The very same concerns were made when states first proposed lotteries over 40 years ago and again when states passed casino gambling. Are you auditioning for the role of Big Brother or just believe you know what's best for everybody?
I have no problem with gambling if you have to go to the store or the casino and hand over cash. Doing the same thing remotely with money zapped out of your bank account is the problem, because it occurs so much more rapidly.
example: at one time, you could go to a Canadian casino and swipe your debit card or credit card at a slot machine. The govt saw people going broke so fast they removed those things and went back to cash only.
I am not a "big brother" type of person at all... quite the opposite in fact (e.g. drugs and prostitution should be legal IMO). However, letting people lose their money so rapidly leads to society-wide problems, and that affects all of us.