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Negotiable lottery ticket game and method

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Publication number
WO2006008571A1
WO2006008571A1 PCT/IB2004/002495 IB2004002495W WO2006008571A1 WO 2006008571 A1 WO2006008571 A1 WO 2006008571A1 IB 2004002495 W IB2004002495 W IB 2004002495W WO 2006008571 A1 WO2006008571 A1 WO 2006008571A1
Authority
WO
Grant status
Application
Patent type
Prior art keywords
lottery
tickets
negotiable
game
ticket
Prior art date
Application number
PCT/IB2004/002495
Other languages
French (fr)
Inventor
Flaminio Cianci
Original Assignee
Flaminio Cianci
Priority date (The priority date is an assumption and is not a legal conclusion. Google has not performed a legal analysis and makes no representation as to the accuracy of the date listed.)
Filing date
Publication date

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Classifications

    • GPHYSICS
    • G07CHECKING-DEVICES
    • G07FCOIN-FREED OR LIKE APPARATUS
    • G07F17/00Coin-freed apparatus for hiring articles; Coin-freed facilities or services
    • G07F17/32Coin-freed apparatus for hiring articles; Coin-freed facilities or services for games, toys, sports or amusements, e.g. casino games, online gambling or betting
    • GPHYSICS
    • G07CHECKING-DEVICES
    • G07FCOIN-FREED OR LIKE APPARATUS
    • G07F17/00Coin-freed apparatus for hiring articles; Coin-freed facilities or services
    • G07F17/32Coin-freed apparatus for hiring articles; Coin-freed facilities or services for games, toys, sports or amusements, e.g. casino games, online gambling or betting
    • G07F17/3244Payment aspects of a gaming system, e.g. payment schemes, setting payout ratio, bonus or consolation prizes
    • G07F17/3248Payment aspects of a gaming system, e.g. payment schemes, setting payout ratio, bonus or consolation prizes involving non-monetary media of fixed value, e.g. casino chips of fixed value

Abstract

A lottery game providing an element of skill by issuing negotiable lottery tickets and providing for the trading, sale and transfer of the negotiable lottery tickets after a random phased elimination of a percentage of the negotiable lottery tickets. The novel lottery game and novel negotiable lottery tickets are particularly adaptable to computers and computers connected to a network such as a LAN or Internet or cell phone network which same or other network can be utilized for providing a media for buying, selling or trading the negotiable lottery tickets on a supply/demand market based economy to impart the element of skill in the novel lottery ticket game. The final award of lottery prizes may be achieved by a computer program for further elimination of negotiable lottery tickets or a drawing machine for the selection of the winning negotiable lottery ticket(s).

Description

NEGOTIABLE LOTTERY TICKET GAME AND METHOD

Copyright Notice

[0001] A portion of the disclosure in this patent document contains or may contain material which is subject to copyright protection. The copyright owner has no objection to the photocopy reproduction by anyone of the patent document in exactly the form it appears in the U.S. and foreign patent offices but otherwise reserves all its copyright rights.

BACKGROUND OF THE INVENTION

1. Field Of The Invention

[0002] The invention pertains to a lottery game and method for playing the lottery game in which lottery tickets are negotiable and hence can be traded in one or more stages during the novel lottery game. More particularly, the novel lottery game imparts the element of skill to a lottery game system by allowing the trading of lottery tickets during periods of time in which the lottery tickets are fungible and freely negotiable. [0003] The negotiability or fungibility of the lottery tickets can be provided for in both the initial stage intermediate and end stages of the game by allowing players to either sell, exchange or trade negotiable lottery tickets after specified events. One such event may be a buy back phase at the beginning of the game after the elimination of certain of the negotiable lottery tickets after the initial purchase of the negotiable lottery tickets, at intermediate stages or at the final stage when each negotiable lottery ticket represents a guaranteed but unassigned prize in the novel negotiable lottery ticket game.

2. Description Of The Related Art Including in the U.S. Information Disclosed Under 37 CFR 1.97 and 1.98

[0004] A number of lottery type games are played throughout the world which primarily involve a game of pure chance in which a particular negotiable lottery ticket sold bears a number or symbol selected at random which entitles the negotiable lottery ticket holders to redeem the winning lottery ticket for a particular prize. The prior art lottery ticket games as played throughout the world do not involve an element of skill. The prior art lottery games as played pertain to games of chance in which the lottery numbers are randomly selected and then matched to a particular ticket that has been sold resulting in the award of the prize to the lottery ticket holder. The prior art lottery tickets sold in the prior art are not negotiable in that there is no trading of the lottery tickets or the steps of eliminating and then providing for the trading of negotiable lottery tickets prior to a further process of elimination before selecting the negotiable lottery ticket entitled to one or more prizes. [0005] The invention in contrast provides for a negotiable lottery ticket which the player may sell or trade at a price higher than the original purchase price of the lottery ticket after one or more elimination phases. In addition the novel negotiable lottery ticket may bear numbers, letters or other symbols that are incrementally eliminated before sell back and trading phases that provide for the incremental increase in value of the remaining negotiable lottery tickets until like a traditional lottery game the winning negotiable lottery ticket (s) are selected and associated with a particular prize. Alternatively, the novel negotiable lottery ticket game can, by a process of further elimination rather than selection, eliminate all negotiable lottery tickets until by the process of elimination prizes are associated with non eliminated negotiable lottery tickets. However, in either case, unlike typical lottery games the novel negotiable lottery game of the invention provides for the elimination of a percentage of the tickets after their purchase with the opportunity of the players holding the remaining negotiable tickets to sell back the negotiable tickets to the managing organization at a premium price greater than the original acquisition price. [0006] The novel lottery game also provides for the sale and trading of the negotiable lottery tickets during the periods in which the negotiable lottery tickets are fungible. The trading and sale of the negotiable lottery tickets may occur in a number of phases so that in each successive phase of sale and trading of the negotiable lottery ticket the value of the negotiable tickets remaining in circulation increases the chances that a particular negotiable lottery ticket will be a winning lottery ticket. The fungibility and negotiability of the lottery tickets imparts an element of skill based on a market based structure of profiting from the sale and trading negotiable lottery tickets and results in an increased likelihood of being awarded a prize while other tickets are eliminated either before or after a negotiability phase of the lottery tickets. t0007] Lottery ticket game prizes are Eventually associated with a selection of numbers or symbols for only the tickets remaining in circulation by either a continued random process of elimination or by a process of selection in which the negotiable lottery tickets are matched with lottery prizes. The novel lottery game of the invention in contrast to the prior art adds the element of skill in trading, purchasing and redeeming or negotiating lottery tickets during various stages of the game in between times when the negotiable lottery tickets are fungible and at times when the fungibility of the tickets is changed by an elimination phase. [0008] The most pertinent prior art uncovered is Bennet

