Parrondo’s Paradox is a counterintiuitive phenomenon occuring in gambling games and simple stochastic processes. The paradox is based on a physical system capable of rectifying fluctuations, the flashing ratchet, and also illustrates some non trivial effects that can take place when one switches between two different dynamics. In this article we review the original formulation of the paradox, its relation with the flasing ratchet and some of its extensions and applications, such as other surprising effects in collective games and a novel mechanism for pattern formation in spatially extended systems.