[1] The choice of the winner is done by a lottery, whereby the bidders compete for a higher chance of winning.
[1] It is also known as penny raffle, chance auction and tricky tray.
[2] Chinese auctions are usually conducted during charity events for fundraising.
[5] Political elections and patent races can be modeled as Chinese auctions, in which the chance of winning is seen as proportional to the amount spent.
[6] Some sources consider the term "chinese auction" as derogatory.