Also, bit coin is dropping out. I read an article last week from the LA times I believe, that they are beginning to crash and are not worth as much as they used to be. I assume they will return to startup price eventually. I don't have a full grasp of bit coin so I cannot say much on the topic, I'm just stating what I read about them from the times. I was curious if I should get some money together and invest in it, but I saw a couple of people relate it to pyramid schemes and ponzi schemes. I would much rather keep my penny's under my mattress =p
I have followed bitcoin pretty closely for the last little while, it is an extremely complex thing. No one really has an exact final value of the platform but I have a hard time believing it will completely drop to pennies. It is very debatable topic and would take hours to go over but I think that there is a place in the world for cryptocurrency. As for the price dropping, prices have dropped > 50% multiple times and bounced back, even grew. I remember back in the summer when it hit $250 and people were saying it would never get higher... now look at it $700-1200 depending on the day of the week.
Sure, it's definitely a risky investment but the payoff has been and could still be enormous. Heck, I only invested a small amount a couple weeks ago (granted I moved most of it to Litecoin, a different cryptocurrency, and made a ROI of 350% in a week. I am not saying I know it's going to be worth hundreds of thousands per coin, I am just saying that it's as easy to say that as it is to say it's going to nothing, every financial expert has differing opinions.
As for the question, my answer isn't too different from Alex's
I would set aside a fair amount to guarantee a comfortable lifestyle, even if I was to lose the rest. Much of it would go into investments of various sorts and various risks. Max out my Tax Free Savings Account and use that for some high risk investment, since gains in that account are not taxed. It would take me ages to decide what to actually buy, since I tend to be very critical of my purchases. As Alex said, I would really enjoy helping those out who are in need and tipping wait staff well, the thought of that just makes me happy.