Time will tell whether this is a legitimate service which just seek to make a living from gambling or not. What it bothers me it is the lack of serious transparency and the fact they have much of the alleged liquidity in physical coins, instead of an actual cold wallet, like a Trezor or ledger, it makes me think they do not have any intention to give big amounts of money by the time being.
Intention? More like probability calculation. The most likely scenario is that the probability of someone winning the 1 Bitcoin jackpot is so small that until they have sold well over 1 Bitcoin in cards, no one will win. That would be the most normal outcome in a random and fair mechanism that is not trying to scam anyone.
Have you ever tried a lottery simulator? Here's one:
https://robson.plus/lottery-simulator/This one is in Spanish:
https://www.cuandomevaatocar.com/You can spend hours simulating at high speed without hitting the jackpot.
Having 0.5 Bitcoin in liquidity plus convertible assets for the extremely unlikely event that someone hits the jackpot before you can raise the funds does not strike me as showing bad intentions at all.
I'm not getting into whether this service is more or less legitimate, as I know there is a lot of controversy going on but I'm fed up with Reputation arguments.