Despite the surging interest in introducing lottery mechanisms into decision-making procedures for science funding bodies, the discourse on funding-by-lottery remains underdeveloped and, at times, misleading. Funding-by-lottery is sometimes presented as if it were a single mechanism when, in reality, there are many funding-by-lottery mechanisms with important distinguishing features. Moreover, funding-by-lottery is sometimes portrayed as an alternative to traditional methods of peer review when peer review is still used within funding-by-lottery approaches. This obscures a proper analysis of the (hypothetical and actual) variants of funding-by-lottery and important differences amongst them. The goal of this article is to provide a preliminary taxonomy of funding-by-lottery variants and evaluate how the existing evidence on peer review might lend differentiated support for variants of funding-by-lottery. Moreover, I point to gaps in the literature on peer review that must be addressed in future research. I conclude by building off of the work of Avin in moving toward a more holistic evaluation of funding-by-lottery. Specifically, I consider implications funding-by-lottery variants may have regarding trust and social responsibility.