Lottery is a competition based on chance, in which numbered tickets are sold and prizes are awarded to holders of numbers drawn at random. It’s a popular way to raise money for charity and is also used as a form of gambling.

The first European lotteries to offer tickets for prize money were recorded in the 15th century in Burgundy and Flanders, with towns trying to raise funds for town fortifications or help the poor. King Francis I of France authorized the creation of public lotteries in several cities, including the first French lottery, the Loterie Royale, which was held in 1539.

A large percentage of lottery revenue goes toward prize payouts, but administrators also use a portion to support state initiatives and cover administrative costs. Some of the remaining money is paid out in commissions to retailers who sell tickets, and a small fraction of proceeds go toward reducing gambling addiction.

While lottery play may seem harmless enough, it’s important to remember that it’s still a form of gambling. And while the odds of winning are slim, it’s possible to become addicted to the game, says New York City-based clinical psychotherapist Fern Kazlow. “If you’re spending more than you can afford, and it’s becoming a problem, stop,” she advises.

For many, the real draw of the lottery isn’t the chance to win, but rather the fantasy of what they would do with the money. “People fantasize about how they would spend it, and how their life would be different if they won,” says Kazlow.