Publication No. US 2003/0181235A1 published September 25, 2003 in which a lottery ticket is sold having both an instant prize win disposed underneath a scratch-off coating and an option for the lottery ticket holder to hold on to the ticket until the end of the game when possibly the instant win ticket is redeemed for a higher prize. Unlike the invention Bennet Publication No. US 2003/0118235 does not provide for the negotiation of the lottery ticket or the repurchase or trading of the lottery tickets or one or more elimination phases. [0009] Other lottery prior art provide for a pyramid type scheme in which the payoff increases where numbers having a higher position or level in a pyramidal hierarchy. The application of such a pyramidal game applicable to a lottery is disclosed in Ilan, et al. U.S. Patent No. 5,540,441 which arranges numbers in a pyramid and provides for the elimination of all players having numbers in a base row of a pyramid. Ilan, et al. U.S. Patent No. 5,540,441 does not provide for a negotiable lottery ticket or impart an element of skill into the lottery game.

[0010] Other examples of pyramid type games included Farmer et al. U.S. Patent 6,354,593 and Zalabak U.S. Patent No. 5,407,200. These prior art types of pyramid games adaptable to a lottery system represent once again a game of pure chance in which the lottery ticket does not have negotiable properties that increase and wherein skill in buying, trading and redeeming or negotiation of a negotiable lottery tickets has a relationship to overall success in the lottery game.

[0011] Other types of lottery games such as Keene, et al. as disclosed in U.S. Patent No. 6,220,961 provide a multi level game somewhat similar to Bennett Publication No. US 20030181235A1 in which a lottery card includes a scratch-off portion of the ticket allowing the player to view the first game level which, if positive, allows the player to participate in the next game level in playing the lottery type game system. This type of lottery system is different from the invention in a number of significant ways. In the first place the invention provides for different phases for trading and negotiation of negotiable lottery tickets in which the tickets may be redeemed or traded for a value higher than the original purchase price in which the player can recoup all or more than the initial investment in all or a portion of the purchased lottery tickets while continuing to play or trade lottery tickets and negotiate the value of the lottery ticket as the number of winning negotiable lottery tickets having a chance to win successively dwindle.

[0012] In addition the invention, unlike Keene, et al. U.S. Patent No. 6,220,961, and other prior art provides for the repurchase of tickets upon a specified event by the managing authority.

[0013] A number of prior art lottery systems provide for playing a lottery game controlled by computer as disclosed in International Appl. No. PCT/US 01/40104 and U.S. Patent Application Publication US 2003 0003984A1 which provide for a lottery game system accessible online. These online lottery game systems while using Internet or Intranet type media do not provide for the redemption, negotiability, trading and combination of skill and judgment in the lottery system to determine success in the lottery game. [0014] The only other known prior art is a card game named Mercante in Fiera" played with 39 playing cards bearing various pictures. The game is not played with a computer, there is no buy back, no unlimited number of cards and no recurring elimination of cards and no negotiable lottery tickets.

BRIEF SUMMARY OF THE INVENTION

[0015] The novel lottery game of the invention imparts an element of skill in a game lottery by providing for trading, redeeming, purchasing, trading and holding of negotiable lottery tickets during various phased events of the lottery game. The novel lottery game imparts skill elements into a typical game of chance of lottery by making the lottery tickets negotiable or fungible during various phases of the game. The fungibility or negotiability of the novel lottery ticket is provided at various stages of the game during which tickets are traded, redeemed or bought and sold between the managing authority, game vendor and players which may be original players or players added during the operation of the novel lottery game. The fungibility or negotiability of the lottery ticket is provided by allowing all tickets and numbers, letters or symbols (collectively referred to as numbers) identifying each negotiable lottery ticket at the beginning of the game and after each elimination phase to have an equal chance of winning. After a random elimination certain negotiable lottery tickets the remaining negotiable lottery tickets increase in value during each of the one or more elimination phases of the game to remain fungible or negotiable which means the negotiable lottery tickets or remaining negotiable lottery tickets each have an equal chance of winning the top prize. The fungibility and negotiability of the novel negotiable lottery tickets can also be modified by having tickets of different series so that, for example, one negotiable lottery ticket may include ten numbers while another negotiable lottery ticket includes only one number somewhat like a 10 dollar bill having a greater value than a one dollar bill making the negotiable lottery ticket that bears ten different numbers more likely to win than the negotiable lottery ticket in the other series which bears a single number. [0016] The novel lottery game is implemented by selling negotiable lottery tickets to players having a fixed prize or a variable prize which variable p'rize depends upon the total number of negotiable lottery tickets sold. In the fixed prize embodiment a guaranteed prize of for example 1 million dollars can be provided with the managing authority requiring a certain number of negotiable lottery tickets be sold before various elimination and buy back phases commence. In a variable prize example negotiable lottery tickets are sold and negotiated until the top prizes are determined based on the total number of negotiable lottery tickets eventually purchased.

[0017] The fixed prize or variable prize embodiment may also be combined so that a fixed prize of, for example, 1 million dollars is guaranteed but is subject to increase based on various factors during the course of the game such as the purchase of tickets over and above the initial subscription or the repurchase and resale of various tickets by the managing authority or game vendor at a substantial premium above the initial subscription price during a buy back and possible resale of certain of the repurchased negotiable lottery tickets. As used herein the managing authority runs the game and may be the same or different than the game vendor. The game vendor when not the managing authority may be a State or ■ a person such as a convenience store or other vendor having the ability to sell the novel negotiable lottery tickets over the counter as well as repurchase and resell negotiable lottery tickets during one or more buy back phases of the game over a network such as a LAN or Internet or cell phone network. Unlike players the game vendor must either resell or have repurchased negotiable lottery tickets withdrawn from the game. Resold negotiable lottery tickets can have a portion or all of their increased value resale price added to the top prize whereas individual players keep their profits from the negotiation of their negotiable lottery tickets. [0018] The game in its broadest implementation would include the following phases applicable to all of the negotiable lottery tickets in each of the series. These phases would include:

Phase 1 Selling of tickets to the players; Phase 2 The elimination of a percentage of the tickets once all of the tickets in Phase 1 have been sold.

