Not a good idea. Use the Playshares chain for gambling. Stick to serious stuff for a serious chain or you open Bitshares up to being declared a gambling platform.
I disagree. All publicity is good publicity and increasing retention is also good.
Besides, this idea has merit beyond gambling - it is interesting from a different point of view, in that it would create the first market in the world where there can be no insider trading.
I'm not sure how popular it will be, but I like the idea.
Anything that gives BTS an additional use/market without requiring a lot of development time, I'm in favour of.
It would be cool if it was only accessible with BitAssets so if you wanted to play you would have to acquire BitAssets, thereby increasing BitAssets in circulation. (Most would keep their gains in the BitAsset too.)