Jackpot: America’s Biggest Lotto Scam

OLIVER L. Author

Last Updated: August 5th, 2025

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After working in the gambling industry for over a decade, Oliver spotted an opportunity to setup a resource for lottery bettors. CompareTheLotto.com was founded in 2014 and launched a UK site firstly with a South African following shortly after and USA being launched in 2020.

Note: *The following article is purely for fun. It is based on individual opinions and does not constitute advice. The drawing of lottery numbers is entirely random. Please always gamble responsibly. #Ad. Find out more on our How Our Site Works page.

Imagine walking into a gas station, grabbing a couple of hot dogs, and casually purchasing a winning lottery ticket worth millions. Sounds like a dream, right? Well, for Eddie Tipton, it was a carefully orchestrated fraud—one that would unravel into the biggest lottery scam in American history.

Now, a new documentary, Jackpot: America’s Biggest Lotto Scam, dives deep into how Tipton, a trusted lottery security chief, rigged multiple state lotteries using self-deleting code that allowed him to predict winning numbers. The documentary is free to watch on YouTube here or below.

How Did He Pull It Off?

Tipton wasn’t just any lottery player—he was head of security at the Multi-State Lottery Association (MUSL), the very organization responsible for ensuring fair play. But instead of protecting the system, he exploited it from the inside.

Using malicious software, Tipton cleverly manipulated random number generators, drastically improving his odds from 1 in 5 million to just 1 in 200. Over the years, he and his associates claimed jackpots across five states, raking in millions before investigators finally cottoned on.

The Moment His Number Was Up

The scam might have gone unnoticed if not for one critical mistake—a $16.5 million Hot Lotto jackpot in 2011. When multiple law firms attempted to claim the prize on behalf of an anonymous offshore trust, lottery officials grew suspicious.

Surveillance footage from a Des Moines gas station showed a heavy-set man in a hoodie buying the winning ticket. When investigators released the footage, Tipton’s colleagues were stunned—they recognized him immediately.

What This Means for Lottery Players Today

The Jackpot documentary exposes the loopholes that allowed Tipton to manipulate the system. While lottery security has tightened since his conviction, the scandal raises serious questions:

• Can lotteries definitely guarantee fairness?
• Are insider threats still a risk?
• Can players have full trust in the system?

For everyday lottery players, the Tipton case serves as a reminder that even the most trusted institutions can be vulnerable to fraud.

Final Thoughts

Tipton was sentenced to 25 years in prison, though he served only five before being released. But damage was still obviously done—public trust in the lottery took a hit.

ComparetheLotto.com Lotto Expert Oliver Liebscher says:

As lottery players or bettors, we expect fairness as a minimum. The Jackpot documentary is a must-watch for anyone who wants to understand the murkier past of the lottery industry—and why transparency matters more than ever. With so much money at stake, it’s possible that someone will always try to find loopholes. The crazy thing is that Tipton himself had actually warned MUSL about system flaws and vulnerabilities, which he claimed fell on deaf ears. That’s why we believe properly funded regulation and oversight is always required.

Please leave us your thoughts in the comments as to whether you enjoyed the documentary and whether you think any similar shenanigans could still be happening anywhere today.