[0019] In Phase 2 a percentage of about 5 % to 95 % of the tickets could be eliminated and preferably about 25 to 75 % of the negotiable lottery tickets are eliminated. The negotiable lottery tickets eliminated would have their numbers on the negotiable lottery tickets removed from the list of numbers eligible for receiving prizes at the end of the game. Once Phase 2 is completed and a percentage is removed, for example 50 % of the negotiable lottery tickets sold are eliminated, the next phase, an optional buy back Phase A, begins:

Optional Buy Back Phase A:

[0020] Players holding negotiable lottery tickets having numbers, symbols or other indicia that have not been eliminated from the game are given an opportunity to sell back the tickets to the managing organization and/or the game vendor and gain a certain percentage of the acquisition price above the original cost of the acquisition of the negotiable lottery ticket. Typically the managing organization in the optional Phase A repurchase of negotiable lottery tickets repurchases the negotiable lottery tickets at a percentage of about 5 to 50 % above the original acquisition prize of the negotiable lottery tickets. At the end of optional Phase A the managing authority or the game vendor may either eliminate the numbers on the repurchased negotiable lottery ticket (s) as potential winning tickets or may resell the repurchased negotiable lottery tickets at even a higher price in order to increase the payoff jackpot prizes. Once optional Phase A is completed an optional Phase B is provided for eliminating a further percentage of the negotiable lottery tickets from the game. Optional Phase B:

[0021] An optional Phase B provides for a further percentage for the elimination of negotiable lottery tickets from the game. In this optional Phase B a percentage of about 25 to 75 % of the remaining tickets can be eliminated from the game to further reduce the number of tickets having numbers that will be associated with the award of prizes. Once optional Phase A and B are completed or skipped the novel lottery game imparts an element of skill, or a further element of skill if optional Phase A was not omitted by providing a Phase 3:

Phase 3:

[0022] In Phase 3 the players are given the opportunity to sell or trade their negotiable lottery tickets with other players or with newcomers to the game who become interested in purchasing or trading for negotiable lottery tickets that have a high probability of winning prizes in the lottery. These negotiable lottery tickets are traded through the managing organization which tracks the ownership of the negotiable lottery tickets and the identities of the players that hold negotiable lottery tickets that have a high probability of winning the prizes from the managing organization. The managing organization also may provide a small fee as a commission for recording each trade during the trading phase on the negotiable lottery tickets. The players holding negotiable lottery tickets of course dp not have to sell their negotiable lottery tickets to other players or to newcomer players but all such sales optionally could be recorded by the managing organization to make certain that whatever tickets are remaining are kept within a pool of players whose identity have been recorded to prevent loss or theft of a particular negotiable lottery ticket. Once Phase 3 is completed an Optional Phase C may be provided.

Optional Phase C:

[0023] Optional Phase C provides for the elimination of a further percentage of the negotiable lottery tickets from the game. At this point a percentage of about 25 to 75 % of tickets may be removed and typically a percentage of about 50 % of the negotiable lottery tickets may be randomly eliminated by a random number generator in optional Phase C. Optional Phase C can also be followed by an optional Phase D as follows: Optional Phase D:

[0024] In optional Phase D another percentage of the negotiable lottery tickets are eliminated until the number of negotiable lottery tickets remaining are equal to or slightly greater than the number of available winning prizes. In optional Phase D the elimination of numbers on negotiable lottery tickets can be achieved by a random number generator in the computer software program or mechanically in a drawing type machine. The prizes can be money, goods or other awards for playing the novel lottery game. Once this is completed an Optional Phase E can be provided in which the players and newcomers are given a last opportunity to buy, sell or trade negotiable lottery tickets that only have winning prizes of an unassigned but certain amount that will be associated with negotiable lottery tickets that remain. At the end of Phase 3 or optional Phase D, or optional Phase E a Phase 4 is provided: Phase 4:

[0025] The prizes are either associated randomly by the computer to the remaining negotiable lottery tickets or the prizes can be openly and randomly associated with each of the tickets by using a mechanical drawing machine by placing balls having only winning numbers to associate each of the prizes with the remaining negotiable lottery tickets. This can be accomplished by a random number generator or mechanically by using a random number generator having only the numbers left remaining on the negotiable lottery tickets for association with the remaining prizes. Alternatively winning negotiable lottery tickets can be selected rather than eliminated in Phase 4 by feeding winning numbers into a drawing machine such as a Beitel Criterion drawing machine having balls with winning numbers scrambled in which the winning numbers are randomly selected to identify the remaining lottery tickets for which prizes have been guaranteed. Phase 5:

[0026] A final Phase 5 is provided in which the prizes are awarded to the owners of each lottery ticket and the game is concluded. [0027] Optionally the novel lottery game can be implemented by randomly and secretly associating the prizes with the remaining negotiable lottery tickets. Where the prizes are secretly coupled with the remaining negotiable lottery tickets by means of a computer the specific prize for each ticket is not known to the participants and the participants holding the winning negotiable lottery tickets can be provided an optional last trading of negotiable lottery tickets to allow the players each of which holds a winning ticket to sell to any other player or any newcomer a negotiable lottery ticket having a winning number through the managing organization. Once again the managing organization can charge a small fee or commission as a clearing house to the final trade before the final Phase 5 takes place which provides for the awarding of the prizes to the holders of the novel negotiable" lottery tickets.

