those are some great odds for winning the price! (compared with regular national scale lotteries)

 

[baseballworld]

wonder what if real cash bought a websites currency that then could be used to win the prize or domain name in this case.

 

[hxp]

Start a blog, and do giveaways. You'll get paid in traffic.