People have a risk-reward calculation that's irrational. $1 or $10 is not that much to spend for that hope of a chance, however insane it seems. It's the same reason Randowhale worked well on here for awhile, despite being somewhat expensive; it gave people a chance for something more. The gamification and hope can be written off as entertainment.
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its true, we just zoom in on the prospects of winning and lose sight of the larger odds that are against us and stack to quite a sum over time