[0028] As will be recognized the novel lottery system of the invention modifies the game of pure luck by introducing the element of skill at various levels of the game. The element of skill allows players to sell tickets or trade tickets at prices higher than their original acquisition cost and allows the players to recoup some or more than their acquisition cost during phases or events in which the negotiable lottery tickets assume a fungible or liquid status. The trading, purchase or sale to players as well as newcomers allows original players holding negotiable lottery tickets that have not been eliminated to decide whether to continue playing the lottery game or to trade tickets during various phases of the lottery game to potentially profit on their original investment during the trading and optional buyback phases of the novel game. [0029] The novel lottery game is structured to provide the participants with the opportunity of making a profit in either selling back negotiable tickets to the managing organization or trading them during fungible or liquid periods without waiting for final prizes. In this way the player utilizes skill in controlling the amount of risk and the potential payment for a particular lottery ticket by selling or trading the lottery ticket. The novel game also allows a player a chance to gain a significant percentage of for example, without limitation 20 % of the capital invested with a 50 % probability for each ticket the lottery holder purchases, In addition at each phase or event the lottery player can assess the risk and determine whether to sell and cash in a particular lottery ticket in assessing and managing risk unlike traditional lottery games. The novel lottery game can be operated as an electronic game through a computer using Internet or Intranet connections between PCs or it can be operated as a typical lottery game in which negotiable lottery tickets bearing particular numbers are sold by the managing authority directly to the players or the player purchases the negotiable lottery ticket through a game vendor under license form the managing authority.

[0030] The novel lottery game can be played in a number of ways using computers and computer software programs, cell phones, game vendors where lottery purchasers purchase negotiable lottery tickets through merchants or in casinos or in State sponsored lottery games in which players purchase lottery tickets from a lottery game vendor then connect by computer to the Internet to determine if they have purchased a negotiable lottery ticket that can be redeemed, traded or held as other phases of the game progress. The novel lottery game may also utilize a combination of computer and televised portions in which various phases of the novel lottery game are presented or broadcast live after a first elimination of a portion of the negotiable lottery tickets and allowing the trading of other negotiable lottery tickets to occur online or through the managing authority until all non winning tickets are eliminated and only winning tickets remain in the players' hands. Thereafter the novel negotiable lottery tickets can be bought, sold or traded before the prizes are associated with each of the negotiable lottery tickets.

[0031] The association of the winning numbers to the winning lottery tickets as the last phase of the lottery can occur in a number of different ways. The association of the prizes to the fungible or negotiable lottery tickets can occur by utilizing a random number generator associated through software in the host computer of the managing authority or can be broadcast live by utilizing a drawing machine such as a Beitel Criterion drawing machine in which only balls bearing winning numbers of the winning tickets are placed to determine which of the winning tickets receive which of the prizes to be awarded to the negotiable lottery tickets.

BRIEF DESCRIPTION OF THE SEVERAL VIEWS OF THE DRAWINGS

[0032] The invention will be described further with respect to the following drawings illustrating preferred embodiments and the best mode of the invention in conjunction with the attached drawings in which: FIG. 1 is a flowchart or block diagram illustrating the application of the invention in accordance with a preferred embodiment;

FIG. 2 is a system block diagram in accordance with a preferred embodiment of the invention in a network accessible system in accordance with the invention; FIG. 3 is a further flowchart or block diagram of an embodiment of the invention;

FIG. 4 is a flowchart of a preferred embodiment of the invention and system utilizing a globally accessible system such as the Internet; FIG. 5 is a block diagram of a further embodiment of the invention illustrating optional phases in the operation of the invention;

FIG. 6 is a front elevational view of a graphic user interface of the managing authority in accordance with the preferred embodiment of the invention; FIG. 7 is a front elevational view of a graphic user interface for a player constructed in accordance with the preferred embodiment of the invention;

FIG. 8 is a front elevational view of a graphic user interface for a player similar to FIG. 7; FIG. 9 is a front elevational view of a graphic user interface of the managing authority similar to Fig. 6;

FIG. 10 is a front elevational view of a graphic user interface for a player similar to Fig. 7;

FIG. 11 is a front elevational view of a graphic user interface for a player similar to FIG. 7;

FIG. 12 is a front elevational view of a graphic user interface of the managing authority similar to FIG. 6;

FIG. 13 is a front elevational view of a graphic user interface of the managing authority similar to FIG. 6; FIG. 14 is a front plan view of a novel negotiable lottery ticket constructed in accordance with the preferred embodiment of the invention;

FIG. 15 is a front plan view of a further novel negotiable lottery ticket issued in accordance with the preferred embodiment of the invention; and

FIG. 16 is a front plan view of a further novel negotiable lottery ticket constructed in accordance with a preferred embodiment of the invention. DETAILED DESCRIPTION OF THE INVENTION

[0033] The novel lottery game of the invention imparts the element of skill in an otherwise game of chance by- allowing players to purchase, sell and trade negotiable lottery tickets during one or more trading or skill phases of the game. The negotiable lottery tickets can be traded or sold to other players before specific prizes are associated with the negotiable lottery tickets. The "jackpot" or prizes are not disclosed until the certain phases of the game are reached so that each lottery ticket has an equal chance of winning the top prize or prizes. [0034] The skill or trading phases of the game are determined after a certain number of the negotiable lottery tickets are eliminated by pure chance. Players of the novel game have the opportunity to join in on the game or sell out of the game at any phase. For example, a player can wait until the final phase and purchase only a winning ticket and pay a negotiated price from another player or a player can join the game at the initial phase at a low initial subscription cost and sell off all his remaining negotiable lottery tickets at a premium.

[0035] In the beginning of the novel lottery game all negotiable lottery tickets have an equal chance of winning and are sold at a low initial subscription price. Thereafter a percentage of the negotiable lottery tickets will be eliminated by pure chance. The remaining lottery tickets are unassociated with prizes until one or more trading phases take place to allow the holders of the ticket to sell back, trade or otherwise use skill and market based acumen in trading, acquiring, holding or disposing of one or more negotiable lottery tickets that may be associated with prizes. In the preferred embodiment of the invention after the elimination of a certain portion of tickets the players are allowed to sell back valid tickets to the managing authority and make a profit on all remaining return tickets that have not been eliminated in the random elimination of a certain percentage of the tickets that are sold or hold on to valid negotiable lottery tickets and trade and sell negotiable lottery tickets at later stages of the novel game.

