Megapot

Megapot operates an internet-based lottery in which players buy $1 tickets for a daily drawing with a prize pool advertised at $1 million. The product is built as a set of permissionless smart contracts on Base, an Ethereum network, and uses stablecoins to pay winners, with funds claimable immediately after a draw. Every ticket purchase, drawing and payout is publicly viewable onchain and the winning-number generation is described as provably fair, so results can be independently verified. The company states that traditional lotteries retain up to 70% of ticket sales for government programs and administration, while Megapot returns proceeds to prize winners, the participants who fund the prize pool, and those who help distribute it.

Beyond the consumer lottery, Megapot has two other sides. Liquidity providers ("backers") deposit funds that underwrite the prize pool and earn returns as tickets sell. Developers can use referral links, gift-ticket and giveaway flows, embeddable buy/claim/history components, direct contract calls for custom purchase, subscription or compounding flows, and a REST Data API (API-key gated) for round history, wallet statistics and per-round wins. Third-party applications built on the protocol include Blink.cash, Lotpot, Tator, Potwars, BasedMining, PennyPot, Balkan Lotto, Peoples Pot, Megapot.Build and Megapot Templates. Documentation also covers a points program, guaranteed-prize mechanics, backer bonus programs, a bug bounty, KYC and responsible-gaming policies.

The company reports 19 jackpot winners and more than $200 million in drawings since July 2024, plus 80,000+ payouts, and says every five tickets wins at least one prize. Tickets can be bought from more than 150 countries; the company's About page cites availability in 160+ countries. The service is unavailable in roughly 30 jurisdictions, including the United States, the United Kingdom and France.

Founding story

Patrick Lung founded Megapot in January 2024 after roughly eight years working at technology and crypto companies including Microsoft, Lyft and Uniswap. He has said the motivation was to create a single global lottery accessible from a phone rather than the country- or state-bounded, largely physical-retail systems that dominate today, and to use a familiar mainstream product as an on-ramp to bring large numbers of people onchain. He cited his mother, a weekly lottery ticket buyer for two decades, as the inspiration for a product ordinary consumers would immediately understand.

Business model

Megapot sells $1 lottery tickets and earns revenue by charging fees on tickets sold through its site. The prize pool is capitalized by liquidity providers who deposit funds and earn returns when tickets sell, rather than by the company retaining a cut of the pool. A referral layer pays distributors 8% of ticket fees and 8% of winnings from users they refer, and developers can integrate ticket sales into their own applications.

Fees charged on tickets sold through megapot.io, according to the founder's account in Fortune's coverage of the funding round.

Traction

More than $200 million in drawings run since July 2024, 19 jackpot winners, over 80,000 payouts, and a largest reported individual jackpot of about $200,000. A sample of ten third-party applications has been built on the protocol. The team consisted of seven employees as of March 2026.

Latest developments

On March 26, 2026 Megapot announced a $5 million pre-seed round led by Dragonfly with Coinbase Ventures, Bankless Ventures and gaming founders participating; the valuation was not disclosed. Earlier that week the company launched the latest version of its lottery. Proceeds are earmarked for expansion into more countries, new game modes, and improved integration tools for developers and gaming operators.