Imagine walking into a gas station to grab a snack and walking out with a piece of paper worth more than the GDP of some small countries. That actually happened. We’re talking about the largest lottery ever won, a mind-blowing $2.04 billion Powerball jackpot that turned the world of gambling upside down.
Honestly, most of us have played the "what if" game. You buy a ticket, you dream about the yacht, and then you check the numbers and realize you didn't even get the Powerball. But for one guy in California, the dream didn't just come true—it exploded.
The Day the World Changed for Edwin Castro
It was November 2022. The jackpot had been rolling over for months. People were losing their minds. Lines at gas stations were stretching around the block because, let's face it, $2 billion is a number that doesn't even feel real.
The winning ticket was eventually sold at Joe’s Service Center in Altadena, California. For months, nobody knew who had it. The mystery was intense. Then, in February 2023, the California Lottery revealed the name: Edwin Castro.
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Castro didn't show up to the press conference. He didn't want the spotlight. He basically sent a polite note saying he was "shocked and ecstatic" and then went about the business of becoming one of the richest people on the planet. He chose the lump sum payment, which was $997.6 million.
Where does all that money actually go?
When you hear "2 billion dollars," you think you're getting two billion dollars. You're not. Uncle Sam is the first person in line, and he has a very large appetite.
Because Castro took the cash option, the prize immediately dropped from that headline-grabbing $2.04 billion to just under $1 billion. Then, the IRS stepped in. Federal taxes took a massive chunk—24% right off the top as a withholding tax, plus more when tax season actually rolled around.
Since California is one of the few states that doesn't tax lottery winnings, Castro got to keep more than most would. Still, after all was said and done, he walked away with roughly $628 million.
It’s still a staggering amount of money. Think about it. You could spend $10,000 every single day for the next 170 years and still have money left over.
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The Spending Spree: Mansions, Porsches, and Neighbors like Ariana Grande
A lot of financial advisors tell lottery winners to "stay quiet" and "don't make big changes."
Edwin Castro did not do that.
He went on a bit of a real estate tear. First, he dropped $25.5 million on a sleek, modern mansion in the Hollywood Hills. We’re talking five bedrooms, seven bathrooms, a game room, a wine cellar, and a fitness studio. His neighbors? Oh, just people like Ariana Grande and Dakota Johnson.
But he wasn't done.
- He bought a $4 million Japanese-style mansion in Altadena for his parents.
- He picked up a $47 million compound in Bel Air (bought from celebrity agent Mauricio Umansky).
- He’s been spotted driving a vintage Porsche 911 worth a cool quarter-million.
Some experts call these "terrible" purchases because houses and cars have massive carrying costs. But when you have $600 million in the bank, "expensive" is a relative term.
Why the $2.04 Billion Win is Still the Gold Standard
To understand why the largest lottery ever won is such a big deal, you have to look at what came before and after. For a long time, the $1.586 billion Powerball from 2016 was the king. But that was split between three different winners.
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Castro’s win was unique because it was a single ticket. He didn't have to share.
More recently, we’ve seen some massive prizes that almost touched the record:
- A $1.817 billion Powerball won in Arkansas in late 2025.
- A $1.787 billion jackpot split between winners in Missouri and Texas in September 2025.
- The $1.765 billion win in California (October 2023).
It seems like billion-dollar jackpots are becoming more common. Why? Because the lottery associations changed the rules a few years ago. They made it harder to win the top prize, which sounds bad, but it means the jackpot rolls over more often. Bigger jackpots mean more ticket sales. More ticket sales mean even bigger jackpots. It’s a cycle of madness that ends with someone like Castro buying a Bel Air mansion.
The Dark Side of Winning Big
It's not all champagne and infinity pools. Castro actually got sued shortly after his win was announced. A man named Jose Rivera claimed the ticket was actually his and that it had been stolen.
The California Lottery checked their security footage. They looked at the evidence. They stood by Castro, and the lawsuit eventually fizzled out, but it’s a reminder that when you win the largest lottery ever won, you get a target on your back.
Most people don't realize that in many states, you have to go public. You can't just hide. Unless you live in a place like Delaware or South Carolina that allows anonymity, your name is going on a press release.
Giving Back or Just Spending?
Interestingly, by early 2026, news started trickling out that Castro was doing more than just buying Porsches. He reportedly spent around $10 million buying up fire-damaged lots in his hometown of Altadena.
His goal? To rebuild affordable homes for families. He’s the son of a construction worker, so it sorta makes sense that he’d want to build something real. It’s a nice pivot from the "rich guy spends it all on toys" narrative that usually follows these winners.
What to Do If You Actually Win (The Expert Move)
Look, the odds of you winning the next massive jackpot are about 1 in 292 million. You’re more likely to be struck by lightning while being attacked by a shark.
But if you do defy the odds, here is what the experts (and the mistakes of past winners) suggest:
- Shut your mouth. Don't tell your neighbor. Don't post a picture of the ticket on Instagram. Once people know you have money, they will come out of the woodwork.
- Hire a "Dream Team." You need a tax attorney, a reputable financial advisor, and a CPA. Not your cousin who "knows about stocks." You need the people who handle ultra-high-net-worth individuals.
- Wait before you buy. Take six months. Travel (with security). Rent a nice place. Don't commit to a $50 million mortgage until the adrenaline has worn off.
- Decide on the Annuity vs. Lump Sum. Most people take the cash, but the annuity (30 payments over 29 years) provides a safety net. If you blow the first year's payment, you have 29 more chances to get it right.
The story of the largest lottery ever won is still being written as Edwin Castro navigates his new life. Whether he ends up as a cautionary tale or a success story depends on how he manages that $628 million over the next few decades.
Next Steps for You:
If you're feeling lucky, check your state's laws on anonymity before you buy your next ticket. Knowing if you can remain private is the first step in protecting your future fortune. You should also set a strict "fun budget" for lottery tickets; never spend money you need for rent or groceries on a 1-in-292-million chance.