[0036] The novel lottery ticket game in the best mode of the invention is implemented by utilizing a host lottery computer connected to one or more game vendor computers or directly to player computers through a network which may be a LAN (Local Area Network) or a global network such as the Internet. The game is designed to be operated on a TCP/IP (Transmission Control Protocol/Internet Protocol) connection via either the Internet or Intranet between the PCs. The host computer of the managing authority should be capable of having a RAM (Random Access Memory) of at least 1 Gigabyte or greater and each game vendor computer should have a RAM of at least 1 Gigabyte and individual player computers having a RAM of a minimal amount to keep record of tickets purchased which may be less than 1 Megabyte. Cell phones can also be used to play the novel game using real voice or messages. As will be recognized by those skilled in the art the novel lottery game of the invention allows the game vendor and player computers to have minimal types of memory. [0037] Referring now to FIG. 1, 2, 4 and 6 - 16 the best mode of the invention is illustrated in which the managing authority 20 (FIG. 2) manages the novel lottery ticket game through a telecommunications network 22 having an optional firewall 24 that may be connected to players Pl - Pn as represented by blocks 26 - 32. Player Pl as represented by block 26 may be a game vendor or an individual player linked through firewall 24 to the managing authority 20. The telecommunications network may be a LAN (Locally Accessible Network) 34 or the Internet 36 or some other remotely accessible network. The managing authority includes a ticket database 38 and a host computer CPU server system 40. [0038] The CPU server system 40 includes software (FIG. 1) for operating the novel negotiable lottery ticket game. In accessing the novel negotiable lottery ticket game the player may either be a game vendor 26 or an individual player 28 who accesses the managing authority 20 through the locally accessible network 34 or Internet 36 which after obtaining relevant data from the player displays relevant data on the administration panel 42 (FIG. 6) and the corresponding player panel 44 (FIG. 7) . The administrative panel 42 includes an identification of the IP address of the player, name of the player and allows a player to enter data as to name, credit card number and address in the player panel 44 for transmission to managing authority's administrative panel 42 for verification before selling one or more tickets to the player.

[0039] Referring again to FIGs. 1, 2, 4 and 6-16 the player starts the game by depressing the ^connect' button on the player panel 44. The player may also want to start a new client app (application) by acting on the same 'connect' button 46 to add new players or new player names to the game. Once connected the 'connect' button extinguishes and the 'disconnect' button 50 and 'enter game' button 52 become illuminated (FIG. 8) . Depressing the 'enter game' button 52 on screen 54 opens an asset manager window 56 (FIG. 10) and an optionally status report screen (not shown) which keeps a log for the player of the status of the negotiable lottery tickets as the game progresses. The optional status report screen can be closed at any time during the game as its purpose is basically to keep a log of all entries and transactions for the benefit of the players. [0040] Depressing the 'enter game' button 52 activates the software of FIG. 1 and allows the player to purchase a ticket as represented by block 58. The purchase of tickets is displayed on the administration panel 42 (FIG. 6) of the managing authority 20 and the negotiable lottery tickets are created by the managing authority by depressing the 'create ticket' button 60 which creates the negotiable lottery tickets. The sale of the negotiable lottery tickets is managed by the "Start First Sale" button 61 (FIG. 9) which results in the creation of the negotiable lottery tickets for the game. Thereafter as the negotiable lottery tickets are purchased the managing authority 20 administration panel displays the entry of the ticket number, name of the purchaser as well as date and time of the purchase into the ticket database 38 (FIG. 2) of the managing authority 20. The negotiable lottery tickets purchased by the player similarly appears on the asset manager screen 56 (FIG. 10) along with the numbers of the negotiable lottery tickets and purchase price of the negotiable lottery tickets. The negotiable lottery tickets sold are entered into the managing authority ticket database 38 and continues until sufficient negotiable lottery tickets are sold to guarantee the value of the desired jackpot.

[0041] The players continue to purchase negotiable lottery tickets by hitting the Λhif button 63 on the asset manager screen 56 (FIG. 10) which negotiable lottery ticket numbers and prices paid are indicated on the screen of the asset manager. The software is designed so that one click results in the purchase of one ticket and each ticket purchased is listed on the asset manager 56. Also included on the asset manager is a best offer screen 64 which in the initial stages of the game will merely show the number of negotiable lottery tickets purchased and the current purchase price of the negotiable lottery tickets. At later stages of the game the best offer screen will be used to display offers by other players for negotiable lottery tickets having a high priority of winning prizes. [0042] The asset panel 66 (FIG. 10) on the asset manager screen 56 indicates the total number of negotiable lottery tickets purchased, for example in the initial buy the asset indicates $100 of tickets have been purchased or namely 5 negotiable lottery tickets at $20 a piece as indicated in the asset manager panel 66. The asset manager is part of the communication, interface and display block 68 of FIG. 2 which communicates with the player account block 70 which may be attached to a printing subsystem block 72 for printing negotiable lottery tickets 74, 76 and 78 as illustrated in FIGs. 14, 15 and 16. All these negotiable lottery tickets bear a negotiable lottery ticket number as illustrated in FIGs. 14, 15 and 16 and as represented by block 80 (FIG. 2) and may be entered into a player's database 82 as well as the managing authority' s ticket database 38. [0043] The managing authority 20 continues to sell negotiable lottery tickets until the lottery reaches a predetermined subscription level as represented by decisional blocks 84 and 86 (FIG. 1) . Once the lottery is fully subscribed the second phase of the game begins by the managing authority activating the Λstop and draw' button 88 (FIG. 9) which results in the elimination of unsold tickets as represented by block 90 (FIG. 1) . In addition %he Λstop and draw' button 88 results in the random elimination of a percentage of the negotiable lottery tickets which in the best mode is 50 % of the negotiable lottery tickets as represented by unsold ticket block 90. The elimination of a percentage of the negotiable lottery tickets, for example 50 %, will also be reported on the player's APP (Application Window of the Asset Manager) . At this point the managing authority can also identify the number of prizes as well as their value which can also be communicated to the players through the asset manager window.

