Lol chances of dv are < 1%
That depends on your nationality.
I mean there is not much effort to be entered for dv lottery (as long as your birth country is eligible). You just have to fill a simple form with Name, address, nationality etc and submit. I have few friends who got GC through this route.
Is there any downside of being a GC holder vs H1B?
Not really IMO. If you lose the GC for whatever reason it’ll be very hard for you to get another work permit again and you have to be in the US for at least 6 months every year to be able to maintain it
If you’re under 26 and male you have to sign up for selective service
Green Card lottery is a no brainer: it is free, takes like 20-30 minutes of your time but very low chances of winning (<1%). I was doing it every year. H1B is more tricky, depends a lot on the company you are going to work with. Read your contacts and try to talk to wannabe coworkers before accepting an offer.
Can we apply for green card lottery when i140 has already been approved?
You can apply with I-140 approved but it will be useless.
India isn't eligible for it
Nor is China
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Can you elaborate what you mean by green card via lottery?
For some nationalities, you can try your luck and get Green Card through lottery https://dvlottery.state.gov