After 33 years of development，welfare lottery has become an important pillar of the development of my country’s social welfare undertakings. In recent years，the development of welfare lottery shows a new normal and faces newchallenges. From the perspective of public value theory，this article discusses the public value characteristics of welfare lottery and its development position in the new era：public welfare and entertainment are equally important. Combined with the new strategic positioning，the article proposes suggestions on the supply-side reform of welfare lottery from three aspects：the issuance and sales of welfare lottery，the distribution and use of public welfare funds，and the construction of public governance system.