[0044] The elimination of a portion of the negotiable lottery tickets as represented by block 92 (FIG. 1) is communicated to the player and reported in the asset panel 66 of the player's asset manager 56 (FIG. 11) . At that time the Λstop and create prize' button 94 (FIG. 6) may be depressed and the value of the prizes for winning negotiable lottery tickets may also be displayed at that time or at a subsequent time as well as the top cash prize for the winning negotiable lottery ticket which as yet will not be assigned to a particular negotiable lottery ticket. The total amount of prizes is displayed in the capital to retain screen 96 on the administration panel 42 as illustrated in FIG. 6. The information as to the value of the top prizes, number of prizes can be transmitted to the players in the optional status report window of their asset manager. [0045] Thereafter the novel lottery game proceeds to the buy back phase as represented by buy back block 98 (FIG. 1) which occurs when ΛStart Buy Back' button 100 is depressed as illustrated in FIG. 12. The 'Start Buy Back' button 100 also fixes the Buy Back price as specified in the ΛPay Off screen 102 which sets the payoff as a percentage of the original selling price. As indicated in FIG. 12 the payoff is 20 % which means each ticket sold for $20 that has not been eliminated will be bought back by the managing authority at $24. The player at that point has the option of selling back any or all remaining negotiable lottery tickets through the managing authority 20 as illustrated in FIG. 12. The player then selects the desired negotiable lottery ticket to be sold back to the managing authority and activates the Λhit' button 62 which results in the negotiable lottery ticket being sold back to the managing authority and eliminated from the ticket database 38. The player is then credited for the value of the ticket or otherwise paid by cash or check for the negotiable lottery tickets that have been sold back to the managing authority. Alternatively, a game vendor 26 (FIG. 2) may repurchase the ticket and convey the repurchased ticket to the managing authority for elimination or resale of repurchased negotiable lottery tickets at a higher price to new or other players at other stages of the novel game. [0046] Once the buy back phase is completed the managing authority activates the Λstop and draw' button 104 of FIG. 12 which again results in the elimination of a percentage and in the preferred embodiment half of the remaining negotiable lottery tickets as represented by block 106 of FIG. 1. Once half of the remaining tickets have been eliminated the managing authority activates the 'start trade' button 108 which allows the players to bid and trade remaining negotiable lottery tickets as represented by block 110 in FIG. 1. The players are thereafter allowed to buy, sell and trade negotiable lottery tickets and obtain bids on the negotiable lottery tickets from other players or new players that enter the game for the first time. [0047] All negotiable lottery tickets at this point have an equal chance of winning the top prize as well as any remaining prizes. A further Λstop and draw' button 112 (FIG. 13) can be activated to initiate a further selling and purchase phase that can be repeated until such time as the negotiable lottery tickets remaining are less than twice the number of prizes as represented by decisional block 114 (FIG. 10) . All purchases, sales and transfers of negotiable lottery tickets may be recorded by the managing authority for a small commission that is paid to the managing authority at the time the negotiable lottery tickets are transferred between the players. The trading phase of the novel negotiable lottery ticket game is based on a money driven market model, such that each player has the ability to offer a certain amount of money for any ticket, or for a particular ticket or to make an offer on one or all of the remaining negotiable lottery tickets. A player who wishes to satisfy an offer by selling one or more of the negotiable lottery tickets can depress the Λmake an offer' button 116 as indicated on the asset manager 56 (FIG. 11) . Alternatively the player may enter a particular amount of money in which he seeks as an offer for one of the remaining negotiable lottery tickets particularly where the remaining tickets are equal to all of the cash prizes as represented by block 118 (FIG. 1) .

[0048] As an example where five negotiable lottery tickets may remain each having a prize of for example $1,000,000, $100,000, $10,000, $1,000 and $100 a player or holder of one or more of the five winning negotiable lottery tickets may request a bid of, for example, $10,000 for each negotiable lottery ticket having the possibility of winning the grand prize of $1,000,000 or more. [0049] Once the final skill trading phase is completed the managing authority can depress Λassign prize' button 120 (Fig. 13) to associate each of the winning tickets with one of the winning prizes as represented by block 122 (FIG. 1) . Alternatively, the managing authority might want to televise the final assignment of prizes, where, for example, each of the tickets in FIG. 14, 15 and 16 each contain a winning number, for example, 52, 98 and 70. In such a televised event three balls having the numbers 52, 98 and 70 can be placed in a drawing machine such as a Beitel Criterion drawing machine in which the first ball emerging from the machine, i.e. 98, is given the top prize of $1,000,000, the second ball that emerges, i.e. 70, is given the $100,000 prize and the third ball, 52, is given the $10,000 prize. [0050] The novel negotiable lottery ticket game may be implemented in a number of different ways using a number of different software programs and managing authority programs that utilize the Internet, Intranets or other networks, for example by cell phones, in order to provide the advantages of a negotiable lottery ticket game featuring the aspects of both chance and skill. Referring now to FIG. 3 and 4 an alternative embodiment of the invention is illustrated for application to the Internet 36. The application of the invention in this embodiment provides an Internet based game in which the player logs in as represented block 124 (FIG. 4) in which decisional block 126 determines whether the player is a new player or an old player. If the player is a new player a query for information is provided by block 128 and the rules and odds of the game are explained as represented by block 130.

[0051] Thereafter for both new players and old players a decisional block 132 is provided to determine whether the account of the player is solvent. If the account is not solvent a further decisional block 134 is provided to query whether there is another account available as represented by block 136. If the account is verified as solvent, the player is allowed to proceed to purchase tickets as represented by block 138. In the event no account is solvent a logout is provided as illustrated by block 140. Thereafter negotiable lottery tickets are provided as represented by block 142.

[0052] Once sufficient tickets are Sold as represented by decisional block 144 unsold tickets are eliminated from the game and a portion of the sold tickets are withdrawn as illustrated by block 146 and blocks 90 and 92 of FIG. 3. Thereafter players may sell back a portion of the valid tickets to the managing authority 20 as represented by block 148 and by block 98 in FIG. 3. There may also be a public display of the selected tickets as represented by block 150 with various percentages of tickets being eliminated from the game as represented by block 152 of FIG. 3. The players are then allowed to sell or trade tickets as represented by block 154 of FIG. 4 until the tickets are equal to the number of prizes to be awarded as represented by decisional block 156. Thereafter in the Internet application of the game the computer associates the remaining tickets to the remaining prizes and awards the prizes to the players as represented by blocks 158 in FIG. 4 and 120 in FIG. 3. [0053] The architecture of the novel negotiable lottery ticket game involves a number of phases, some of which are optional phases as is illustrated in FIG. 5. In FIG. 5 the first required phase is that a purchaser purchases one or more negotiable lottery tickets from the managing authority as represented by block 58. In the novel lottery game the architecture is based upon an evaluation of a number of functions involving the variables of T which equals time, S is the step in the game and N is a counter that is initialized to (1) in step 1 and incremented in each and every passage through Phase 2 in which E(n) number of tickets are eliminated from the game as represented in block 160. An optional Phase A as represented by block 90 involves the elimination of all unsold tickets from the game.

[0054] All the variable quantities for the game may be established, fixed and published before the game starts employing an algorithm in which:

M. M is infinity D. D(O) is finite, as are D(4) and D(5)

Pf. Pf(t) is constant

W. Number of the winning tickets (quantity W)

E. E(n) is constant and equals 50% except for the last elimination, in which only takes enough tickets to leave W tickets alive

Bb. Bb(n) is constant and equals 20%

Act. Act(s,n) is in state "Active" for (S=I, n=any) , (s=3, n>0), (s=4, n=l), (s=5, n>l) . Act (s,n) is in state "Inactive" in any other case.

[0055] In some implementations of the novel game the quantity M may assume semantic even if set to infinity which means that the negotiable lottery tickets may be sold for a period of time until the quantity D(O) has elapsed. In such a case the first elimination phase optional Phase A as represented by block 90 is trivial (nothing happens) . In other implementations the reverse case assumes semantic in which quantity M is fixed and a limited number and function D(O) evaluates to infinity. This means in this case all the negotiable lottery tickets would have to be sold before the possibility of proceeding to the next phase. Again in this embodiment the elimination phase of optional Phase A becomes trivial in that nothing happens. The function Pf (t) will be called Pricing Function, and is intended to be a way to associate the emission price with the time elapsed since the beginning of the first selling phase. In some cases it will be constant (as in Pf(t) = $10, this meaning that the price does not vary along time) , in other cases it may be a stepped function (as in Pf(t) = $10 for the first 10 minutes, then Pf (t) = $15 for another 10 minutes, then Pf(t) = $20), or any other function of time, even with a random component (as in Pf (t) = (10 + 2* rnd(t)) $ where rnd(t) is a random function of time returning values between -1 and 1, inclusive. (This way the negotiable lottery ticket would be priced randomly anywhere between $8 and $12) . Due to the various forms possible for the' Pricing Function to be, a double acceptance from the player may be required in Step 1, in some kind of procedure where the player asks for a ticket, the price for that ticket is then fixed and proposed to the client for acceptance and the client will then be able to accept or refuse the ticket for that price. [0056] In Phase 2 of the game as represented by block 160 in FIG. 5 the exact quantity of tickets to be eliminated by the n-th phase is established by the E(n) function. The E(n) function will most times (but not always) be expressed as either a percentage of negotiable lottery tickets still available or as the exact number of negotiable lottery tickets to be eliminated. In most implementations independent of the expression E(n) a quantity between 5 and 95 % and preferably between 25 % to 75 % of the negotiable lottery tickets will be eliminated. This is not intended to be a limitation on the form of the E(n) function but a simple clarification of the role of the function itself. [0057] Optional Phase A is represented by block 90. Optional Phase B is represented by block 98 and Optional Phase C is represented by block 100 and are options for various reasons.

[0058] For example, the elimination of the unsold tickets is not to be considered in the cases previously outlined in Phase 1. The trading and buy back phases are to be considered optional, each separately, i.e. there may be a single trading phase, or there may not be a trading phase after the last elimination (so that there will be the assignment of prizes just after the elimination) , as well as for the buy back phase, that, for example, may occur only after the first elimination phase. For this reason, it has been introduced the Activation Function (Act(s,n)) which will determine if the current Step(s) is active at the n-th- iteration.

[0059] The novel negotiable lottery ticket game involves the elimination and buying or trading of tickets until such time as the negotiable lottery tickets are approximately equal to the number of prizes to be awarded. At this stage the trading or purchase and sale of the novel negotiable lottery tickets occur to allow the players opportunity to utilize their skill in the negotiation of the negotiable lottery ticket and ameliorates the pure chance aspect of the prior art lottery games.

[0060] The holders of valid tickets have the opportunity to either sell back valid tickets to the managing authority at a premium even though the tickets sold back might not otherwise be winning lottery tickets and which tickets were purchased by the managing authority which in the preferred embodiment of the invention are eliminated as possible winning tickets. In an alternative embodiment where a game vendor is interposed between the managing authority and the players as Pl in block 26 (FIG. 2) the game vendor 26 may either destroy repurchased tickets or resell repurchased tickets to other players that may want to enter the game at a later stage. [0061] The novel lottery ticket game may be implemented in a variety of ways known to those skilled in the art. For example, in the final stage of the novel game all or almost all negotiable lottery tickets may have a prize in the final buying and selling phase. For example, the prizes for the remaining negotiable lottery tickets for example 1 to 10 lottery tickets may be listed with each negotiable lottery ticket, for example, bearing a possible prize. The first prize lottery ticket may have the prize of $1,000,000, the second winning lottery ticket may have a prize of $100,000, the third $10,000, the fourth $1,000, the fifth $100, the sixth $10, the seventh $1, the eighth $0.10, the ninth $0.01 and the tenth ticket may have no prize associated with it. [0062] The prizes at the final stage associated with all ten lottery tickets may be randomly selected for the remaining numbers on the lottery tickets by means of a computer which selects the winning numbers from the winning lottery tickets and associates the prizes with each of the lottery tickets or in an alternative embodiment of the invention a drawing type machine can be utilized which randomly selects balls having the winning lottery ticket numbers which randomly pop up as is currently achieved by a Beitel Criterion drawing machine as used in televised lotto games. [0063] The advantages of the novel lottery game of the invention resides in the ability to impart levels of skills in trading and otherwise pure game of chance in a lottery game and the ability to track and record all transfers of lottery tickets by the managing authority so that each winning or potentially winning lottery ticket is tracked by the managing authority and identified with a particular lottery player. The identification of the lottery players with each of the tickets provides the option of tracking and maintaining a list of potential lottery ticket winners to prevent fraud, theft or loss of lottery tickets as can happen with currently played lottery games. [0064] The novel lottery ticket game of the invention is easily adaptable into various lottery administrations in use in the United States and throughout the world which post on their websites all of the prizes at the beginning of the lottery game. As an example a lottery administration might for example post a $1,000,000 first prize, a $100,000 second prize, a $10,000 third prize, etc. at the beginning of the game and require that all tickets eventually all sold have an equal chance of obtaining the top prize. In particular some State run lottery tickets include the requirement that all players until the lottery numbers are drawn must have an equal chance of playing for the top prize throughout the life of the game. The novel lottery game of the invention not only allows each player to have an equal chance throughout the life of the game but also imparts a level of bartering and trading skill allowing the negotiable lottery ticket holders to negotiate, barter or sell their negotiable lottery tickets for money, property or other valuable commodities that might be equal to or more than the potential value of their lottery ticket.

[0065] The novel negotiable lottery ticket game as will be recognized by those skilled in the art may be implemented in a variety of ways to suit particular requirements. For example the novel lottery ticket game may be played in hotel rooms, in casinos by using LAN networks or it may be implemented using the Internet or by utilizing traditional state run lotteries having game vendors which print up on demand tickets for lottery players.

[0066] The novel negotiable lottery game may be implemented by randomly eliminating or randomly selecting negotiable lottery tickets or a combination thereof utilizing not only computers but also other random number generating machines for selecting one or more of the negotiable lottery tickets as prize winners. The novel lottery ticket game may also be implemented by providing lottery tickets having different values associated with them much in the same manner as currency so that a lottery ticket may represent a $10, $20, $50 and $100 bill which the $1 lottery ticket has one chance winning a $20 bill has two chances of winning, a $50 bill has five chances of winning and a $100 bill has hundred chances of winning which value represents the number of numbers associated with that particular negotiable lottery ticket.

[0067] It will be recognized that the invention provides a wide variety of implementations utilizing the basic concept of imparting negotiability to a lottery ticket and allowing the owners of negotiable lottery tickets to buy, sell, barter or otherwise negotiate negotiable lottery tickets that will have a guaranteed cash prize associated with each of the remaining negotiable lottery tickets which cash prize can be determined at the conclusion of the novel negotiable lottery ticket game by a number of methods of randomly associated prizes with the numbers associated with the novel negotiable lottery tickets.

[0068] As used herein and in the following claims, the word Λcomprising' or Λcomprises' is used in its technical sense to mean the enumerated elements include but do not exclude additional elements which may or may not be specifically included in the dependent claims. It will be understood such additions, whether or not included in the dependent claims, are modifications that both can be made within the scope of the invention. It will be appreciated by those skilled in the art that a wide range of changes and modification can be made to the invention without departing from the spirit and scope of the invention as defined in the following claims:

Claims

WHAT IS CLAIMED IS:
1. In a lottery ticket game operated by a host computer connected to a second computer through a network for issuing lottery tickets wherein the improvement comprises imparting an element of skill in the lottery game by providing one or more trading phases in the game by the issuance of negotiable lottery tickets.
2. The lottery ticket game of claim 1 further Qomprising a buy back phase for the repurchase of a portion of said negotiable lottery tickets.
3. The lottery ticket game of claim 2 wherein said buy back phase follows the elimination of a portion of said negotiable lottery tickets as winning tickets.
4. The lottery ticket game of claim 3 wherein said portion of negotiable lottery tickets eliminated is from about 10% to 90% of the negotiable lottery tickets issued.
5. The lottery ticket game of claim 3 wherein said host computer is operated by a managing authority and said managing authority repurchases a portion of said negotiable lottery tickets.
6. The lottery ticket game of claim 5 wherein said negotiable lottery tickets repurchased by said managing authority are eliminated as winning tickets.
7. The lottery ticket game of claim 5 wherein said second computer is a game vendor computer operated by a game vendor and said negotiable lottery tickets repurchased are repurchased by said game vendor and are resold at a sale price higher than the original sales price by said managing authority.
8. The lottery ticket game of claim 1 further comprising a trading phase to allow negotiable ticket holders to sell, trade or negotiate said negotiable lottery tickets.
9. The lottery ticket game of claim 8 wherein said trading phase follows the elimination of a portion of said negotiable lottery tickets as winning tickets.
10. The lottery ticket game of claim 9 wherein said portion of negotiable lottery tickets eliminated is from about 10% to 90% of the negotiable lottery tickets issued.
11. The lottery ticket game of claim 3 further comprising a trading phase following said buy back phase.
12. The lottery ticket game of claim 11 wherein said buy back phase and said trading phase are proceeded by an elimination phase for eliminating a percentage of negotiable lottery tickets as winning tickets.
13. The lottery ticket game of claim 12 wherein said elimination phase is achieved by a random number generator in said host computer.
14. The lottery ticket game of claim 12 wherein said elimination phase for eliminating a percentage of negotiable lottery tickets as winning tickets continues until the remaining negotiable lottery tickets are equal to or substantially equal to the number of negotiable lottery tickets that have prizes.
15. The lottery ticket game of claim 12 wherein prizes are associated with said remaining negotiable lottery tickets by a drawing machine.
16. The lottery ticket game of claim 14 wherein prizes are associated with said remaining negotiable lottery tickets by a random number generator in said host compute"r.
17. The lottery ticket game of claim 1 further comprising the selection of the winning negotiable lottery ticket after said one or more trading phases is achieved by utilizing a random number generator in said host computer.
18. The lottery ticket game of claim 1 further comprising the selection of the winning negotiable lottery ticket after said one or more trading phases is achieved by utilizing a drawing machine.
19. A negotiable lottery ticket game comprising: (a) a host computer for issuing negotiable lottery tickets; (b) means for eliminating a percentage of said negotiable lottery tickets issued; (c) an exchange medium for allowing holders to negotiate lottery tickets not eliminated; and (d) means for associating lottery prizes to negotiable lottery tickets that have not been eliminated.
20. A lottery ticket game comprising: (a) a host computer for issuing negotiable lottery tickets ; (b) a second computer connected through a network to said host computer for recording negotiable lottery tickets issued by said host computer; (c) a random number generator in said host computer for eliminating a percentage of said negotiable lottery tickets issued by said host computer until the negotiable lottery tickets are equal to or substantially equal to the number of prizes; (d) a network for allowing holders of negotiable lottery tickets to negotiate their negotiable lottery tickets; and (e) means for associating prizes to the remaining negotiable lottery tickets.
PCT/IB2004/002495 2004-07-08 2004-07-08 Negotiable lottery ticket game and method WO2006008571A1 (en)

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